Listen to a Business English Dialogue about Cash advance
Mark: Hi Lydia, do you know what a cash advance is?
Lydia: Yes, Mark. A cash advance is when you borrow money from your credit card’s line of credit, typically at a high interest rate.
Mark: That’s correct. It’s a short-term loan that can be convenient in emergencies, but it’s important to be aware of the high fees and interest rates associated with it.
Lydia: Is there a limit to how much you can borrow with a cash advance?
Mark: Yes, there’s usually a limit on the amount you can borrow, which is determined by your credit card issuer and your available credit limit.
Lydia: Are there any alternatives to taking a cash advance?
Mark: Yes, Lydia. You can consider other options such as personal loans, borrowing from friends or family, or even negotiating payment terms with your creditors.
Lydia: I see. So, it’s important to explore all options before resorting to a cash advance to avoid accumulating high-interest debt.
Mark: Exactly. It’s essential to weigh the costs and risks associated with cash advances before making a decision.
Lydia: Thanks for explaining, Mark.
Mark: You’re welcome, Lydia. If you have any more questions about cash advances or financial options, feel free to ask!