Credit Card Cash Advance at Convenience Store ATMs | Explaining Procedures, Interest Rates, Compatible Cards, and Precautions

When you suddenly need cash for an unexpected expense but don’t have any on hand, you can use your credit card’s cash advance feature to withdraw cash from a convenience store ATM. Many convenience store ATMs support credit card cash advances and offer the convenience of being available 24 hours a day.

However, since a cash advance is a loan, interest will be charged, and planned use is essential. This article provides a detailed explanation, from the basics of credit card cash advances at convenience store ATMs, to the pros and cons, items to check before use, procedures for major convenience store ATMs, compatible cards, interest rates and repayment methods, and precautions for use.

What is Credit Card Cash Advance at Convenience Store ATMs?

Credit card cash advance is a service that allows you to borrow cash from ATMs using the cash advance limit attached to your credit card. By using a convenience store ATM, you can easily withdraw cash even when bank counters are closed or on holidays.

Pros and Cons of Cash Advance

Credit card cash advances at convenience store ATMs have the following advantages and disadvantages.

Pros

• Immediacy and Convenience: You can withdraw cash anytime, generally 24/7 (excluding maintenance times), at convenience store ATMs nationwide, allowing you to quickly respond to urgent cash needs.
• Simple Procedure: No new screening or application process is required; you can use it immediately if you have your credit card and PIN.
• Available Overseas: Many credit cards allow cash advances in local currency at affiliated ATMs overseas (separate fees or different interest rates may apply).

Cons

• Interest Accrual: Since a cash advance is a loan, interest accrues according to the number of days used. Interest rates are often set higher than for revolving payments or installment payments for shopping.
• Fees May Apply: ATM usage fees (around 110 to 220 yen) may be charged separately.
• Impact on Credit Limit: Using a cash advance may reduce your credit card’s total available credit limit (the sum of your shopping limit and cash advance limit).
• Risk of Borrowing Due to Easy Access: While it’s easy to use, unplanned use carries the risk of leading to repayment difficulties.

Things to Check Before Use (Available Limit, Interest Rate, Repayment Method)

Before using a cash advance at a convenience store ATM, be sure to check the following points:

• Cash Advance Available Limit: Check if your credit card has a cash advance feature and how much you can borrow (cash advance limit). You can find this on your card company’s member website or your statement.
• Interest Rate (Annual Percentage Rate – APR): The interest rate for cash advances varies by card company and card type. It is generally set around 15.0% to 18.0% per annum. The higher the interest rate, the greater the interest burden at repayment.
• Repayment Method: The main repayment methods for cash advances are “lump-sum payment (next-month lump-sum repayment)” and “revolving payment.” Revolving payments allow for a fixed monthly repayment amount, but the repayment period tends to be longer, increasing the total interest paid. Check which repayment method applies or if you can choose.
• ATM Usage Fee: Check if an ATM usage fee applies when using a cash advance and how much it is.
• PIN: A 4-digit PIN for your credit card is required for cash advances. If you have forgotten it, make an inquiry procedure with your card company in advance.

[By Convenience Store] Credit Card Cash Advance Procedures and Compatible Cards

This section explains the general procedure for credit card cash advances and the main credit card brands generally supported by major convenience store ATMs.

Cash Advance at Seven Bank ATMs: Procedure and Main Compatible Cards

• Procedure Overview:
  1. Select “Credit Card (クレジットカード)” or “Withdrawal (お引出し)” on the ATM screen.
  2. Insert your credit card.
  3. Enter your PIN.
  4. Select “Borrowing (お借入れ)” or “Cash Advance (キャッシング).”
  5. Enter the desired transaction (lump-sum/revolving, if selectable) and amount.
  6. Confirm the details and receive your cash and transaction slip.
• Main Compatible Card Brands: Supports major domestic and international credit card brands such as VISA, Mastercard, JCB, American Express, and Diners Club.

Source: Using ATMs | Seven Bank

Cash Advance at Lawson Bank ATMs: Procedure and Main Compatible Cards

• Procedure Overview:
  1. Select “Credit Card Transactions (クレジットカードのお取扱い)” on the ATM screen.
  2. Insert your credit card and enter your PIN.
  3. Select “Borrowing (お借入れ).”
  4. Enter the borrowing amount and confirm.
  5. Receive your cash and transaction slip.
• Main Compatible Card Brands: Supports many credit card brands such as VISA, Mastercard, and JCB.

