One of the fees associated with cash advances are known as the CITI Advance Transaction Fee. It is a percentage of your loan amount that you pay to Citibank for the convenience of making a payment at another branch. Here is some information about this fee and what you can do about it.
The Citibank Cash Advance fee is charged to you for the convenience of applying and getting a check card from another company. You will also be charged a fee if you decide to accept an unsecured or secured cash advance. This may be due to your poor credit or because of outstanding debt. If you are paying a high interest rate on other cards, you may qualify for a cash advance since you are already paying too much on your bills and cash advances may help you avoid additional interest charges. However, if you have many cash advances and are paying high rates, the convenience alone may be worth the annual fee.
Before you apply for a cash advance, determine the maximum amount that you will have to pay per month towards the loan. Then check your status online or with your local bank to see if you have qualified for any cash advances. You will likely need to pass a background check and a credit check. If you have been reported as a high risk customer or have bad credit, it may be impossible for you to get a cash advance. There are ways around these fees, however. You may want to contact the lender or company and see if you can negotiate a reduced fee based upon your financial history.
When you agree to pay a fee, you may be able to defer your payment until a later date. For some lenders, they require this as part of the agreement, but it may also be possible for them to allow a few months to go by before you must start paying your balance off. In the meantime, you can use the extra money toward paying down your loan so that you'll be debt free in a few short years.
If you can't pay off your cash advance on time, you may be required to pay a late fee. Your payment may go to CITI and they may then add late fees to your balance. CITI charges an outrageous late fee when a borrower falls behind on their loan. If you have a financial hardship, this could make paying off your cash advance more difficult. In order to avoid this, you should try to pay the loan off as soon as you can.
You may also be required to pay an extra fee if you accept a check for the cash advance. Most banks charge high processing fees when they receive checks as payments for loans. This can add up to a lot of extra costs, which is why you may want to verify that the company you plan to use has a no-fee transaction policy. Otherwise, you may end up paying hundreds of dollars in unnecessary fees.
CITI may also charge a fee for debit card transactions, which may be called a “PIN fee.” This fee may be assessed against you for each debit card that you use to make your cash advances. You are also subject to additional fees if you withdraw cash from your ATM during the same billing cycle as your CITI advance. Again, this is because you are using a credit card, which makes CITI responsible for any fees assessed against it. You should avoid withdrawing money from your ATM during your CITI advance, as this will increase the amount of fees you pay.
A cash advance is a great way to get immediate cash when you need it most. However, it is important to understand all the fees that apply to your cash advance. You should carefully review all charges and only use your advance at a CITI branch where you will not be charged a fee. With careful planning, you can often avoid paying high fees on your cash advances.