paypal mastercard travel benefits

Cash-back bliss: A review of the PayPal Cashback Mastercard

Update: Some offers mentioned below are no longer available. View the current offers here .

PayPal Cashback Mastercard® Overview

For a cash-back card, it doesn't get much better than the PayPal Cashback Mastercard. If you're looking for a rewarding card that offers simple cash back -- and don't mind using the PayPal platform -- this card makes a whole a lot of sense. Very few competitors can match the impressive 2% cash-back earning rate that this PayPard card awards. Card Rating*: ⭐⭐⭐⭐

*Card Rating is based on the opinion of TPG's editors and is not influenced by the card issuer.

Contactless digital wallets and online payment systems like PayPal are popular for paying friends and businesses with just a few clicks. PayPal also offers two credit cards, one of which is spotlighted in this review.

The PayPal Cashback Mastercard is high on our list of cash-back cards for its uncomplicated 2% return on anything purchased. If you're putting a priority on cash back in the current economic environment , this card fits the bill.

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One downside, however, is that if you're not a regular PayPal user , you'll have to go through an extra step to transfer your funds to an external account. In many cases, this is worth the effort. Let's take a closer look at the PayPal Cashback Mastercard to see if it's right for you.

The information for the PayPal Cashback Mastercard has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.

Who is this card for?

A valuable cash-back card is an important component of any wallet. Whether as a standalone card or combined with other cards that offer richer rewards or more perks, the PayPal Cashback Mastercard is valuable for most people. That's because it has a high, flat-rate 2% earning on everything you buy and no annual fee.

The card targets existing PayPal users and is also an effort to attract new customers to the platform. For those familiar with PayPal's electronic payment service, this Mastercard would be a breeze to use.

Keep in mind that you'll need a PayPal account to even apply, but it takes just a few simple steps. If you can jump this slight hurdle, you'll be positioned to reap the cash-back rewards .

Welcome offer

Although the 2% cash back rate is higher than average, the PayPal Cashback Mastercard does not offer any welcome bonus. There is also no introductory rate on balance transfers or purchases. This is a bit disappointing compared to some other no-annual-fee cards. For instance, the Chase Freedom (No longer open to new applicants) offers $200 back after you spend $500 on purchases in your first three months from account opening.

The information for the Chase Freedom has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.

However, another cash-back card that's near the top of our list, the Citi® Double Cash Card.

Earning, perks and benefits

Obviously, the biggest draw here is the 2% cash-back earning on anything and everything (as long as that merchant accepts Mastercard). The simplicity of this card is fantastic, and you don't have to think about bonus categories or spending limits. Of course, you should spend only what you can afford since it never pays to accrue a monthly balance and pay interest on any rewards card.

Although there are no category bonuses with this card (like the 5% cash back/5x quarterly rotating bonuses with the Chase Freedom), this is still a solid option if you didn't want to use multiple cards.

The PayPal Cashback Mastercard also allows you to receive cash back at any time -- there are no redemption thresholds. Some cards require you to reach a minimum amount of cash back (like $25 or $50) before being permitted to cash out. Also, the instant access to this card is a noteworthy benefit -- you usually don't have to wait for the card to arrive in the mail to begin using it.

It shouldn't come as a surprise that with a no-annual-fee card there aren't any notable perks. However, this PayPal card does come with a few bare-bones, generic Mastercard core benefits . These include:

• Mastercard ID Theft Protection
• Mastercard Global Service that includes lost and stolen card reporting, emergency card replacement and emergency cash advance
• Microchip technology

How to redeem

First, rewards are available for transfer to your PayPal account a billing period after the period in which you earn them. Essentially, you'll earn one month and can redeem the next month. (As mentioned, you can choose to redeem rewards at any time thanks to the absence of redemption thresholds.)

To make a transfer, cardholders go through the following steps:

• Log into your PayPal account
• Access your rewards summary page
• Transfer the amount of your choosing to your PayPal balance (if you have a PayPal Cash or PayPal Cash Plus account)

When it comes to redemptions for non-PayPal users, you have to go through an extra step to use your cash back by transferring to an external bank account. It's quite easy to do but still is a minor annoyance compared to the simplicity of other programs not tied to PayPal.

Other cards to consider

There are other no-annual-fee, cash-back options to consider, although 2% cash back is really the best it gets for spending in nonbonus categories.

Citi Double Cash

A simple and rewarding cash-back card is the Citi Double Cash Card. This card earns you 2% cash back (1% when you buy and then another 1% as you pay).

Read the full Citi Double Cash review .

Wells Fargo Propel American Express® card

The Wells Fargo Propel technically earns points but these points are redeemed at a fixed value, so this essentially is a cash-back card. There's no annual fee, and you will earn 3x on a number of common spending categories, including dining (eating out and ordering in) , gas stations , transit , travel , and select streaming services . If these are your usual purchases, this Wells Fargo card can be even more lucrative than the PayPal Cashback Mastercard.

Read our full Wells Fargo Propel review .

The Wells Fargo Propel card is no longer available for new applicants. The information for this card has been collected independently by The Points Guy. The card details on this page have not been reviewed or provided by the card issuer.

Chase Freedom

If you don't mind keeping track of quarterly categories and spending caps, you can get a lot out of the Chase Freedom's 5x bonuses (up to the first $1,500 spent each quarter you activate). The bonus categories are typically valuable for that season and easy to maximize. Plus, if you have a card that earns Ultimate Rewards points (such as the Chase Sapphire Preferred Card), you can combine points and maximize earnings even further.

Read the full Chase Freedom card review.

Related: The best cash-back card of 2020

How do I apply for the PayPal Cashback Mastercard?

To apply for the PayPal Cashback Mastercard, you'll have to sign up for a PayPal account to begin the process.

What stores accept the PayPal Cashback Mastercard?

Any retailer or merchant that accepts Mastercard will accept the PayPal Cashback Mastercard.

Does this PayPal credit card have a foreign transaction?

No, the PayPal Cashback Mastercard does not have a foreign transaction fee. This is uncommon for a card with no annual fee.

Bottom line

The PayPal Cashback Mastercard is a solid, albeit no-frills, credit card for cash-back enthusiasts. If you're in the market for a 2% cash-back card with no annual fee, this is a great option. However, if you want a card that offers a welcome bonus , features more benefits and perks and is not affiliated with PayPal, look elsewhere.

Advertiser Disclosure

Bankrate.com is an independent, advertising-supported comparison service. The offers that appear on this site are from companies from which Bankrate.com receives compensation. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within listing categories. Other factors, such as our own proprietary website rules and the likelihood of applicants' credit approval, also impact how and where products appear on this site. Bankrate.com does not include the entire universe of available financial or credit offers.

Bankrate has partnerships with issuers including, but not limited to, American Express, Bank of America, Capital One, Chase, Citi and Discover.

The card could have great long-term value, but only if you take advantage of its PayPal bonus category

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Brendan Dyer holds a Master of Fine Arts in Journalism from Western Connecticut State University and worked previously as a content editor for Regional News Network, a hyper-local TV news station contracted by Verizon FiOS1 News. As a national service volunteer, Brendan exercised a passion for helping underserved communities and demographics through direct, community service. He constantly seeks to apply his expertise as a journalist to the field of personal finance with the goal of helping people navigate the complexities of the credit card industry.

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Courtney Mihocik is an editor at Bankrate Credit Cards and CreditCards.com specializing in credit card news and personal finance advice. Previously, she led insurance content at Reviews.com and worked as the loans editor at The Simple Dollar.

The Bankrate promise

At Bankrate we strive to help you make smarter financial decisions. While we adhere to strict editorial integrity , this post may contain references to products from our partners. Here's an explanation for how we make money and how we rate our cards . The content on this page is accurate as of the posting date; however, some of the offers mentioned may have expired. Terms apply to the offers listed on this page. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by any card issuer.

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Bottom line

This card has limited features, but its high flat-rate and bonus rewards could make it a winner for PayPal users.

PayPal Cashback Mastercard®

*The information about the PayPal Cashback Mastercard® has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer.

Our writers, editors and industry experts score credit cards based on a variety of factors including card features, bonus offers and independent research. Credit card issuers have no say or influence on how we rate cards.

A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.

Intro offer

Intro offer is not available for this Synchrony credit card.

Rewards rate

Earn 3% cash back on PayPal purchases Earn 2% on all other purchases

Regular APR

On This Page

• Current offer details

PayPal Cashback Mastercard pros and cons

• Reasons to get this card
• Reasons to skip this card
• PayPal Cashback Mastercard vs. other cash back cards
• Best cards to pair with the PayPal Cashback Mastercard
• Is this card worth getting?
• Rating methodology

Frequently asked questions

Paypal cashback mastercard® overview.

