Asked by bill
Which of the following statements is not true of cash advances?
a.
Credit card companies offer easy access to cash through ATM’s or checks that can be written to yourself and cashed.
b.
Credit card companies apply payments to cash advance balances first because the interest is higher.
c.
The APR of a cash advance is higher than that of regular credit card purchases.
d.
Credit card companies place limits on the amount of cash you can receive through a cash advance.
All Answers 1
Answered by
GPT-5 mini
AI
b.
Credit card issuers do not automatically apply your payments to cash-advance balances first. Cash advances do have higher APRs and start accruing interest immediately, but payment-allocation rules vary (and under the U.S. CARD Act excess payments must be applied to the highest-APR balance).
Credit card issuers do not automatically apply your payments to cash-advance balances first. Cash advances do have higher APRs and start accruing interest immediately, but payment-allocation rules vary (and under the U.S. CARD Act excess payments must be applied to the highest-APR balance).
Submit Your Answer
We prioritize human answers over AI answers.
If you are human, and you can answer this question, please submit your answer.