Are you in need of fast cash in Singapore? If so, a cash advance from DBS might be the solution you’re looking for. DBS offers a quick and easy way to get cash by using your credit card. In this article, we’ll cover everything you need to know about DBS cash advance in Singapore, from eligibility and application to fees and interest rates.
First, we’ll help you understand what DBS cash advance is and how it works. We’ll also cover the eligibility requirements and application process, so you can determine if this option is right for you. Next, we’ll explain the fees and interest rates associated with DBS cash advance, and compare it to other credit products. We’ll also discuss withdrawals and transactions, as well as repayment and charges. Finally, we’ll explore the benefits and limitations of DBS cash advance, and provide tips for maximising rewards and offers.
Understanding DBS Cash Advance
If you’re in need of cash and have a DBS credit card or DBS Cashline, you can use the DBS Cash Advance feature to withdraw cash up to your available credit limit. Here’s everything you need to know about DBS Cash Advance in Singapore.
What Is a Cash Advance?
A cash advance is a short-term loan that you can take out against your credit card or line of credit. Unlike a regular credit card purchase, a cash advance is not a purchase of goods or services. Instead, it’s a loan that you have to pay back with interest and fees.
DBS Cashline and Its Features
DBS Cashline is a personal line of credit that you can use for your short-term borrowing needs. It’s like a standby stash of cash that you can use whenever you need it. With DBS Cashline, you can withdraw cash up to your available credit limit and pay it back over a period of time.
DBS Cashline has a daily interest rate of 0.07% and no processing fee. You can use it to pay for unexpected expenses, such as medical bills, car repairs, or home repairs. It’s a flexible way to borrow money when you need it.
How DBS Cash Advance Works
To use DBS Cash Advance, you need to have a DBS credit card or DBS Cashline. You can withdraw cash up to your available credit limit from any DBS or POSB ATM in Singapore. The maximum withdrawal amount per day is S$3,000.
When you withdraw cash using DBS Cash Advance, you’ll be charged a transaction fee of 8% or S$15, whichever is greater. This fee is in addition to the interest rate that you’ll be charged on the amount you borrow.
It’s important to note that the interest rate on DBS Cash Advance is higher than the interest rate on regular credit card purchases. The finance charge imposed on DBS Cash Advance is 28.5% p.a. on the amount withdrawn and is chargeable on a daily basis from the withdrawal date until full payment.
In conclusion, DBS Cash Advance is a convenient way to get cash when you need it, but it comes with high fees and interest rates. If you’re considering using DBS Cash Advance, make sure you understand the terms and conditions and have a plan to pay back the loan as soon as possible.
Eligibility and Application
If you need quick cash, a cash advance might be the solution for you. DBS offers cash advance services to its customers, and applying for one is easy. Here’s what you need to know:
Eligibility Criteria for DBS Cash Advance
To be eligible for a DBS cash advance, you must have a DBS credit card. Additionally, you must meet the following criteria:
- You must be a Singaporean or a foreigner with a valid Singaporean address.
- You must be at least 21 years old.
- You must have a minimum annual income of S$30,000.
If you meet these criteria, you can apply for a cash advance from DBS.
Applying for a DBS Cash Advance
To apply for a DBS cash advance, you can do so via the DBS iBanking platform or the DBS/POSB ATM network. Alternatively, you can also visit any DBS branch to apply in person.
Before you apply, make sure you have the following documents ready:
- Your NRIC or passport.
- Your DBS credit card.
- Proof of income, such as your latest payslip or income tax statement.
Once you have your documents ready, simply follow the application process on the DBS iBanking platform or DBS/POSB ATM network. Alternatively, visit any DBS branch to apply in person.
Remember, a cash advance is a loan, and you will be charged interest on the amount you borrow. Make sure you can afford to repay the loan before you apply.
Fees and Interest Rates
Cash Advance Fee Structure
When it comes to DBS cash advance in Singapore, it’s essential to understand the fee structure. DBS imposes a cash advance fee capped at S$5,000, with no minimum withdrawal amount. Additionally, a transaction fee of 8% or S$15, whichever is greater, applies to each cash advance transaction. It’s important to be aware of these fees to make informed financial decisions.
Interest Rates and Compounding
DBS applies a finance charge of 28.5% p.a. on the amount withdrawn for cash advances. This charge is calculated on a daily basis from the withdrawal date until full payment is received. It’s crucial to understand the compounding nature of these rates and how they affect the overall cost of borrowing. Being mindful of the prevailing interest rates is essential when considering cash advances through credit cards or personal loans.