The PayPal Cashback Mastercard® could be a hit for people who use PayPal and has the potential to be a great no-annual-fee rewards card for everyone else.

This card offers unlimited 2 percent cash back on all purchases — a great flat rewards rate — and 3 percent back when you shop with PayPal . Few flat-rate cards go the extra mile by offering bonus categories and a flat rate higher than the typical 1 percent cash back found with most cash back cards.

Unfortunately, you may not easily figure out which purchases earn 3 percent cash back as not all stores let you make purchases through your PayPal account. Some may only allow direct debit card or credit card payments. The  card also lacks a sign-up bonus, intro APR offers and other benefits that help give rewards cards long-term value. Here’s what you need to know about the  PayPal Mastercard and how it stacks up against the best cash back cards .

• 3 percent cash back on purchases made through your PayPal account or when you send money to other PayPal users
• 2 percent cash back on all other purchases

Expert Appraisal: Typical See our expert analysis

Welcome offer

• This card doesn’t have a welcome offer.

Expert Appraisal : Weak See our expert analysis

Rates and fees

• Annual fee: None
• APR: 20.24 percent to 32.24 percent variable
• Cash advance fee: Either $10 or 5 percent of the amount of each cash advance
• Foreign transaction fee: 3 percent 
• Late payment fee: Up to $40
• Returned payment fee: $29

Expert Appraisal : Unimpressive See our expert analysis

Other cardholder perks

• Zero Liability Protection
• Lost and stolen card reporting
• Emergency card replacement

This card offers a unique combo of 2 percent cash back on all purchases with the chance to earn 3 percent cash back at merchants that accept PayPal.

The card charges no annual fee, making it affordable to pair with other rewards cards.

PayPal integration makes this a great card for people who use PayPal and want to manage their card, payments and cashback rewards all in one place.

The card has no sign-up or intro offers, limiting the card’s initial value compared to other cash back cards.

Your favorite stores may not be eligible to earn 3 percent cash back, and authorized users can only earn up to 2 percent cash back on all purchases.

This card’s APR can be higher than other cash back credit cards.

Why you might want the PayPal Cashback Mastercard

The PayPal Cashback Mastercard will be great for earning extra cash back without an annual fee if you regularly use PayPal. You earn boosted cash back rewards for purchases using PayPal, solid flat-rate cash back rewards for all other purchases and the card integrates seamlessly into a digital wallet .

Rewards: Boosted cash back for PayPal purchases

On top of its impressive 2 percent flat cash back rate on all purchases, the PayPal Mastercard offers a bonus rate of 3 percent cash back on PayPal purchases, including at stores that let you pay using the PayPal app. A powerful combination of rewards like this can set PayPal users up to earn outstanding rewards on nearly every purchase they make, whether using PayPal or not.

Most flat-rate cash back rewards cards only offer a flat rate on general purchases, with no additional bonus categories. Flat-rate rewards programs like these can keep things simple and hassle-free, but you may miss out on a higher rate in your biggest spending categories.

By pairing a flat 2 percent rewards rate on general purchases with 3 percent cash back on PayPal purchases, the PayPal Mastercard combines the best features of flat-rate and bonus-category cash back cards . However, to earn 3 percent cash back, you must be the primary cardholder. You also have to make purchases through your PayPal account, which you can do online or in-store as long as the merchant accepts PayPal as a form of payment. If the store doesn’t accept PayPal, you’ll earn 2 percent cash back. But the PayPal Mastercard’s lower barrier of entry and long-term rewards potential make it a worthy addition to anyone who regularly uses the PayPal app to make in-store or online purchases.

Rates and fees: No annual fee for unlimited boosted cash back

Rewards cards with boosted cash back rates sometimes have annual fees that eat into your yearly rewards balance. There are exceptions to this rule, like the Blue Cash Everyday® Card from American Express and the Citi Custom Cash® Card , but spending caps hamper these cards’ long-term value.

The PayPal Cashback Mastercard joins these top cash back credit cards as one of the most generous rewards cards that cost nothing to hold, and leads the pack as a competitor that doesn’t place a rewards cap on its highest rewards category.

Even if you don't use PayPal often, it’s a solid alternative to other flat-rate cash back cards with its 2 percent rate on all other purchases outside of PayPal.

Bankrate Insight

Several popular brands accept PayPal, which means you’ll have enough flexibility to maximize this card’s boosted rate just about anywhere. PayPal lists the merchants that accept PayPal as a payment method on its website. It includes a comprehensive list of popular fashion, travel, entertainment, electronics, and athletic brands. 

PayPal integration: Simple and secure account management

This card provides added convenience and functionality by integrating with the PayPal app. You can manage your card, PayPal account, cash back, rewards redemptions and mobile wallet from within the app. Although tracking card activity is not always complicated, the PayPal app gives you a one-stop location for managing your money.

Not only can seamless in-app integration protect you from credit card fraud with PayPal’s security features, like encryption and fraud detection, but you can use the PayPal app to view your card account details and PayPal activity in one place. Plus, you can use the PayPal app to make purchases using your PayPal Cashback Mastercard, meaning you won’t need to enter card details every time you make an online purchase.

If you’re wary about online purchases using your credit card, the PayPal app can be a barrier between your card information and merchants. Although exceptions to this process exist, merchants typically receive payments from PayPal, and your information remains private.

To redeem your rewards, you just need to select your cash back balance and choose a redemption method. You can redeem cash back rewards for PayPal purchases, a direct deposit to your bank account or as a statement credit. Redemptions for PayPal purchases can be more convenient than standard credit card rewards, especially if you’re a frequent PayPal user. To make it even easier, redemption options for PayPal purchases appear during checkout, where you can apply your rewards balance as a payment method to cover part or all of your purchase.

Why you might want a different cashback card

If you don’t use PayPal, this card could be tough to maximize. Even if you are a PayPal user, this card lacks some outstanding features like a welcome offer, an intro APR period and the many perks and benefits found on rival cards.

No welcome offer: Low first-year value compared to other cards

If you were hoping to get a headstart building a cash back balance with your next credit card, you might be disappointed to learn that the PayPal Cashback Mastercard doesn’t have a welcome offer , frequently found on many cash back cards. Cardholders typically can earn anywhere from $50 to $250 in cash back rewards for meeting a minimum spending requirement as part of a signup bonus. Although spending requirements can inspire overspending, the extra cash back is often worth it.

Consider another rewards or cash back card if you want a welcome offer. However, if PayPal makes up a majority of your budget, you might be better off earning a regular 3 percent back on PayPal purchases than a one-time $200 cash back bonus.

APR: A poor choice for transferring or carrying a balance

Intro APR periods are sometimes a lifeline for cardholders who want a break from interest payments to whittle down their credit card debt. Or they’re a great feature for new cardholders who want to chase a welcome offer’s spending requirement. The PayPal Mastercard doesn’t have an intro offer for either new purchases or balance transfers, making it a poor choice for current cardholders who want to transfer a balance or finance a large, upcoming purchase.

Lacking intro APR offers doesn’t necessarily mean it’s a bad credit card, but intro offers can bring peace of mind and convenience for cardholders new to credit or recovering from debt. Not to mention, this card has a relatively high ongoing APR. On the low end, it’s a manageable  20.24 percent variable. However, this card’s APR can be as high as 32.24 percent, far above the current average credit card interest rate . 

Perks: Limited to just network benefits

The PayPal Mastercard carries the minimum network benefits for cardholders, including zero fraud liability protection for unauthorized purchases, lost and stolen card reporting and emergency card replacement. These perks can give you peace of mind and make handling emergencies easier, but other issuers offer much more for their cardholders.

For instance, some no-annual-fee cash back cards have complimentary memberships and statement credits available for cardholders. 

How the PayPal Cashback Mastercard compares to other cash back cards

Unless you start collecting interest charges, the PayPal Cashback Mastercard is a low-cost card with an excellent cash back rate. But considering the card’s limited features, other cash back cards might be a better fit.

Recommended Credit Score

Citi Double Cash® Card

Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.

Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24.

Blue Cash Everyday® Card from American Express

Earn a $200 statement credit after you spend $2,000 in purchases on your new Card within the first 6 months.

3% Cash Back at U.S. supermarkets on up to $6,000 per year in purchases, then 1%. 3% Cash Back on U.S. online retail purchases, on up to $6,000 per year, then 1%. 3% Cash Back at U.S. gas stations, on up to $6,000 per year, then 1%. 1% Cash Back on other purchases.

