The short answer: most credit cards cannot send money directly to a bank account

Your credit card is designed to borrow money from the card issuer to pay merchants. It is not designed to transfer money into someone else's bank account the way a debit card or bank transfer can. If you try to use your credit card to send money to a bank account, you will either get declined or be charged a cash advance fee — a percentage of the amount, usually 3% to 5%, plus interest that starts when ready.

There are a few ways to move money from a credit card to a bank account, but each one costs you something and works differently. The method that makes sense depends on whether the bank account is yours or someone else's, and whether you are trying to pay a bill or send a gift.

Key Takeaways

  • Credit cards are not built to transfer money to bank accounts; attempting one usually triggers a cash advance fee and when ready interest charges.
  • If the bank account is yours, a balance transfer or a cash advance through an ATM are your only direct options, and both cost money.
  • If you are sending money to someone else, a payment app like Venmo or PayPal is cheaper than a credit card cash advance, though some apps charge a fee for credit card funding.
  • Paying a bill from a biller's website using your credit card number is free, but this only works if the company accepts credit cards as payment.
  • The cheapest way to move money is usually a bank transfer from your checking account, which is free and takes one to three business days.

Transferring money to your own bank account

If the bank account is yours and you need the money in it, you have two options, neither of them free.

A cash advance lets you withdraw money from an ATM using your credit card, just like a debit card. The issuer charges you a fee (usually 3% to 5% of the amount) and starts charging interest when ready — often at a higher rate than your regular purchase rate. If you withdraw $500, you might pay $15 to $25 just to get the cash, then pay interest on top. You would then deposit the cash into your bank account. This is slow and expensive.

A balance transfer moves your credit card balance to another credit card, usually one with a lower interest rate or an introductory 0% period. Some cards let you transfer to a bank account instead, but this is rare and still counts as a cash advance — you pay the same fees and interest. Balance transfers are meant to help you pay down debt, not to move money into savings.

Sending money to someone else's bank account

If you are sending money to another person's bank account, your credit card cannot do this directly. Instead, use a payment app — a service that holds money and lets you send it to other people. The most common ones are Venmo, PayPal, Square Cash, and Zelle.

Most payment apps let you link your credit card as a funding source, meaning the app charges your credit card when you send money. However, many apps charge a fee (usually 2% to 3%) when you fund a transfer with a credit card, because they have to pay the credit card network a fee themselves. If you fund the transfer from your bank account or debit card instead, the fee is usually waived or much smaller. So even though you can use a credit card, it costs more than using a bank account.

Zelle, which is built into many banks' apps, does not charge any fee to send money, but it does not accept credit cards — only bank accounts and debit cards. If your bank offers Zelle, this is the cheapest way to send money to another person.

Paying bills with your credit card

If you are trying to pay a bill — rent, utilities, a loan, medical debt — and the biller accepts credit cards, you can pay directly from their website or by phone with no fee. This is free and does not count as a cash advance.

To do this, go to the biller's website, log into your account, and look for a "Pay Now" or "Make a Payment" button. Enter your credit card number when prompted. Some billers charge a fee for credit card payments (often 2% to 3%), so check before you confirm. If they do charge a fee, it is usually cheaper to pay by bank transfer or check instead.

Not all billers accept credit cards. Landlords, for example, often refuse them because of the fees. If the biller does not accept credit cards on their website, call them and ask whether they take credit card payments by phone.

Using a money transfer service

Services like MoneyGram and Western Union let you send money to another person's bank account or for them to pick up in cash. You can fund these transfers with a credit card, but again, you will pay a fee — usually $5 to $15 depending on the amount and destination. These services are most useful for sending money internationally or to someone without a bank account, not for routine transfers between U.S. bank accounts.

If you are sending money within the United States to someone with a bank account, a payment app is cheaper and faster.

Why credit cards work this way

Credit cards are a form of borrowing. When you use a credit card to buy something, the card issuer lends you the money, and you pay them back later. Banks treat transfers to bank accounts differently from purchases because they are harder to dispute and riskier — if you claim fraud on a purchase, the bank can reverse it, but a bank transfer is usually final.

To discourage risky borrowing and to cover their own costs, banks charge fees and higher interest rates for cash advances and balance transfers. This is why sending money via a credit card is expensive compared to using a bank account or debit card.

The cheapest way to move money

If you have a bank account and a debit card, a free bank transfer is almost always cheaper than using a credit card. Log into your bank's app or website, go to "Transfer Money" or "Send Money," and enter the recipient's bank details. The transfer takes one to three business days and costs nothing.

If you do not have a bank account yet, opening one is worth doing before you need to move money. A basic checking account at a community bank or credit union is free, and it gives you access to free transfers, bill pay, and other tools that credit cards cannot do.

Frequently Asked Questions

Can I use a credit card to pay rent directly to my landlord?

Most landlords do not accept credit cards because they are charged a fee by the credit card network. Some landlords use online payment platforms that accept credit cards, but they usually pass the fee to you. Check your lease or ask your landlord what payment methods they take. Bank transfer or check is almost always cheaper.

What is a cash advance fee?

A cash advance fee is a charge the credit card issuer takes when you withdraw cash using your credit card at an ATM or bank. It is usually 3% to 5% of the amount withdrawn, with a minimum of $2 to $5. Interest also starts accruing when ready, unlike purchases, which often have a grace period.

Is it ever a good idea to use a credit card to send money?

Only if you are paying a bill to a company that accepts credit cards and you are earning rewards points that outweigh the fee — and only if you can pay off the balance when ready. For sending money to people or moving money between your own accounts, a bank transfer or payment app funded by your bank account is cheaper.

Can I use PayPal or Venmo without paying a fee?

Yes, if you fund the transfer from your bank account or debit card. Most payment apps charge 2% to 3% when you use a credit card because they have to pay that fee to the credit card network. Linking your bank account instead avoids the fee.

What happens if I use my credit card for a cash advance?

You pay a cash advance fee (3% to 5%), and the issuer starts charging you interest when ready — usually at a higher rate than your purchase rate. If you withdraw $300, you might pay $10 to $15 in fees alone, plus interest every day until you pay it back. This is one of the most expensive ways to borrow money.