Comparison with Other Credit Products
If you need cash urgently, there are several credit options available in Singapore. Some of the most popular options are personal loans, credit cards, and DBS Cash Advance. Here is a brief comparison of these credit products to help you decide which one is best for you:
Personal Loans
Personal loans are a popular credit option for those who need a large amount of cash. These loans usually have a fixed interest rate and a fixed repayment period. You can borrow up to 4 times your monthly salary with a personal loan. However, the approval process for a personal loan is usually longer than other credit options, and you need to have a good credit score to qualify.
Credit Cards
Credit cards are a convenient way to access cash when you need it. You can withdraw cash from an ATM using your credit card, or use it to make purchases. However, credit cards usually have a higher interest rate than other credit options, and you need to pay back the amount you borrow within a short period to avoid high interest charges.
DBS Cash Advance
DBS Cash Advance is a convenient way to access cash when you need it. You can withdraw cash from an ATM using your credit card, or use it to make purchases. The interest rate for DBS Cash Advance is lower than the interest rate for credit cards, but higher than the interest rate for personal loans. However, the approval process for DBS Cash Advance is usually faster than for personal loans, and you can borrow up to your available credit limit.
In conclusion, the credit option you choose depends on your financial situation and your borrowing needs. If you need a large amount of cash and have a good credit score, a personal loan may be the best option for you. If you need cash quickly and have a credit card, DBS Cash Advance may be the best option for you. However, if you don’t have a credit card or need a large amount of cash, a personal loan may be the best option for you.
Withdrawals and Transactions
Are you in need of cash urgently? DBS offers cash advance services to its customers, which can be a lifesaver in times of emergencies. Here’s everything you need to know about DBS cash advance in Singapore.
Withdrawing Cash from DBS/POSB ATMs
DBS/POSB ATMs are available throughout Singapore, making it easy for you to withdraw cash when you need it. You can withdraw up to S$3,000 per day from a DBS/POSB ATM, subject to your credit card’s cash advance limit.
To withdraw cash, insert your credit card into the ATM and enter your PIN. Select the “Cash Advance” option and enter the amount you wish to withdraw. The cash will be dispensed, and the transaction fee will be charged to your credit card account.
Overseas Cash Advance Transactions
If you’re travelling overseas and need cash, you can use your DBS credit card to withdraw cash from ATMs in the local currency. However, please note that there will be additional charges for overseas cash advance transactions.
The transaction fee for overseas cash advance transactions is 8% of the amount withdrawn or S$15, whichever is greater. In addition, a finance charge of effective interest rate 28% p.a. (subject to compounding if the charges are not repaid in full) on the amount withdrawn is chargeable on a daily basis from the date of withdrawal until receipt of full payment.
Using Cash Advances for Payments
Cash advances can be used to make payments at selected merchants in Singapore. However, please note that there will be a transaction fee of 8% of the amount withdrawn or S$15, whichever is greater, for each cash advance transaction.
It’s important to note that cash advances should only be used in emergencies, as they can be expensive due to high transaction fees and finance charges. Make sure to pay off your cash advance balance as soon as possible to avoid incurring additional charges.
In summary, DBS cash advance services are a convenient way to access cash when you need it. Withdrawing cash from DBS/POSB ATMs is easy, and you can use your credit card to withdraw cash overseas. However, please be aware of the transaction fees and finance charges associated with cash advances, and only use them in emergencies.
Repayment and Charges
When it comes to repaying your DBS cash advance, there are a few things you need to know to avoid unnecessary fees and charges. Here’s what you need to know:
Repaying Your Cash Advance
You can repay your cash advance in full at any time before the due date to avoid any additional fees. However, if you cannot repay the full amount by the due date, you must make at least the minimum payment to avoid late fees and additional charges.
Understanding the Minimum Finance Charge
DBS charges a minimum finance charge on cash advances. This charge is calculated based on the outstanding balance and is subject to compounding if the charges are not repaid in full. The minimum finance charge is S$2.50, and the effective interest rate is 28.5% per annum.
Avoiding Additional Fees
To avoid additional fees and charges, make sure you repay your cash advance in full before the due date. If you are unable to do so, make sure you make at least the minimum payment to avoid late fees and additional charges.
It’s important to note that if you withdraw cash using your credit card, you may be charged a higher interest rate and additional fees. DBS Cashline may be a better option for short-term loans, as it charges a lower interest rate and fees compared to credit card cash advances.