PayPal Cashback Mastercard vs. the Citi Double Cash® Card

The Citi Double Cash® Card doesn’t offer a chance at 3 percent cash back but delivers in other areas. It earns up to 2 percent cash back (1 percent back when you buy, 1 percent when you pay) on all purchases. Although it comes up relatively short with rewards compared to the PayPal Mastercard, this rewards rate matches the base, flat rate of the card. 

The Double Cash card is also a great balance transfer card with a lengthy intro APR offer. If you have a current card balance on another card, consider a card like the Double Cash card because its intro APR offer is one of the most generous available. The amount you save on interest temporarily with this card could be more than you would earn with 3 percent cash back for PayPal purchases initially.

PayPal Cashback Mastercard vs. Blue Cash Everyday® Card from American Express

The Blue Cash Everyday Card from American Express doesn’t have a great flat rate — you’ll only earn 1 percent cash back on general purchases — but the card’s bonus categories could give people on a budget more than enough chances to rake in considerable cash back in everyday spending categories .

The card earns 3 percent cash back at U.S. supermarkets, U.S. gas stations and U.S. online retail purchases on up to $6,000 in purchases per calendar year in each category (then 1 percent). That gives you an average of $500 monthly to spend in each bonus spending category. If you have a reliable budget that sticks to everyday purchases with some online shopping, and you don’t use PayPal often, the Blue Cash Everyday card is the clear winner. The Blue Cash Everyday also includes extra perks, which are strikingly absent on the PayPal card.

Best cards to pair with the PayPal Mastercard

Since the PayPal Cashback card already offers a generous flat rate and the chance to earn boosted rewards for PayPal purchases, consider pairing it with a rotating category card that has outstanding rewards rates in other categories.

Chase Freedom Flex℠

The Chase Freedom Flex℠ card offers 5 percent cash back in quarterly rotating categories (upon activation, on up to $1,500 in purchases per quarter, then 1 percent back). The Freedom Flex also earns an unlimited 5 percent back on Chase Travel℠ purchases, 3 percent on dining at restaurants and drugstores and 1 percent on other purchases. If you don’t mind tracking so many categories, combining these two cards could help you rake in a considerable amount of cash back.

On top of the rewards, it comes with a sign-up bonus and an intro APR offer on purchases and balance transfers that could give you more than a year to pay down your debt. It also comes with World Elite Mastercard benefits, giving you far more perks than you’ll find with the PayPal card, such as cellphone protection, trip cancellation/interruption insurance and an auto collision damage waiver.

Citi Custom Cash® Card

The Citi Custom Cash® Card offers 5 percent cash back (on up to $500 each billing cycle, then 1 percent) on your top eligible spend category every billing cycle. This card offers 10 eligible bonus categories and can be a great boost for purchases outside of PayPal purchases, especially if you want to use the card for a specific expense like groceries or online shopping. 

The card also comes with the welcome offer of 20,000 ThankYou Points after spending $1,500 on purchases in the first six months, which is worth $200 in cash back. Considering the relatively low spend requirement and lengthy window of time to earn it, this can be a nice boost that you’re missing from the PayPal Mastercard.

Who is the PayPal Mastercard right for?

The PayPal Mastercard isn’t right for everyone, but it could be the next best addition to your wallet if PayPal is your go-to for purchases or if you prefer a low-hassle card.

PayPal users

If you use PayPal for most purchases, this is the best card for you. You can earn a generous cash back rate across a stunningly large variety of purchase categories with PayPal. Since the category of PayPal purchases is broad, you could earn 3 percent cash back in-store and online for products that would only earn 1 percent back on another cash back card.

Minimalists

Minimalist spenders can make the most of the PayPal Mastercard if they only want to hold one card and use one payment method for every purchase. You’ll earn a solid flat-rate everywhere and a generous boosted rate for purchases made using PayPal.

Bankrate’s Take — Is the PayPal Cashback Mastercard worth it?

The PayPal Cashback Mastercard offers a top-notch flat rewards rate on both general purchases and online or in-store shopping through PayPal. This rare combination gives the card good long-term value — as long as you can take advantage of the PayPal bonus category. If you’re already a PayPal user and have a good idea of the stores that let you use your PayPal account, this card could be a good fit.

For everyone else, it might not be easy to find out where PayPal is accepted. PayPal lists some merchants, such as Walmart , Best Buy and Home Depot, but it doesn’t offer a full list of merchants. And some merchants are selective with how they accept PayPal. For example, Target only accepts PayPal on Target.com and the Target app. If you don’t shop at stores that earn the higher rate, you may be better off with a different flat-rate card with better perks.

The information about the Chase Freedom Flex℠ has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer. 

How we rated this card

We rate credit cards using a proprietary card scoring system that ranks each card’s estimated average rewards rate, estimated annual earnings, welcome bonus value, APR, fees, perks and more against those of other cards in its primary category.

Each card feature is assigned a weighting based on how important it is to people looking for a card in a given category. These features are then scored based on how they rank relative to the features on other cards in the category. Based on these calculations, each card receives an overall rating of 1-5 stars (with 5 being the highest possible score and 1 being the lowest). 

We analyzed over 150 of the most popular rewards and cash back cards to determine where each stacked up based on their value, cost, benefits and more. Here are some of the key factors that influenced this card’s overall score and how the score influenced our review:

Rewards value

The primary criteria for a rewards or cash back card’s rating is its rewards value. This includes the card’s average rewards rate, estimated annual rewards earnings, sign-up bonus value and reward redemption value.

To estimate a card’s average annual rewards earnings, we first calculate its average rewards rate based on how much it earns in different bonus categories and how closely its categories align with the average person’s spending habits, according to data from the Bureau of Labor Statistics . 

Based on this data, we determine a “chargeable” spend (which purchases are likely to be put on a credit card and earn rewards). This includes the following spending by category:

• Groceries: $5,200
• Dining out: $3,000
• Entertainment: $2,500
• Gas: $2,100
• Apparel and services: $1,700

Using this data, we assign a weighting to each of a card’s bonus categories. For example, a card’s grocery rewards rate receives a 23 percent weighting based on how much of the average person’s budget is spent on groceries. We also estimate the redemption value of points or miles from various issuer, airline and hotel rewards programs.

This weighting and rewards valuation allows us to estimate a card’s average annual rewards earnings — how many points or miles you’d earn with a given card if your spending was about average and you used the card for all of your purchases, as well as what those points are worth. We also use point valuations to determine a card’s sign-up bonus value

With these calculations complete, we assign each card a score based on how its average rewards earnings, sign-up bonus value, rewards rate and redemption value stack up against other rewards cards.

We also rate cards based on how much it costs to keep them in your wallet or carry a balance. 

To start, each rewards or cash back card is scored based on whether it offers an intro APR and how its ongoing APR compares to the rates available on other rewards or cash back cards. 

We also score each card based on how its annual fee influences its overall value. 

We consider a card’s annual fee in two ways — how it ranks relative to the fees you’ll find on other cards in the category and how it impacts a card’s overall rewards value. Cards with an annual fee will always be at a slight disadvantage in our scoring system since annual fees inherently cut into your rewards value, but if a card offers terrific value via its ongoing rewards and perks, it can earn a high score even if it carries a high annual fee. 

With this in mind, we rate a card based primarily on how its ongoing rewards value and ongoing perk value (such as annual credits or bonuses) stack up against other cards in the category when you subtract its annual fee.

Flexibility

We rate each card’s flexibility based on the restrictions it imposes on earning and redeeming rewards and factor this rating into a card’s overall score. 

Flexibility factors include whether a card only allows you to earn a high rewards rate on a small amount of spending or requires you to meet a certain earning threshold before you can redeem rewards. We also examine whether your points are worth less when you redeem for some options versus others and whether a card gives you the flexibility to transfer rewards to airline and hotel partners. 

We also score each card’s set of features – its perks and benefits — against five tiers of features to provide a rating. 

We break down these tiers as follows:

• Tier 1 has less than standard card features (an ultra-streamlined card that offers basic utility and next to nothing in the way of ancillary benefits. 
• Tier 2 includes the benefits you’d expect on standard Visa or Mastercard credit cards, such as free access to your credit score, car rental insurance and $0 liability for fraudulent charges. 
• Tier 3 includes “prime card” or better-than-average card features like cellphone insurance, lost luggage insurance, concierge services and purchase protection. 
• Tier 4 includes luxury features such as airport lounge access, elite status with an airline or hotel and credits for expedited security screening membership programs. 
• Tier 5 includes the sort of exemplary benefits you’ll find on top-tier luxury cards, such as high-value travel credits, cardholder memberships and other unique and valuable perks.

