Introduction
Chime offers a cash advance feature that lets eligible members overdraw their accounts up to $20 as a non-recurring cash advance. This can provide emergency cash when needed until payday. Here’s what to know about how Chime cash advances work, eligibility, fees, limits, and alternatives.
What is a Chime Cash Advance?
A Chime cash advance is a short-term advance that members can obtain through the Chime Credit Builder Visa® Credit Card, up to $20. It allows you to complete transactions that overdraw your account when you don’t have sufficient funds, in exchange for a fee. It functions similarly to overdraft protection.
Who is Eligible for a Chime Cash Advance?
- To qualify for a cash advance from Chime, you must:
- Have a Chime Spending Account open for 30 days or more
- Have $200 or more in qualifying direct deposits to your account each month
- Have a linked Chime Credit Builder account
- Have not obtained a cash advance in the last 30 days
If you meet the criteria, you can request a cash advance when needed directly in the Chime mobile app.
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Chime Cash Advance Limits
Here are the specific limits on Chime cash advances:
- Maximum advance amount: $20
- Maximum advances per month: 1
- Lifetime maximum advance amount: $1,000
- Cannot exceed your remaining Credit Builder credit limit
So the maximum you can take out as a cash advance per month is $20, and you can only do this once per month.
What Are the Fees for a Chime Cash Advance?
Chime charges a cash advance fee of 10% of the advanced amount, a minimum $5. So if you take a $20 cash advance, the fee would be $5. This fee is automatically deducted from your next qualifying direct deposit.
Alternatives to Chime Cash Advances
While convenient in emergencies, Chime’s cash advance fees can add up over time. Some alternatives include:
- Arranging an advance on your paycheck with your employer
- Borrowing from family or friends until payday
- Using a credit card cash advance sparingly (high fees apply)
- Covering overdrafts with Chime’s SpotMe feature instead (no fee under $100)
- Building an emergency fund to avoid overdrafts completely
The Bottom Line
Chime cash advances up to $20 can provide quick funds in a pinch when you’re short until payday. But the 10% fee minimum $5 should make it a last resort option only. Building savings and avoiding overspending remain the best ways to handle emergencies and stay financially healthy.
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