In summary, when it comes to repaying your DBS cash advance, make sure you understand the minimum finance charge, repay your cash advance in full before the due date, and avoid additional fees by making at least the minimum payment. By following these tips, you can avoid unnecessary fees and charges and make the most of your DBS cash advance.
Benefits and Limitations
Advantages of DBS Cash Advances
If you are in urgent need of cash, DBS cash advance can be a lifesaver. It is fast and immediate, allowing you to get the cash you need right away. The cash advance limit is usually a percentage of your credit limit, which means you can withdraw a significant amount of money if you have a high credit limit.
Another advantage of DBS cash advance is that it is convenient. You can withdraw cash from any DBS or POSB ATM in Singapore or any ATM that accepts Visa or Mastercard. This means that you can access cash almost anywhere, anytime.
Limitations and Considerations
While DBS cash advance can be a convenient solution when you need cash urgently, there are some limitations and considerations that you should keep in mind.
Firstly, there is a cap on the amount of cash you can withdraw. The cash advance limit is usually a percentage of your credit limit, and it varies depending on your creditworthiness. Additionally, there is a maximum withdrawal amount from a DBS/POSB ATM, which is S$3,000 per day.
Secondly, DBS cash advance comes with a transaction fee of 8% or S$15, whichever is greater, for each cash advance transaction. This means that if you withdraw S$1,000, you will be charged a fee of S$80, which can add up quickly if you withdraw a significant amount of money.
Finally, DBS cash advance can be a double-edged sword. While it can provide you with immediate cash, it can also lead to debt if you are not careful. The interest rate on cash advance is usually higher than the interest rate on purchases, and it starts accruing from the day you withdraw the cash. This means that if you do not pay off the cash advance quickly, the interest charges can add up quickly, making it difficult to get out of debt.
Overall, DBS cash advance can be a convenient solution when you need cash urgently. However, it is important to use it responsibly and only when necessary. Make sure you understand the fees and interest charges involved, and have a plan to pay off the cash advance quickly to avoid falling into debt.
Security and Safety Measures
When it comes to cash advance, security and safety are of utmost importance. DBS takes several measures to ensure that your PIN and account remain secure.
Protecting Your PIN and Account
DBS understands the importance of protecting your credit card PIN. That’s why they have implemented several measures to ensure that your PIN remains secure. For instance, when you receive your credit card PIN, it is in an encrypted format. Additionally, you can change your credit card PIN at any DBS/POSB ATM.
Moreover, DBS advises you not to share your PIN with anyone, including family members and friends. If you suspect that someone knows your PIN, you should change it immediately.
DBS’s Security Protocols
DBS takes your security seriously. They have implemented several security protocols to ensure that your account remains secure. For instance, they use industry-leading secure technology and protocols to ensure that your information and money are safe whenever you bank online. DBS iBanking Security Features are designed to protect you against fraud.
Additionally, DBS has introduced Safety Switch, a security feature that allows you to suspend access to your funds and self-service banking facilities quickly if you are a victim of a suspected scam. This feature helps to protect your account from unauthorized access.
If you have any feedback regarding the security of your account, you can contact DBS’s customer service team. They will be happy to assist you with any concerns you may have.
In conclusion, DBS takes several measures to ensure that your cash advance experience is safe and secure. By protecting your PIN and account and implementing industry-leading security protocols, DBS is committed to providing you with a safe and secure banking experience.
Additional DBS Products and Services
If you are looking for other products and services offered by DBS, here are a few that might interest you:
DBS Live Fresh Card
The DBS Live Fresh Card is a credit card that offers cashback on online purchases, contactless payments, and SimplyGo rides. You can also enjoy discounts on dining, entertainment, and travel. With the DBS Live Fresh Card, you can also get a cash advance of up to your available credit limit. The interest rate for cash advance is 28% p.a. and there is a transaction fee of 6% or S$15, whichever is higher.
POSB Credit Cards and Features
POSB, a subsidiary of DBS, offers a range of credit cards that cater to different needs. For example, the POSB Everyday Card offers cash rebates on daily essentials such as groceries, dining, and transport. The POSB Go Card is designed for students and offers cashback on online shopping, dining, and transport. POSB credit cards also come with features such as contactless payments, mobile payments, and instalment plans.
Balance Transfer and Line of Credit
If you have outstanding balances on your credit cards or personal loans, you may want to consider a balance transfer or a line of credit. DBS offers balance transfer plans that allow you to transfer your outstanding balances to a DBS credit card or personal loan at a lower interest rate. DBS also offers a personal line of credit called DBS Cashline that allows you to borrow up to four times your monthly salary. The interest rate for DBS Cashline is 20.5% p.a. and there is a processing fee of 2% of the approved credit limit.