When can I start using the PayPal Mastercard?

Luckily for cardholders, you’ll have instant access to your PayPal Mastercard through a virtual card. This can come in handy for online purchases or if you have a sudden emergency. A good way to keep track of your virtual card until your physical card is delivered to you is by adding it to your digital wallet.

What credit score is required for the PayPal Mastercard?

The suggested credit score for this card is at least fair to good (580 – 740 FICO score). This makes the PayPal Mastercard an accessible option for someone who may not have the best credit but can benefit from a no-annual-fee card.

Which bank is the PayPal Mastercard connected to?

The PayPal Mastercard is issued through Synchrony Bank. If you’re having trouble with your card, whether payment is not going through or there's an unauthorized purchase, contact the number on the back of your card or customer support at Synchrony Bank. 

* See the online application for details about terms and conditions for these offers. Every reasonable effort has been made to maintain accurate information. However all credit card information is presented without warranty. After you click on the offer you desire you will be directed to the credit card issuer's web site where you can review the terms and conditions for your selected offer.

Editorial Disclosure: Opinions expressed here are the author's alone, and have not been reviewed or approved by any advertiser. The information, including card rates and fees, is accurate as of the publish date. All products or services are presented without warranty. Check the bank’s website for the most current information.

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PayPal’s Debit and Prepaid Cards – Everything You Need to Know

Erin Miller

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Table of Contents

Paypal prepaid and debit cards at a glance, paypal prepaid and debit card differences, paypal prepaid and debit card fees and drawbacks, obtaining your paypal debit or prepaid card, final thoughts.

We may be compensated when you click on product links, such as credit cards, from one or more of our advertising partners. Terms apply to the offers below. See our  Advertising Policy for more about our partners, how we make money, and our rating methodology. Opinions and recommendations are ours alone.

PayPal is a commonly used option for quickly and efficiently transferring money online, and is increasingly replacing paper options such as checks and money orders.

But despite the popularity of PayPal, Venmo, and mobile wallets, there’s a well-established form of payment that’s still widely used today: plastic, in the form of debit and credit cards. PayPal has branded options for both credit and debit cards that can offer benefits for cardholders.

This in-depth review of PayPal’s prepaid and debit cards — PayPal Prepaid Mastercard ® and PayPal Cash Mastercard — explains the benefits, fees, drawbacks, and differences between these card options.

Bottom Line:  PayPal cards are debit cards, NOT credit cards! We explain the differences in our article Debit Cards vs. Credit Cards: What’s the Difference and Which Is Best?

Both PayPal Mastercards are issued by The Bancorp Bank and can be used anywhere Debit Mastercard is accepted.

There is no credit check for either card because they are not credit cards .

Cardholders must link their cards to their PayPal Cash Plus account to use these cards and their benefits.

PayPal Prepaid Card

Funds used for the PayPal Prepaid card account are held in an FDIC-insured account with The Bancorp Bank. Funds need to be loaded onto the prepaid card to utilize the card. The PayPal Prepaid card does not pull funds directly from your PayPal account.

This card comes with a $4.95 monthly plan fee. If you order the card online, the first $4.95 fee (the purchase fee) is waived, but the monthly fees still apply. This fee adds up to $59.40 per year.

Loading Funds Onto Your Card

Cardholders can load funds onto the card in a number of ways:

• No-cost direct deposit service
• Transfer from a linked PayPal Cash or PayPal Cash Plus account
• Add money at a Netspend Reload Network location (subject to fees)

PayPal Account Transfers

Any transfer made from a cardholder’s PayPal account is limited to the amount of money available in that account . For example, if you only have $150 in the account, you can’t transfer more than that.

Additionally, funds transferred from a PayPal account may not exceed $300 a day and $2,000 per rolling 30 days.

Netspend Reload Network Locations

Netspend provides more than 130,000 nationwide locations where cardholders may add funds to their account. However, a fee (specific to each location) is usually associated with this option.

The minimum amount a cardholder can load is $10 or $20 depending on the location. You can load a maximum of $500.

Special Offers

With the PayPal Prepaid card , PayPal may send cardholders rewards offers. Offers are based on your shopping habits, but PayPal  won’t share your personal information with the merchants that sponsor these offers.

Cardholders must review and activate the offer, then make the purchase with the PayPal Prepaid card. The cash-back rewards are credited to the card account.

5% APY Option

Cardholders are given the option to open a tiered-rate savings account through The Bancorp Bank, and along with it, the ability to earn up to 5.00% APY (Annual Percentage Yield) for balances up to $1,000 .

You must link your card to your PayPal account to open this savings account.

Interest is calculated on the average daily balance of the savings account with quarterly payments.

Additional details can be found here .

Cash Withdrawals and Cash-Back

You can use PayPal’s Prepaid Mastercard for cash withdrawals.

Cardholders can utilize any ATM with a Mastercard, Cirrus, or PULSE acceptance mark for a fee of $1.95 plus any surcharge fee from the ATM owner or bank. There is no owner surcharge fee if you use a  MoneyPass Network ATM for a withdrawal.

Hot Tip: You can withdraw cash at checkout when you make a purchase with merchants who accept Mastercard debit cards, such as grocery stores.

Purchase Cushion

Overdrafts are not an option with this card . If you attempt a purchase in excess of your account balance, it will generally be declined at the point of sale.

However, PayPal may authorize a purchase cushion for some cardholders who have completed a direct deposit transaction. This purchase cushion can create (up to) a $10 negative balance in your account that you will have 30 days to cover. There are no fees associated with this purchase cushion.

Refer-A-Friend Program

The PayPal Prepaid card has a Refer-A-Friend program that allows cardholders to earn $20 for every friend that they refer .

Your friend must sign up, activate their card, and load $40 onto the card for the program to payout. Once they’ve done so, you will both earn $20.

PayPal Cash Card

The PayPal Cash card is automatically linked directly to your PayPal Cash Plus account. When you use the card to make purchases, it pulls directly from the available balance in your PayPal account.

While you don’t have to load funds onto the card, you still need to be sure there is money in your PayPal account for the card to work.

Adding Funds to Your PayPal Account

Cardholders can add funds to their PayPal account in a few ways:

• Direct deposit
• Bank transfer
• Cashing a check (with the app)
• Loading cash at an approved location

Hot Tip: PayPal Cash cardholders can also utilize funds that other PayPal users have transferred to their account.

Direct Deposit

With direct deposit, cardholders can have all or part of their paycheck or government payment (including tax refunds and Social Security) transferred directly into their PayPal account by an employer or government entity.

These funds are generally available the same day the transfer is received, and there are no fees associated with this option.

Cashing a Check

PayPal gives users the option of cashing checks directly within the PayPal app.

PayPal uses a third party for this service, so there can be fees. You have the option of Money in Days or Money in Minutes .

There is no fee for the Money in Days option and funds will credit within 10 days. The Money in Minutes option is quicker than Money in Days, but it will cost you from 1% to 5% (with a minimum fee of $5) depending on the type of check, as this is considered expedited funding.

The minimum check amount is $5 and the maximum is $5,000. The daily limit is $5,000 per day, and the monthly limit is $15,000.

Loading Cash

The locations for loading cash into your PayPal account are not necessarily the same as the location options for the PayPal Prepaid card.

Cash loading is available at thousands of CVS, 7-Eleven, and Rite Aid locations nationwide. You must either generate a barcode within your PayPal account and print it, or do so within the smartphone app to load cash ($20 to $500 per transaction) into your account. You’ll show the barcode at the register with the cash you wish to deposit.

There is a $3.95 service fee associated with this option.

Cash Withdrawal

PayPal Cash card cardholders can withdraw cash at ATMs and participating locations nationwide.

There are no service fees associated with a cash withdrawal from a MoneyPass ATM. There are more than 32,000 MoneyPass ATMs nationwide.

If you use a different ATM (which must have a Mastercard, Cirrus, or PULSE acceptance mark), the withdrawal fee is $2.50 (both domestically and internationally), plus any amounts charged by the ATM owner.

Cash-back withdrawals at a checkout counter may require a $3 fee.

Automatic Top Up

Technically, this card does not allow for overdrafts. However, users can enroll in Automatic Top Ups to ensure their balance is sufficient to cover their transactions.

With this option, PayPal will automatically add funds to your PayPal balance whenever your available balance is less than the transaction amount. The top up is done by automatically transferring funds from your linked bank account or debit card.

