• A cash advance is a type of short-term loan, often issued by a credit card company, that usually comes with high interest and fees.
  • Other types of cash advances include cash to vendors, which are an alternative to business loans, and payday loans, which are prohibitively expensive and banned in many states.
  • Cashing out on a credit card will not directly hurt your credit score, but will hurt indirectly by raising your outstanding balance and credit utilization rate, which is a factor in your credit score.