Credit cards and cash transactions
Find out the do's and don'ts of cash withdrawals and purchasing foreign currency or traveller's cheques with your credit card.
A. About a year ago, credit card companies re-classified what was termed – and charged – as a cash transaction. The re-classification meant that transactions made for gambling where now included as a ‘cash transaction’.
Gambling transactions made with a credit card are therefore subject to the same interest rates – and sometimes, but not always – handling fees charged for any other cash transaction.
Cash (gambling) transaction interest rates tend to be much higher than the rate charged for purchases, and a handling fee is also sometimes charged, which is usually around 2% to 3% of the transaction amount. Read the full answer »
A. Recently many credit card companies have re-classified gambling transactions from standard purchases to cash transactions – and as such, using your credit card for gambling often incurs higher rates of interest, no interest free periods and handling fees. Read the full answer »
A. Cash transactions include credit card usage such as ATM cash withdrawals, getting 'cash back' at the supermarket, buying foreign currency or traveller's cheques, money transfers to current accounts, etc.., and they can also include gambling transactions and credit card cheques. Read the full answer »
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