PayPal usually offers cardholders the ability to select from a default amount such $20, $50, or $100, or a custom amount. This top up amount transfers each time it is required by the user to pay the full purchase amount.

If the top up amount selected is transferred and still does not cover the cost of the purchase, multiple top ups transfer automatically. For example, you’re making a purchase for $100 and only have $60 in your PayPal account. You’ve enrolled in Automatic Top Ups with a top up amount of $20. PayPal will automatically top up your account twice to allow for the completion of the purchase.

Save and Invest

PayPal promotes its Goals and Acorns programs through this card. However, these programs can be utilized with any PayPal Cash or PayPal Cash Plus account and do not exclusively require a PayPal Cash card.

These are not credit cards, so they don’t come with the standard fees we usually see on cards, such as APR, cash advance APR, cash advance fees, and late fees.

These are the fees associated with PayPal debit cards:

*Cash withdrawals at retailers such as grocery stores are free when you select the debit option and enter your PIN. Generally, you can expect a fee if a signature is required to obtain cash.

Additional Drawbacks

One of the drawbacks of these cards is that they’re not credit cards (although this could be a perk for some). Since they are not credit cards, they can’t be used to build your credit .

These aren’t the cards for you if you want to earn points or travel rewards from credit cards. While cardholders may be offered cash-back opportunities with the PayPal Prepaid card, the card doesn’t provide everyday rewards or bonuses for purchases in select categories (like some other credit cards do).

You must have an active PayPal Cash or PayPal Cash Plus account in good standing to take full advantage of all the benefits these debit cards have to offer.

Get Your PayPal Prepaid Card

You can obtain a PayPal Prepaid card in 1 of 2 ways:

• Order it online
• Purchase at a retail location

If you order the card online, PayPal waives the purchase fee of $4.95. Once the card is ordered, you should receive it in the mail within 7 to 10 business days.

If you purchase your PayPal Prepaid card at a retail location , you can load money onto the card immediately. However, this is a temporary card.

After purchase, the card still needs to be activated, which requires identity verification. Otherwise, you won’t get your real card or be able to add any more money to the account or use the card’s features.

You must activate the card within 120 days or the card will become invalid.

Get Your PayPal Cash Card

You can obtain a PayPal Cash card by requesting one online . Once you successfully order your card, it should arrive within 7 to 10 business days.

The PayPal Cash card and PayPal Prepaid card are the debit and prepaid card options provided by PayPal, but are they worth it? If you’re already an active PayPal user, maybe. If you’re not, it’s unlikely either card will benefit you all that much .

For current, active PayPal users, the best thing about these cards is that they link to your PayPal account. If you have a PayPal account where you regularly keep funds, they can be convenient. However, PayPal offers an option to transfer your balance into your bank account, which may be more convenient for some users than a card that pulls from your PayPal account.

Most banks won’t charge you a monthly or yearly fee for a debit card, but the PayPal Prepaid card has a $4.95 monthly fee. Yes, monthly. And there are quite a few other fees you could incur with either card.

If you want to earn rewards on everyday spending or earn points and miles, neither of these cards will help you out.

Frequently Asked Questions

Is the paypal prepaid mastercard a credit card.

No, the PayPal Prepaid card and the PayPal Cash card are NOT credit cards. They are both debit cards .

Does the PayPal Prepaid Mastercard build credit?

No, since neither the PayPal Prepaid card nor the PayPal Cash card are credit cards, they can’t help you build your credit.

How does the PayPal Prepaid Mastercard Work?

The PayPal Prepaid card is a debit card that can be used anywhere Mastercard is accepted, provided there are funds in the account. This specific card may be loaded with funds for use via direct deposit, a transfer from a linked PayPal Account, or in person at a Netspend Reload Network location (fees apply). This card has a $4.95 monthly plan fee.

Where can I buy a PayPal Prepaid Card?

PayPal Prepaid cards can generally be purchased at various pharmacies and discount stores. PayPal provides an interactive map where you can search for locations by address, city, or zip code.

Where can I reload my PayPal Prepaid card?

You can reload your PayPal Prepaid card at any Netspend Reload Network location. The Netspend Finder service is available online , by enrolling in and using PayPal’s real-time alerts service, or by telephoning the toll-free customer service phone number on your card.

What is the PayPal Cash card?

The PayPal Cash card is a Mastercard debit card offered by PayPal that is directly linked to your PayPal account. Cardholders can make purchases with this card wherever Mastercard debit is accepted.

This is not the same as the PayPal Prepaid card.

How does the PayPal Cash card work?

The PayPal Cash card is essentially a debit card. This debit card is linked directly to your PayPal account to make purchases.

Funds need to be present in your PayPal account for this debit card to work unless you are enrolled in Automatic Top Ups. With Automatic Top Ups, PayPal automatically creates a transfer of funds from your authorized bank to your PayPal account to cover your purchase.

Cardholders may also withdraw cash from ATMs with this card.

This card is not the same as the PayPal Prepaid card.

Where are PayPal Cash cards sold?

PayPal Cash cards are not sold in stores and must be requested online .

This card is not the same as the PayPal Prepaid card, which may be purchased at various retail locations.

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About Erin Miller

An experienced points hacker, Erin is Alex’s partner-in-crime and contributes to Upgraded Points with in-depth guides and relationship management. Erin’s work has been cited in multiple major publications.

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Paypal credit card review: cash back on all purchases with no annual fee, the paypal card offers 3% cash back on paypal purchases and 2% on all other purchases. but is it the right card for you.

The Citi Premier® Card is no longer available for new applicants . Terms apply to American Express benefits and offers. Visit americanexpress.com to learn more.

The PayPal Cashback Mastercard® is a straightforward cash-back credit card that delivers solid value without any frills.

As you spend on the card, you'll earn 3% cash back on PayPal purchases and 2% on all other purchases. The cash back you earn goes directly into your PayPal account.

Below, CNBC Select breaks down the rewards, benefits and fees associated with the PayPal Cashback Mastercard to help you decide if it's right for your needs.

PayPal Cashback Mastercard®

Earn 3% cash back* on PayPal purchases and 2% on all other purchases

Welcome bonus

Regular apr.

20.24%– 32.24% Variable, rates as of 9/1/2023

Balance transfer fee

Foreign transaction fee, credit needed.

Excellent/Good

*Terms apply.

• 3% cash back* on PayPal purchases and competitive 2 % on all other purchases
• Rewards can be redeemed at any amount, without the typical $25 minimum
• Easily integrates with your PayPal account
• No fee on purchases made outside the U.S.
• Cash-back redemptions are limited to deposits to your PayPal account, your linked bank account or debit card
• No introductory 0% APR for purchases or balance transfers
• No welcome bonus, so you can’t maximize rewards during the first few months of card opening

PayPal Cashback Credit Card Review

Benefits and perks, how to earn and redeem cash back, rates and fees, card comparison, who the paypal credit card is best for, bottom line.

The PayPal credit card is concise in its offering, making it a great fit for consumers looking for a simple way to save money on their purchases.

However, there are a few features to the card worth noting, including:

• 3% cash back on PayPal purchases and 2% on all other purchases, and the rewards never expire
• Instant access to credit line for PayPal purchases
• 15% discount on airport meet & greet services through Mastercard Airport Concierge
• Free identity monitoring

The only caveat to this card is that you must have a PayPal account open and in good standing before applying for the card. It's free to open and takes about two minutes. You can open an account here , just be sure to select the 'personal' account.

Additionally, this card doesn't have a welcome offer like many other cash back credit cards .

Earning cash back on spending

Select calculated how much cash back the average American can earn in a year when using their PayPal Cashback Mastercard . We worked with the location intelligence firm Esri, who provided us with a sample annual spending budget of $22,126.

The budget includes six main categories: groceries ($5,174), gas ($2,218), dining out ($3,675), travel ($2,244), utilities ($4,862) and general purchases ($3,953).

With all spending considered, this would give a cardholder at least $442 in cash back in the first year. Over a five year period, cardholders could potentially earn a minimum of $2,212 — although the total amount will depend on an individual's annual spending habits and on whether PayPal is used for any purchases.

Redeeming cash back

You can redeem the earned cash back in two ways:

• Direct deposit to your checking account
• Redeem the cash back for PayPal purchases

Many online merchants accept PayPal as a payment method, and you can use the cash back you've accrued on the card for your purchase.

The card has no annual fee . It has a 3% foreign transaction fee on all international purchases.

Late payment fees can be up to $41.