Overall, DBS offers a range of products and services that can help you manage your finances better. Whether you are looking for credit cards, personal loans, savings accounts, or other financial products, DBS has something for everyone.
Maximising Rewards and Offers
When you use your DBS credit card for cash advance, you can also maximise your rewards and offers. Here are some ways to do so:
Cashback and Rebates
DBS credit cards offer cashback and rebates on eligible transactions. You can earn cashback on dining, travel, and shopping, as well as on your daily expenses such as groceries and petrol. Check your credit card terms and conditions to see what cashback and rebates you are eligible for.
Earn and Redeem Air Miles
DBS credit cards also allow you to earn and redeem air miles. You can earn air miles when you use your credit card for eligible transactions, and then redeem them for flights, hotel stays, and other travel-related expenses. Check your credit card terms and conditions to see what air miles you are eligible for.
Dining, Travel, and Shopping Vouchers
DBS credit cards offer dining, travel, and shopping vouchers that you can redeem for discounts and other perks. You can earn these vouchers when you use your credit card for eligible transactions, and then redeem them for dining, travel, and shopping expenses. Check your credit card terms and conditions to see what vouchers you are eligible for.
By maximising your rewards and offers, you can make the most of your DBS credit card cash advance. Remember to always read the terms and conditions carefully to ensure that you are eligible for the rewards and offers that you want to redeem.
Managing Your Finances
Managing your finances is an important aspect of responsible financial planning. When it comes to cash advances, it’s crucial to have a repayment plan in place to avoid getting into debt. Here are some tips to help you manage your finances effectively when using DBS cash advance in Singapore.
Creating a Repayment Plan
Before taking out a cash advance, create a repayment plan that works for you. Determine how much you can afford to repay each month and set a timeline for paying off the balance. Make sure to include the interest and any additional fees in your calculations, so you have a clear understanding of the total cost of the loan.
Budgeting with Cash Advances
Cash advances can be a useful tool for managing your finances, but it’s important to use them wisely. When budgeting with cash advances, make sure to only borrow what you need and can afford to repay. Avoid using cash advances for non-essential purchases or expenses that can wait until your next paycheck.
Understanding the Impact on Credit History
Using cash advances can impact your credit history, so it’s important to understand how they work. Cash advances are considered high-risk loans, and failure to repay them can negatively impact your credit score. Make sure to repay your cash advance on time and in full to avoid damaging your credit history.
Remember, cash advances are a convenient way to access cash quickly, but they come with higher interest rates and fees. Use them responsibly and only when necessary. With proper planning and budgeting, you can effectively manage your finances and avoid getting into debt.
Frequently Asked Questions
What are the charges for withdrawing cash using a DBS credit card?
If you withdraw cash using your DBS credit card, you will be charged a cash advance fee of 8% of the amount withdrawn or S$15, whichever is greater. In addition to this, interest will be charged on the amount withdrawn at a rate of 28.5% per annum, calculated on a daily basis from the date of withdrawal until the date of full payment.
How can I obtain a cash advance with my DBS credit card?
To obtain a cash advance with your DBS credit card, you can visit any DBS/POSB ATM in Singapore or overseas. Alternatively, you can also use your credit card at any bank that accepts Visa or Mastercard for cash advances.
Is there a way to calculate the fee for a DBS cash advance before making a withdrawal?
Yes, you can use the DBS Cash Advance Calculator on the DBS website to calculate the fees and interest charges that will be applicable to your cash advance. Simply enter the amount you wish to withdraw and the duration for which you will be borrowing the money, and the calculator will provide you with an estimate of the fees and charges.
Are there any circumstances under which the cash advance fee for DBS can be waived?
No, the cash advance fee for DBS cannot be waived under any circumstances. However, if you have a DBS Cashline account, you can withdraw funds from the account at a lower interest rate than the cash advance rate for credit cards.
How does the DBS cash advance feature compare to UOB’s cash advance service?
While both DBS and UOB offer cash advance services, the fees and charges for the services may differ. It is recommended that you check the respective bank’s website for more information on the fees and charges for cash advances.
What is the maximum amount I can withdraw as a cash advance from my DBS credit card?
The maximum amount you can withdraw as a cash advance from your DBS credit card is subject to your available credit limit. Please note that the cash advance limit is typically lower than the credit limit. You can check your available cash advance limit by logging in to your DBS iBanking account or by calling the DBS customer service hotline.
