Understanding Cash Advance Interest: A Comprehensive Guide by RBC

If you've ever found yourself in need of instant cash, you'd understand that a credit card can come in handy. However, this service isn't free, it is embedded with what is called a cash advance interest. The Royal Bank of Canada (RBC) has specific mechanisms in place concerning this. Understanding RBC's cash advance interest can help you make more informed financial decisions. This article will break down what cash advance interest is, how it applies to RBC, and what your options are if you want to change your advance limit.

What is Cash Advance Interest?

Cash advance interest is a type of interest that credit card companies like RBC charge when you withdraw cash using your credit card. This could be from an ATM or a cash withdrawal over the counter at a bank. In addition, purchases of travellers cheques and money orders are other types of transactions that could attract this interest.

Understanding RBC's Cash Advance Interest

In the fine print of your credit card agreement, you will find the specifics about cash advance interest - its rate, when it starts accruing, and how it is calculated. Specifically, with RBC, cash advance interest is typically higher than the rate for purchases and it starts accruing immediately after you make a cash advance transaction. There is no interest-free period unlike for purchases.

Adjusting Your Cash Advance Limit

The good news is, RBC gives its clients the flexibility to adjust their cash advance limit. Here are the ways you can do it:

Using Online Banking

RBC's Online Banking platform is robust and user-friendly. You can increase or decrease your cash advance limit from the comfort of your home. All you will need is a reliable internet connection and your login credentials. After logging in, navigate to 'Account Details', select your credit card account, and go to 'Change Credit Limit'. You can then follow the prompts to adjust your cash advance limit.

Navigating RBC's Mobile App

If you have RBC's mobile app on your phone, the process is straightforward. You can adjust your cash advance limit anytime, anywhere. After signing in, tap the 'More' menu, select 'Account Services', and then choose ‘Change Credit Limit'. Follow the prompts, and you will be able to adjust your cash advance limit.

Calling RBC's Customer Service

If you'd prefer to speak to a real person, you can call RBC's customer service. The customer service representatives are trained and equipped to guide you through the process of changing your cash advance limit. Be sure to have your credit card details handy to facilitate this process.

Final Thoughts

RBC's cash advance interest is a tool that, when used correctly, can be incredibly beneficial for those unexpected moments when you need cash instantly. The Royal Bank of Canada is committed to providing you with all the necessary information and tools to help you manage your finances better.

Remember, the power is in your hands to control your cash advance limit. The online banking platform, mobile app, and customer service are all avenues ready to assist you. Before you make the next cash advance transaction, be sure you know the interest you'll be working with. Financial intellectuality starts with understanding the details.