While the PayPal Cashback Mastercard is a solid pick as a cash back credit card, there are other cards that are potentially more lucrative to consider to help you save on your purchases.

PayPal credit card vs. Citi Double Cash® Card

The Citi Double Cash® Card is another great cash-back credit card as it offers 2% cash back on all purchases: 1% on all eligible purchases and an additional 1% after you pay your credit card bill.

The card also offer a valuable intro 0% APR for the first 18 months on balance transfers (19.24% - 29.24% variable thereafter; balance transfers must be completed within 4 months of account opening and there's an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. After that, your fee will be 5% of each transfer (minimum $5), which is a great way to save on interest charges on revolving credit card debt .

So if you're debating between the two cards, the cash-back potential is identical, except that the PayPal card earns 3% on PayPal purchases. If you also have a Citi card that also earns transferrable ThankYou points, like The  Citi Premier® Card , you can transfer your cash back from your Citi Double Cash® Card into ThankYou points. These points can then be transferred to airline partners, where you'll often get much more value from your points when redeeming this way.

If you need to consolidate existing credit card debt , the Citi Double Cash card is also a better choice.

Citi Double Cash® Card

Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24

Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.

0% for the first 18 months on balance transfers; N/A for purchases

19.24% - 29.24% variable

For balance transfers completed within 4 months of account opening, an intro balance transfer fee of 3% of each transfer ($5 minimum) applies; after that, a balance transfer fee of 5% of each transfer ($5 minimum) applies

Fair/Good/Excellent

See rates and fees . Terms apply.

Read our Citi Double Cash® Card review.

PayPal credit card vs. Blue Cash Preferred® Card from American Express

The Blue Cash Preferred® Card from American Express is a solid pick for a cash back card for your wallet.

When you spend on the card, you will earn:

• 6% cash back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%)
• 6% cash back on select U.S. streaming subscriptions
• 3% cash back at U.S. gas stations, 3% cash back on transit including taxis/rideshare, parking, tolls, trains, buses and more
• 1% cash back on other purchases

And the card comes with a valuable welcome offer where you can earn a $250 statement credit after you spend $3,000 in purchases on your new card within the first six months.

The card comes with perks too like an up to $120 annual credit when you pay for an auto-renewing subscription to Equinox+, *rental car insurance and return protection. Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details.

Lastly, the card has a $0 intro annual fee for the first year, then $95. (See rates and fees ).

So if you're deciding between the two cards, it comes down to a simple math equation and your own preference. The $250 welcome bonus and the higher cash-back categories will likely make the Blue Cash Preferred the better card in year one. However, after the first year, depending on your spending and preferences, the two cards' rewards may be closer. So if you plan on holding either one of these cards long term, be sure to weigh which one will earn you more cash back based on your spending habits.

Blue Cash Preferred® Card from American Express

6% cash back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%), 6% cash back on select U.S. streaming subscriptions, 3% cash back at U.S. gas stations, 3% cash back on transit (including taxis/rideshare, parking, tolls, trains, buses and more) and 1% cash back on other purchases. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit or at Amazon.com checkout.

Earn a $250 statement credit after you spend $3,000 in purchases on your new card within the first 6 months. 

$0 intro annual fee for the first year, then $95.

0% for 12 months on purchases from the date of account opening

19.24% - 29.99% variable. Variable APRs will not exceed 29.99%.

Either $5 or 3% of the amount of each transfer, whichever is greater.

See rates and fees , terms apply.

The PayPal Cashback Mastercard® is a great fit for someone who doesn't want to pay an annual fee and for those who want a no-frills cash-back credit card that connects to their PayPal account. It also should be appealing to those who don't want to keep track of bonus spending categories all the while still earning a respectable amount of cash back on all purchases.

The cash back earned can go straight into your PayPal account, which can than be either deposited into your bank account or used for future purchases using PayPal. If you're a frequent PayPal user, it could be convenient to have the rewards deposited straight into your PayPal account.

The PayPal Cashback Mastercard is a solid cash-back credit card for consumers looking for simplicity and a way to save on their purchases. However, it's light in other benefits and features.

But before you open a new credit card to save on your purchases, it's best to ensure you have a solid budget in place to manage your monthly spending and to make sure you're in a financially stable place.

Catch up on Select's in-depth coverage of  personal finance ,  tech and tools ,  wellness  and more, and follow us on  Facebook ,  Instagram  and  Twitter  to stay up to date.

For rates and fees of the Blue Cash Preferred® Card, click here .

* Car Rental Loss or Damage Coverage is offered through American Express Travel Related Services Company, Inc.

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Paypal credit travel insurance.

If you’re an avid traveler, you know how important it is to have travel insurance. It can protect you from unexpected situations like flight cancellations, lost baggage, and medical emergencies. PayPal Credit, a popular payment option, offers travel insurance as an additional benefit. In this article, we’ll explore PayPal Credit Travel Insurance and everything you need to know about it.

What is PayPal Credit Travel Insurance?

PayPal Credit Travel Insurance is a complimentary travel insurance program offered by PayPal Credit to eligible cardholders. It provides coverage for trip cancellation, trip interruption, travel delay, lost or stolen baggage, and emergency medical expenses during your trip. It’s important to note that this insurance only applies to trips purchased with your PayPal Credit account.

How to Qualify for PayPal Credit Travel Insurance?

In order to qualify for PayPal Credit Travel Insurance, you must meet the following requirements:

What Does PayPal Credit Travel Insurance Cover?

PayPal Credit Travel Insurance covers the following:

• Trip Cancellation: Reimbursement for non-refundable trip expenses if you need to cancel your trip due to covered reasons such as illness or injury.
• Trip Interruption: Reimbursement for non-refundable trip expenses if your trip is interrupted due to covered reasons such as illness, injury, or natural disaster.
• Travel Delay: Reimbursement for additional expenses such as meals and accommodations if your travel is delayed more than 12 hours due to covered reasons such as severe weather or mechanical breakdown.
• Lost or Stolen Baggage: Reimbursement for lost or stolen baggage or personal items during your trip.
• Emergency Medical Expenses: Coverage for emergency medical expenses incurred during your trip.

What Does PayPal Credit Travel Insurance Exclude?

PayPal Credit Travel Insurance excludes the following:

• Pre-existing medical conditions
• Travel to countries with travel warnings issued by the U.S. Department of State
• Travel for the purpose of receiving medical treatment
• Intentional self-injury or suicide
• Participation in illegal activities or acts of terrorism

How to File a Claim with PayPal Credit Travel Insurance?

If you need to file a claim with PayPal Credit Travel Insurance, follow these steps:

• Notify the travel providers (airline, hotel, etc.) immediately of any issues.
• Contact the claims administrator within 20 days of the incident.
• Provide any necessary documentation such as receipts, medical reports, or police reports.
• Wait for the claim to be reviewed and processed.

Is PayPal Credit Travel Insurance Worth It?

Whether or not PayPal Credit Travel Insurance is worth it depends on your individual travel needs and preferences. If you frequently travel and use PayPal Credit as your payment option, this insurance could provide valuable protection against unexpected situations. However, if you rarely travel or prefer to use a different payment method, this insurance may not be necessary. It’s important to consider the cost of the insurance and the coverage provided before making a decision.

PayPal Credit Travel Insurance is a complimentary travel insurance program offered by PayPal Credit to eligible cardholders. It provides coverage for trip cancellation, trip interruption, travel delay, lost or stolen baggage, and emergency medical expenses during your trip. Before purchasing this insurance, make sure you meet the eligibility requirements, understand the coverage and exclusions, and consider the cost versus the benefits.

Frequently Asked Questions (FAQs)

Q: how do i know if i qualify for paypal credit travel insurance.

A: You must meet the eligibility requirements such as paying for your travel purchase with your PayPal Credit account and having a trip duration of 14 days or less. Check the full list of requirements above.

Q: Is PayPal Credit Travel Insurance available for all PayPal Credit cardholders?

A: Not all PayPal Credit cardholders are eligible for this insurance. Check your account to see if you have this benefit.

Q: How much does PayPal Credit Travel Insurance cost?

A: PayPal Credit Travel Insurance is a complimentary benefit for eligible cardholders. There is no additional cost to enroll.

Q: Does PayPal Credit Travel Insurance cover all types of travel?

A: No, there are certain exclusions such as travel to countries with travel warnings issued by the U.S. Department of State and travel for the purpose of receiving medical treatment. Check the full list of exclusions above.

Q: Can I cancel my PayPal Credit Travel Insurance?

A: Yes, you can cancel your insurance within a certain timeframe. Check the terms and conditions for more information.