Source: Using ATMs | Lawson Bank

Cash Advance at FamilyMart (E-net/Japan Post Bank ATMs): Procedure and Main Compatible Cards

FamilyMart primarily has E-net ATMs and Japan Post Bank ATMs installed.

E-net ATM

• Procedure Overview:
  1. Select “Credit Card (クレジットカード)” or “Cash Advance (キャッシング)” on the ATM screen.
  2. Insert your credit card and enter your PIN.
  3. Enter the borrowing amount and confirm.
  4. Receive your cash and transaction slip.
• Main Compatible Card Brands: Supports a wide range of brands such as VISA, Mastercard, JCB, and UnionPay.

Source: E-net Co., Ltd.

Japan Post Bank ATM (FamilyMart installed type)

• Procedure Overview:
  1. Select a button related to “Credit Card (クレジットカード)” or “Cash Advance (キャッシング)” on the ATM screen.
  2. Insert your credit card and enter your PIN.
  3. Enter the borrowing amount and confirm.
  4. Receive your cash and transaction slip.
• Main Compatible Card Brands: Partnered credit card brands such as VISA, Mastercard, and JCB. Japan Post Bank ATMs may only handle certain credit card companies.

Source: Branches/ATMs – Japan Post Bank

Cash Advance at Ministop (Aeon Bank ATMs): Procedure and Main Compatible Cards

• Procedure Overview:
  1. Select “Credit Card (クレジットカード)” on the ATM screen.
  2. Insert your credit card and enter your PIN.
  3. Select “Cash Advance (キャッシング)” or “Borrowing (お借入れ).”
  4. Enter the borrowing amount and confirm.
  5. Receive your cash and transaction slip.
• Main Compatible Card Brands: Supports major credit card brands such as VISA, Mastercard, and JCB. Aeon Card cash advances are also possible, of course.

Source: ATM Services | Aeon Bank

About Interest Rates and Repayment Methods for Cash Advances

When you use a credit card cash advance, interest will always be charged.

• Interest Rate (Annual Percentage Rate – APR): The interest rate varies by card company and card type, typically around 15.0% to 18.0% per annum. Interest is calculated daily, so the longer the borrowing period, the higher the interest amount.
  • Interest Calculation Method (Estimate): Borrowed Balance × APR ÷ 365 days × Number of Days Used
• Repayment Method:
  • Lump-sum Payment (Next-month lump-sum repayment): A method where the borrowed principal and interest are repaid in a single payment on the next month’s card payment date. Since the repayment period is short, the total interest amount can be kept low.
  • Revolving Payment: A method where a nearly fixed amount is repaid each month. While the monthly repayment burden is reduced, the repayment period tends to be longer, and as a result, the total interest paid tends to be higher. Some cards are designated for revolving payments only for cash advances.
• Early Repayment: Many card companies allow “early repayment” of part or all of the borrowed amount before the payment date, via ATM, bank transfer, or through their member website. Making an early repayment can reduce the interest burden by that amount.

Precautions for Convenience Store ATM Cash Advances (Usage Limits, Overseas Issued Cards, etc.)

When using credit card cash advances at convenience store ATMs, pay attention to the following points:

• Use Within Your Credit Limit: Cash advances can only be used within your set available limit. Also, consider your shopping usage.
• Check ATM Fees: When using a cash advance, an ATM usage fee (typically 110 yen for 10,000 yen or less, and 220 yen for over 10,000 yen) may be charged separately. Check if this fee is added to the borrowed amount or billed separately.
• PIN Management: Repeated incorrect PIN entries may lock your card. Also, manage your PIN strictly so it is not known by others.
• Make a Repayment Plan: A cash advance is a debt. Always make a repayment plan and use it within a manageable range. Avoid casual use and limit it to when truly necessary.
• Use of Cards Issued Overseas: Some convenience store ATMs (like Seven Bank ATMs) also allow cash advances in Japanese Yen using credit cards issued overseas (such as VISA, Mastercard, UnionPay). However, fees and terms of use may differ from domestically issued cards.
• Check Your Statement: After use, always receive the transaction slip and check if the borrowed amount and fees are correct. Also, reconfirm the details on the card usage statement sent later.
• Avoid Borrowing from Multiple Cards: Avoid repeatedly making cash advances from multiple credit cards, as this increases the risk of repayment difficulties.

Credit card cash advance is a convenient service in times of need, but it is crucial to correctly understand its mechanism and risks and use it systematically. Before using it, always check the contract details and terms of use, and try to make a manageable repayment plan.