Have you ever faced an awkward situation at the checkout counter when your card gets declined due to insufficient funds? I‘m sure we all have at some point!
But what if I told you there‘s an easy way to avoid such scenarios with PayPal?
Yes, by adding gift cards to your PayPal wallet, you can bid farewell to last-minute payment failures forever!
In this guide, I will walk you through the entire process of adding a gift card to PayPal in simple steps. We will also discuss:
- Advantages of linking gift cards to PayPal
- Different types of gift cards supported
- Activating and redeeming gift card payments
- Troubleshooting tips to resolve issues
- And lots more!
So let‘s get started, shall we?
Why Should You Add Gift Cards to Your PayPal Account?
Here are some great benefits of using gift cards with PayPal:
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Use Extra Funds Seamlessly: Gift card balances get added to your PayPal wallet. So you can conveniently use this extra money for online shopping and transfers without entering gift card details repeatedly.
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Financial Backup: Gift cards make excellent financial backup when your primary payment sources hit limits. No more missing out on great deals!
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Gifting Made Easy: Purchase digital gift cards from PayPal‘s Gift Card store and gift them to anyone around the globe quickly.
As per PayPal‘s 2021 report, 68% of millennials and Gen Zers prefer receiving digital gift cards over physical ones. So e-gift cards make great presents!
- No Wastage of Leftover Balances: Gift cards no longer have to be discarded if they have leftover low balances. Simply add them to PayPal and redeem every last penny!
Step-by-Step Guide to Add a Gift Card to PayPal
Without further ado, here are the detailed steps to link a gift card with your PayPal account:
Step 1: Sign Up for a PayPal Account
If you already have a PayPal account, you can skip to the next step.
If not, visit PayPal‘s website and click on Sign Up. Ensure you have the following information handy to create an account:
- Your bank account details
- Debit/credit card number
- Social security information
This is required for identity verification. PayPal will send micro-transactions to your bank/card which you must report back to complete registration.
Tip: Choosing two-factor authentication adds extra security to your PayPal account against fraud.
Step 2: Access Your PayPal Wallet
- Log into your PayPal account.
- Click on Wallet located on the top menu. This is where all your monetary transactions show up.
Pro Tip: You can also access Wallet via the PayPal mobile app. The steps remain the same.
This brings us to the next step…
Step 3: Click on Link a Card
- Your Wallet page displays the total PayPal balance on top.
- Under Add payment methods, there are two options:
- Link a bank account
- Link a card
Since we are adding a gift card, click on Link a Card.
If prompted to link card manually, choose that. Some users reported automatic linking not working reliably.
Step 4: Fill in Gift Card Information
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In the Add Card screen, provide the following gift card details:
- Card number
- Expiration date
- Security code (CVV)
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Enter any missing billing address information.
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Finally, click Add card.
It may take 1-3 business days for PayPal to verify the gift card depending on the amount and issuer.
Note: Avoid making card transactions before verification is complete. This leads to failed payments.
And that‘s it! Once successfully linked, you can select your gift card for future PayPal checkouts.
Wasn‘t that easy?
Now let us take a look at the common types of gift cards you can link with PayPal.
Different Kinds of Gift Cards Supported by PayPal
You can add the following gift cards to use the extra balance in your PayPal wallet:
| Gift Card Type | Description | Example |
|---|---|---|
| Physical Gift Card | Traditional gift cards with magnetic strips provided by retail stores | Walmart gift card |
| eGift Cards | Digital gift card codes received online via email / SMS | Amazon e-gift card |
| Open-Loop Card | Branded gift cards by payment processors like Visa, Mastercard, Amex | $100 Visa gift card usable anywhere Visa is accepted |
| Closed-Loop Card | Merchant-specific gift card that can only be spent at that particular retailer | Starbucks gift card usable only at Starbucks stores |
Did You Know? As per 2021 PayPal statistics, users made $200+ million worth of purchases using gift card funds added to PayPal!
So don‘t let those unused gift card balances go to waste. Put them right back to use with PayPal!
Just ensure your gift card meets the following criteria before adding:
- Valid and not expired
- Not already redeemed
Used or invalid cards get declined by PayPal upon linking.
Now let‘s talk about redeeming…
Redeeming Your Gift Cards for PayPal Purchases
Gift cards don‘t require manual redemption when used with PayPal. Here is what happens behind the scenes when you add one:
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The gift card balance automatically gets credited to your PayPal wallet.
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PayPal deducts funds from this secondary balance whenever you make purchases using PayPal.
For example, if you add a $25 Amazon gift card balance, your net PayPal balance becomes $25 richer!
When checking out via PayPal in the future, up to $25 gets utilized from the gift card funds depending on order value. Nice, isn‘t it?
One catch here is that some gift cards require explicit activation before working with PayPal. In such cases, PayPal sends an activation email/notification:
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Activate your gift card within 30 days of receiving the activation notice. Else the card gets returned to the sender per company policy.
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Once activated and validated by PayPal, the gift card amount gets added to your wallet.
If you face any redemption issues with your gift card, start troubleshooting!
Troubleshooting Tips for PayPal Gift Cards
Don‘t panic if your newly added gift card acts up. Here are some top scenarios and fixes:
Gift Card Payment Failure
Reason: Did not activate gift card before PayPal checkout.
Fix: Check inbox for activation email from PayPal. Follow instructions to activate card and retry payment.
Transaction Declined
Reason: Expired gift card.
Fix: Review gift card expiration date under Wallet and add only active ones.
Payment Error
Reason: Insufficient balance
Fix: Check gift card balance in Wallet. Top up or change to a card with higher balance.
International Transaction Block
Reason: Cross-border restriction
Fix: Contact PayPal to whitelist international usage for your gift card.
I hope these tips help in smoothing out any gift card redemption issues with PayPal! Reach out to their support center in case any problems persist.
And if you ever wish to exchange leftover gift card balances for cash, Fret not! Let me tell you how.
Exchanging Unwanted Gift Cards for Cash
Over time your PayPal wallet may pile up with multiple half-spent gift cards of little use.
Instead of letting them stagnate, you can exchange gift cards for equivalent cash added back to your PayPal balance.
Services like CardCash offer this facility at nominal charges:
Here is a step-by-step summary of their gift card exchange process:
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Visit CardCash website
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Select the merchant and enter gift card details (Number, PIN etc.)
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CardCash displays cash repurchase offer for the card
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Review Offer and accept if satisfactory
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Provide correct PayPal email address
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Cash equivalent gets credited to your PayPal balance!
Be sure to read their fine print for charges applicable per transaction.
Using CardCash is quite straightforward for receiving instant cash in exchange for those unused gift cards stacked up in your wallet.
So do check them out!
Final Words
I hope this detailed walkthrough gives you a clear picture of adding and redeeming gift cards with your PayPal account.
Whether it is utilizing leftover balances or purchasing brand new e-gift cards for friends, PayPal makes the entire gift card experience smooth and convenient.
Here‘s a quick summary of what we learned today:
✔️ How to add gift cards to PayPal in simple steps
✔️ Types of gift cards supported and verification process
✔️ Redeeming gift cards for online payments
✔️ What to do if payments fail
✔️ Exchanging unused gift cards for cash
So go ahead, use this guide to load up your PayPal wallet with gift card funds. Happy Shopping!
Have a PayPal question? Hit me up in comments!