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Credit Cards > Reviews

PayPal Cashback Mastercard review: Strong no-annual-fee cash-back earnings, especially for online spenders

Alene Laney

Robin Saks Frankel

“Verified by an expert” means that this article has been thoroughly reviewed and evaluated for accuracy.

Updated 7:10 a.m. UTC Nov. 14, 2023

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Editorial Note: Blueprint may earn a commission from affiliate partner links featured here on our site. This commission does not influence our editors' opinions or evaluations. Please view our full advertiser disclosure policy .

The PayPal Cashback Mastercard® * The information for the PayPal Cashback Mastercard® has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer. offers a solid 3% cash back when checking out with PayPal and 2% cash back on all other purchases that accept Mastercard, making it one of the highest cash-back cards for regular purchases. If you’re a PayPal user and an online shopper, this is a card to consider. 

Why trust our credit card experts

Our team of experts evaluates hundreds of credit cards and analyzes thousands of data points to help you find the best card for your situation. We use a data-driven methodology to determine each rating. Advertisers do not influence our editorial content. You can read more about our methodology below.

• 50+ cards analyzed.
• 8 data points considered.
• 5-step fact-checking process.

About the PayPal Cashback Mastercard

The PayPal Cashback Mastercard earns 3% cash back when checking out with PayPal and 2% cash back on all other purchases. If you’re an online shopper and are able to use PayPal to checkout or use PayPal in-store, that’s a great rate.

Several other cards offer higher cash-back rewards in specific categories, like grocery stores, restaurants or travel, but often exclude larger retailers, such as Walmart or Target, and earn a lackluster 1% to 1.5% in the non-bonused areas. With the PayPal Cashback Mastercard, you’ll earn 3% cash back when checking out with PayPal and 2% cash back on all other purchases. The ubiquity of PayPal on the web at checkout also increases the appeal of the card. But paying through PayPal may not be convenient or your preferred way to pay online. And, the card’s ongoing APR is relatively high, making this card best for those who plan to pay their bill in full and on-time each month.

Just know that in order to apply for the card, you’ll have to have a PayPal account, which is free to open. And be aware that unlike similarly structured cash-back cards, there’s no welcome bonus, intro 0% APR offers or other headlining perks with the PayPal Cashback Mastercard.

PayPal Cashback Mastercard basics

• Annual fee: $0.
• Welcome bonus: None.
• Rewards: 3% cash back when checking out with PayPal and 2% cash back on all other purchases.
• APR: 20.24% to 32.24% variable APR on purchases.
• Other benefits: Basic Mastercard benefits include ID theft protection, Mastercard global services and a discount on airport concierge services.
• Does the issuer offer a pre-approval tool? Yes.
• Recommended credit score: Not available.

PayPal Cashback Mastercard other details

Paypal cashback mastercard rewards.

The PayPal Cashback Mastercard offers 3% cash back when checking out with PayPal and 2% cash back on all other purchases. The credit card is connected to your PayPal account and the rewards accrue in your PayPal Balance account. From your PayPal Balance, you can redeem your rewards for other PayPal purchases or transfer it to a linked bank account. 

The cash-back rewards for this card are unlimited. Cash back is posted and available to use within three days in your PayPal Balance account. Redemptions are limited to cash back as there is no rewards program associated with this card. 

PayPal Cashback Mastercard rewards potential

Using government data and other publicly available information, we estimate that a household in the U.S. that would be in the market for this card has an annual income of $84,352 and $25,087 in expenses they are likely to be able to charge to a credit card.

Assuming someone pays for one-third of their credit card expenses via PayPal with the PayPal Cashback Mastercard, they’d earn $250.86 in rewards. The remaining two-thirds of credit card expenses, or $16,724.66 at would net an additional $334.48 in rewards for a total of $585.34 in annual rewards earnings.

PayPal Cashback Mastercard APR

Cardholders will be approved for one of three account types with a corresponding APR based on creditworthiness. The current rates for the three different account types range between 20.24% - 32.24% variable.

The card issuer acknowledges there are a limited number of applicants that are expected to qualify for account type 1 and account type 2. In other words, most applicants will be approved for account type 3 and will be paying the higher interest rate. 

That’s high. This is not a good card to carry a balance on. Be sure to pay it off if you want the rewards without the drawbacks of paying expensive interest fees.

The APR is variable and will change based on the prime rate. 

PayPal Cashback Mastercard pros

• Straightforward cash-back earnings structure: Earning cash back on this card is simple: 3% cash back when checking out with PayPal and 2% cash back on all other purchases. There are no rotating categories to keep track of. 
• No annual fee: You won’t be charged a fee to use this card. For a card that earns 3% cash back when checking out with PayPal and 2% cash back on all other purchases, there’s quite a bit of potential to earn cash back without paying a fee to use the card. 
• Unlimited cash back: There’s no cap on the amount of cash back you can earn with this card. 
• Cash-back rewards post quickly: Within three days of earning cash-back rewards on eligible purchases, you’ll be able to transfer the cash back to your PayPal account for use. 

PayPal Cashback Mastercard cons

• High APR: The terms and conditions note that a limited number of applications will be approved for the lowest two rates. This means most cardholders who are approved for the card will be paying the higher interest rate. That’s incredibly high. It’s also variable, so you could be paying even more if interest rates rise. 
• Must use PayPal. To get the most benefit from this card, users must have and use a PayPal account. A PayPal account is necessary for earning the elevated rewards rate on purchases. PayPal does charge fees for some services, such as sending money to family or friends with a credit card.
• There’s a foreign transaction fee: When you make a purchase in another country or in another currency, you’ll be charged a foreign transaction fee of 3% of each transaction in U.S. dollars.  
• No introductory offer: There’s no sign-up bonus or 0% introductory offer on purchases or balance transfers. There are other no-annual-fee cards that offer new cardholders incentives. 

How the PayPal Cashback Mastercard compares to other cash-back cards

Paypal cashback mastercard vs. citi double cash® card.

The Citi Double Cash Card is another $0 annual fee card that earns 2% cash back on purchases — 1% when purchases are made and another 1% when they’re paid off, plus, for a limited time, 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24. The rewards rate also has no ceiling or category restrictions, much like the PayPal Cashback Mastercard. The Citi Double Cash also comes with a 0% intro APR on balance transfers for 18 months. After that, the standard variable APR will be 19.24% to 29.24%. An intro balance transfer fee of either $5 or 3%, whichever is greater, applies to transfers completed in the first 4 months. After that, the fee will be 5% of each transfer (minimum $5). It also has more flexible redemption options since it technically earns ThankYou® Points, which can be redeemed for travel, gift cards, cash, and more. 

PayPal Cashback Mastercard vs. Blue Cash Everyday® Card from American Express

The Blue Cash Everyday® Card from American Express (terms apply, rates & fees ) is another $0 annual fee card that earns 3% cash back at U.S. supermarkets, U.S. gas stations, and online retail purchases in the U.S. (on up to $6,000 in each category per year, then 1%), and 1% cash back on other purchases. Cash back is received in the form of Reward Dollars that can be redeemed as a statement credit or for eligible items at Amazon.com checkout.

There’s also a welcome offer of a $200 statement credit after spending $2,000 in purchases in the first six months of card membership. And, a 0% intro APR for 15 months on purchases and on balance transfers requested in the first 60 days, then a variable APR of 19.24% to 29.99%. A balance transfer fee of $5 or 3%, whichever is greater, applies. 

PayPal Cashback Mastercard vs. Chase Freedom Unlimited®

The Chase Freedom Unlimited is a no-annual-fee card known for earning 5% cash back on travel purchased through Chase Travel, 3% cash back on eligible dining and drugstore purchases and 1.5% cash back on all other purchases. The card also has a 0% intro APR for the first 15 months on purchases and balance transfers, then a variable APR of 20.49% to 29.24%. An intro transfer fee of either $5 or 3% of the amount of each transfer, whichever is greater, applies in the first 60 days. After that, a fee of either $5 or 5% of each transfer applies. New cardmembers can earn 1.5% back on everything bought in the first year on up to $20,000 in spending, which is worth up to $300.

Wells Fargo Active Cash® Card

Welcome bonus.

• Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.

Regular APR

Credit score.

Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed.

Editor’s take

• 15 months of introductory APR financing on both new purchases and qualifying balance transfers.
• Earn 2% cash rewards on purchases.
• Earn a $200 cash rewards bonus after spending $500 in purchases in the first three months of account opening.
• No purchase protection policies, other than cell phone protection.
• No travel redemption options.
• Other cards earn more cash back in specific categories.

