Why You Should Not Use The Cash Advance Feature Of Your (BPI) Credit Card?
Credit card is very useful in many ways. It’s like an instant cash when having purchases, temporary financial security for unexpected or unplanned financial obligation, and since you don’t need to always bring a cash in your pocket, it gives you more security from theft.
And another, it could be use for having instant cash in your hand through cash advances. However, be very careful when doing cash advances! Bank of the Philippine Islands (BPI) and, I guess, some other credit card companies, charge 4% or Php300, which ever is higher, for every cash advance transaction. The 4% charge is okay and seems reasonable but the Php300 charge is, I think, excessive. Php300 is equivalent to a whooping 30% charge for a Php1000.00 cash advance. If you don’t want to be charged heavily for cash advances, don’t use this feature unless completely necessary or if the money that you want to advance is more than Php7,500.
Filed in: Money and Investing
Local date: March, 2010