How to Send Money from Credit Card to Bank Account Instantly

A credit card is a small plastic card issued by a bank or any other financial institution to allow you to buy goods and services on credit. In simple terms, the card will enable you to borrow money from your issuer for various uses and repay later at the end of the month. Besides buying goods and services, you can instantly send money from a credit card to a bank account.  

As a credit cardholder, you must have a bank account that connects with your card. The primary qualification of a credit card is to have a checking account with the issuing bank. Any transaction you carry out reflects in your bill automatically, and credit is added to the account. You should know that your credit card has a limit, and you should spend it within the limit. 

Upon getting a credit card, it is always a fantastic idea to create an online profile with your bank, whereby you can send money to your friends and relatives and purchase goods and services online. Nowadays, banks and other financial institutions have banking apps, and so long as you know how to transfer money using a routing number and account number, you do not have to visit your bank for assistance.  

Can you use a credit card to send money to an international bank?

Send Money from Credit Card to Bank Account Instantly 

You can use your credit card to send money to banks in other countries. Financial institutions communicate with each other. Thus, a person in the United States of America can use their credit card to send money to someone else in South Africa, Australia, New Zealand, etc.  

When sending money, international money transfer charges may take effect. Also, you need to understand the current conversion rates so that you can send the exact amount. The good thing with a credit card checking account is that you can access your account any time of the day.

As I mentioned earlier, it is easy to send money with a checking account number using your smartphone or computer to have an online account with your financial institution.  

How can you transfer money from a credit card to a bank account?

For you to transfer funds from your credit card to a bank account, you need to have an online account. You log into your bank account online and click ‘my account’ then select send money.  

The server will then require you to enter the recipient account number. If the receiving person is of another bank other than yours, you need to input the other bank’s routing number. Enter the amount to send and click okay. If you have registered for a two-way verification process, then your bank will send a One Time Password (OTP) to your phone number to prove that you are the one performing the transaction.  

When the transfer is successful, you will receive an SMS or an email notifying you of the transaction. Your bank will always advise you to report immediately if you are not the one who carried out the transaction for immediate reversal or freeze the recipient’s account.  

Note that it is important to ensure that you have enough credit for a successful transaction. If you have depleted your credit limit, you need to repay your credit to access another one. 

How long does it take for funds to transfer from a credit card to a bank account?

It takes several days for funds to reflect on the recipient account. For American Express, it can take 5 – 7 days or longer under unavoidable circumstances. Capital One Bank takes 3 – 14 days, while Citi takes 2 – 21 days. The duration taken for the money to reflect on the recipient account varies from one bank to another.  

What happens if I send money to the wrong recipient?

If you enter a wrong account number, then the money goes to the wrong person. Once you realize that you have sent money to the wrong bank account, you should immediately contact your bank’s customer care to help you reverse the money.

Do credit cards work the same as debit cards?

There is a difference in the way you can use money with the two cards. A credit card allows you to borrow money from your bank, while a debit card will enable you to use your savings. If you deplete your balance in your debit account, then that’s all unless your financial institution allows you to overdraft. 

Despite the difference mentioned above, both cards can help you buy goods and services either at physical swiping points or online. You can also send money using either of the cards. The process on how to transfer money from debit card to another debit card is similar to that of credit cards. 

It is the same as transferring money from one account to the other. You need the account number of the additional debit cardholder to send money to their account. Again, both debit and credit cards allow you to operate your account online. 

What happens when I lose my credit card?

Credit cards are advantageous to use as compared to debit cards and prepaid cards. If you lose a credit card and someone uses the card fraudulently, then the liability usually goes to the merchant or the bank that issued the card.

If you bought something from a merchant and some money got lost in the transaction process, the merchant must pay the money. On the other hand, if you lost your credit card and someone used the credit, the issuing bank takes responsibility. It all depends on the circumstances surrounding the fraud. 

Debit cards and prepaid cards are different in that if someone uses the money in your account fraudulently, then you lose it. Your issuing institution is not liable for the loss. Above all, you should report the matter immediately so that your card issuer can deactivate the card.  

How else can I send money internationally other than using credit cards?

Credit cards are not the only way you can send money to someone else. Other methods include; 

  •  ACH transfers
  • Agents such as Western Union and MoneyGram, PayPal, Payoneer, and many others. 
  •  Mobile money transfer 

ACH transfer is one of the best ways to transfer money internationally since it is cheap. PayPal, Payoneer, and other similar platforms are fast since money reflects on the recipient accounts within minutes. ACH transfer may take to 3-5 days to complete. 

How many kinds of credit cards are there?

There are two main types of credit cards. We have secured and unsecured credit cards. A secured credit card requires you to pay some deposit to get it. The cards are mainly for people with bad credit scores, and banks must ensure that their money is safe since you pose a significant risk. If you have bad scores, you can get the card to redeem yourself.  

On the other hand, unsecured credit cards are for people with good credit scores, i.e., 670 and above are eligible for unsecured credit cards. Different card issuers demand individual credit scores for the cards. A card may need scores of 700 and above, while another one may need 680. 

Few issuers can give a second chance credit card with no security deposit. Examples include Total Visa Card and Milestone MasterCard. However, the credit limit for the second chance credit cards usually is shallow. 

Who can own a credit card?

The legal age you should have to qualify for a credit card is 18 years. It means you have an ID, Social Security number, and probably an address. However, other determining factors dictate whether you can get a credit card or not. Apart from having the required documents, you need to show a steady income source such as self-employment or salaried employment. Your bank statement will speak louder on this. 

Interestingly, people under the age of 18 can still get credit cards. However, one should have someone like a parent, guardian, or adult relative to guarantee the card. He or she promises to pay for the credit used. It makes students have convenient access to funds in times of need. Parents can also consider debit cards for their kids.

Can a credit card help me grow my credit scores?

If you use your credit card properly, then your credit scores increases. Spending below the credit limit, paying your debts online, and keeping the credit card active are acceptable practices that can help you increase your credit scores. Late payment is the major drawback to credit scores.

Higher credit scores give you access to higher credit limits with fewer interest rates than low credit scores. It’s because banks can trust you due to your good credit history.  

Bottom line

Credit cards are handy when it comes to sending money either domestically or internationally. You can easily access a credit account on your smartphone using the internet. Moreover, credit cards are safe since you are not liable for any fraudulent use of credit. Furthermore, credit cards help you create a good relationship with financial institutions and quickly get big personal development loans.