I know that having cash off a credit card is a very bad idea, but this will work, won’t it?

[TeapotCollection]

I would never normally withdraw cash on my CC because I know it’s costs an horrendous amount in the long run, but I’ve just been refunded a few hundred pounds from a cancelled event so if I have that in cash that’s fine isn’t it?

Can’t go wrong, can it?

Just want to make sure I’m not missing anything

We were refunded for a holiday that was cancelled last year leaving my credit card in credit as there was no outstanding balance on it. I just used the credit card to pay for everything I would normally use my debit card for, so food shopping, any online purchases etc. I put the money in my bank account that I wasn't spending into savings every month until the credit card was at 0 again.

It can hit your credit rating - they assume you are desperate - so check on how to make sure it doesn’t happen.

@Flatpackback

I’m not clear what you mean but if you mean you are now in credit on the card due to the refund, don’t withdraw it as cash. Contact the credit card provider and ask them to transfer it to your bank account. If you don’t, you will pay interest. Cash borrowed on a credit card incurs interest from the day of withdrawal, there is no credit free period like you get with purchases. Recently I had a refund of £150 to a credit card, so I subtracted that from the amount due and paid the balance. I thought this was the right thing to do but no, they charged interest on the £150 because it was a “credit” and not a “payment”. After a lot of arguing I got the interest refunded, it’s creative accounting on their part as I see it but they are a business that exists to make money. Don’t pay extra for getting your hands on your money.

Contact the credit card provider and ask them to transfer it to your bank account

This, they will return as a refund
You are not technically withdrawing cash, but its important to speak to them