Need cash quick? How a credit card helps me when I'm short of funds

Dubai: It’s a common belief that credit cards can be more trouble than they’re worth. Hidden fees, high interest rates, and ballooning debt can easily trap the unwary. But here’s what many people overlook: when used wisely, credit cards can be lifesavers, especially in urgent situations.

Not long ago, I found myself in a sudden cash crunch. Nothing serious — just an unexpected payment that couldn’t wait. Taking a personal loan seemed too complicated, and borrowing from friends or family wasn’t ideal either.

That’s when I remembered an email from one of my credit card providers about something called a ‘Cash on Credit’ facility. I gave their customer service a quick call — and to my surprise, the process was smooth and simple.

After a short verification, I was approved for a cash loan worth 90 per cent of my available credit limit. The best part? There was a limited-time offer, so I got zero interest for six months and only had to pay a small processing fee. Two working days later, the money was in my account — no paperwork, no waiting, no stress.

Cash on Credit is a pre-approved loan offered by many credit card companies. It lets you borrow cash against your card’s available limit — often at lower interest rates than standard card purchases, or even at zero interest during promotional periods.

Here’s how it typically works: The loan amount is usually up to 90 per cent of your available credit limit.

For example, if your card has an available credit limit of Dh10,000, you could get up to Dh9,000 in cash.

A one-time fee, usually between 1 per cent to 3 per cent of the loan amount. This is often added to your first monthly installment.

You can choose from flexible repayment options—commonly 3, 6, 9, or 12 months. The total loan amount, plus the processing fee, is split into equal EMIs (Equated Monthly Installments). Depending on the offer, you may get a zero-interest EMI plan or a low fixed interest rate—much lower than regular credit card interest charges. The best part is, since it's pre-approved, there’s no paperwork or credit evaluation required.

If you’re in need of quick, short-term cash and don’t want the delay or documentation of a personal loan, Cash on Credit can be a smart option — especially if there’s a promotional offer involved.

It also helps avoid dipping into your emergency savings or breaking long-term investments prematurely. Just be sure to pay your EMIs on time. Missing one could cancel the EMI plan and treat the remaining balance as a regular credit card transaction — attracting high interest charges from day one. Used carefully, this feature can turn your credit card from a financial burden into a reliable backup plan.