Card details

• Select “Apply Now” to take advantage of this specific offer and learn more about product features, terms and conditions.
• Earn unlimited 2% cash rewards on purchases.
• 0% intro APR for 15 months from account opening on purchases and qualifying balance transfers. 20.24%, 25.24%, or 29.99% Variable APR thereafter; balance transfers made within 120 days qualify for the intro rate and fee of 3% then a BT fee of up to 5%, min: $5.
• $0 annual fee.
• No categories to track or remember and cash rewards don’t expire as long as your account remains open.
• Find tickets to top sports and entertainment events, book travel, make dinner reservations and more with your complimentary 24/7 Visa Signature® Concierge.
• Up to $600 of cell phone protection against damage or theft. Subject to a $25 deductible.

Should you get the PayPal Cashback Mastercard?

The PayPal Cashback Mastercard offers a lot if you can maximize the elevated rewards rate on purchases through PayPal to earn it. It really shines in earning high cash back in places where you typically can’t earn elevated rewards—like Target and Walmart. If you frequently shop online or feel you can take advantage of the lower rewards rate across the board, this card is worth your consideration. If you can’t or don’t want to shop via PayPal, you’ll want to look at a flat-rate 2% cash-back card offering better upfront perks.

PayPal Cashback Mastercard summary

Methodology

Our credit card team has spent hours analyzing hundreds of credit cards. We took a deep dive into the details of each product and that analysis, combined with our years of experience covering credit cards, informed us as we developed these credit card rankings.

Some of the factors evaluated in selecting the best rewards credit cards included:

• Rewards potential and redemption options.
• Welcome bonuses.
• Travel and shopping benefits.
• Intro APRs.
• Annual fees.

Frequently asked questions (FAQs)

No, the PayPal Cashback Mastercard does not have an introductory 0% APR offer. 

Yes, the PayPal Cashback Mastercard has a 3% of each transaction in U.S. dollars foreign transaction fee. This fee is incurred when you make a purchase in another country or a currency other than U.S. dollars. 

The PayPal Cashback Card can be used both as a payment method within PayPal and anywhere Mastercard ® credit cards are accepted. 

For rates and fees for the Blue Cash Everyday® Card from American Express please visit this page .

*The information for the PayPal Cashback Mastercard® has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.

Blueprint is an independent publisher and comparison service, not an investment advisor. The information provided is for educational purposes only and we encourage you to seek personalized advice from qualified professionals regarding specific financial decisions. Past performance is not indicative of future results.

Blueprint has an advertiser disclosure policy . The opinions, analyses, reviews or recommendations expressed in this article are those of the Blueprint editorial staff alone. Blueprint adheres to strict editorial integrity standards. The information is accurate as of the publish date, but always check the provider’s website for the most current information.

Alene Laney is an award-winning personal finance writer based in the Southwest. She has written for a number of online financial publications, including Business Insider, Bankrate, SoFi, and The Balance.

Robin Saks Frankel is a credit cards lead editor at USA TODAY Blueprint. Previously, she was a credit cards and personal finance deputy editor for Forbes Advisor. She has also covered credit cards and related content for other national web publications including NerdWallet, Bankrate and HerMoney. She's been featured as a personal finance expert in outlets including CNBC, Business Insider, CBS Marketplace, NASDAQ's Trade Talks and has appeared on or contributed to The New York Times, Fox News, CBS Radio, ABC Radio, NPR, International Business Times and NBC, ABC and CBS TV affiliates nationwide. She holds an M.S. in Business and Economics Journalism from Boston University. Follow her on Twitter at @robinsaks.

MASTERCARD BENEFIT INQUIRIES

Within the U.S.: 1-800-Mastercard (1-800-627-8372) | Outside the U.S.: Mastercard Global Service Phone Numbers

Availability of insurance benefits on your card may vary by card issuer. Please refer to your issuing financial institution for complete insurance benefit coverage terms, conditions and exclusions.

*Offer availability will vary for cardholders when located outside of the contiguous United States.

1. Peacock Ends 3/31/2025, subject to early termination. Must use qualifying Mastercard World or World Elite credit card and subscribe to a full-priced Peacock Premium plan directly from Peacock to receive a $3.00 monthly statement credit. Statement credit ends when user no longer meets eligibility requirements. Excludes current Peacock Premium and Premium Plus subscribers. Additional eligibility restrictions, exclusions, and terms apply. For full terms, see www.peacocktv.com/offer-terms/mastercard . ↩

2. Instacart Ends 3/31/2025, subject to early termination. Add an eligible U.S. World or World Elite Mastercard credit card and subscribe as a new Instacart+ member to receive a free two-month trial and a $10 Instacart coupon on your second qualifying order each month. Must have an active Instacart+ membership paid for with an eligible card and complete one qualifying Instacart order each month. By redeeming this offer, you agree to the Instacart+ terms , and if you select a paid plan, your Instacart+ membership will auto-renew and the applicable membership fee will be billed automatically to any payment method on file until you cancel. Additional terms apply. Please visit www.instacart.com/p/mastercard-offer . ↩

3. ResortPass Ends 9/30/2025, subject to early termination. Make a booking or purchase of a gift card of $200 or more on ResortPass using your eligible World Elite Mastercard and receive a $30 statement credit. Make a booking or purchase of a gift card of $200 or more on ResortPass using your eligible World Mastercard and receive a $20 statement credit. Cannot be combined with other discounts. Statement credits may take up to 60 days to appear on your statement. Additional eligibility restrictions, exclusions, and terms apply. For full terms, see Resortpass.com/mastercard . ↩

4. Lyft Take 3, Get $5: Beginning 4/1/21 and running through 9/30/25, Lyft users can participate in Lyft and Mastercard’s Take 3, Get $5 program (“Program”) by taking and partially or fully paying for three (3) Eligible Rides in a calendar month to receive a $5 Lyft credit (“Credit”). The rides must be paid for with an eligible World or World Elite Mastercard credit card (Apple Card is not eligible for this program, but Apple Pay or Google Pay may be eligible if your World or World Elite Mastercard credit card is the funding source). Limit one Credit per calendar month per Lyft account. An “Eligible Ride” is any Lyft ride type, excluding business rides and bicycle and scooter rental rides. Valid only in the USA. Whether a ride qualifies as an Eligible Ride for purposes of the Credit will be determined in Lyft’s sole discretion. Credits expire thirty (30) days after application. Limited time only and while supplies last. By participating in the Program, you agree to these terms and Lyft’s Terms of Service ( https://www.lyft.com/terms ), and you agree that Lyft and Mastercard may share your information for the purposes of tracking and processing the Credit and may use anonymized, aggregated data for business analytics and offer optimization. Credits may take up to two (2) days to be applied to your Lyft account. ↩

5. Booking.com Mastercard cardholders will receive up to 7% off when booking accommodations marked with the Mastercard label and prepaying for such accommodations using an eligible consumer or small business Mastercard credit card at booking.com/mastercardUS . Offer Period: April 1, 2024 – September 30, 2025, subject to early termination. Eligibility: this offer is available to all U.S. and Canadian residents who are holders of consumer credit and small business Mastercard credit cards issued in the U.S. or Canada. Exclusions: Reservations booked but not prepaid are excluded from the promotion. Must select “Pay now” on the checkout page to receive the offer. Additional Terms and Conditions: To receive the discount, bookings must be prepaid at checkout and made exclusively through booking.com/mastercardUS . The discount is applicable only to prepaid bookings when the option “Pay Now” is selected at the checkout. The discount will be applied automatically at the time of checkout and discount will vary depending on the property and dates selected. The discount applies to the accommodation cost only and does not include any additional fees or taxes. Booking.com reserves the right to modify or terminate this offer at any time without prior notice. All bookings are subject to availability and Booking.com’s terms and conditions . ↩

6. HealthLock HealthLock is an end‑to‑end analytics‑driven platform that helps protect cardholders’ medical identities and data and monitors their medical claims for errors, fraud and overbilling. HealthLock provides three plan levels:

• Medical Claim Monitor: Helps guard against medical fraud and privacy intrusions by monitoring medical data breaches, providing alerts and helping remediate medical fraud issues.
• Medical Claim Auditor: Organizes, tracks and audits all healthcare bills (24‑month retroactive audit and ongoing auditing) in one place, verifying that all bills are accurate and identifying potential overcharges and insurance errors. This level includes everything from the previous plan.
• Medical Claim Saver: Provides access to medical bill negotiation with providers and insurance companies to potentially help reduce bills and reverse claim rejections. This level includes everything from the previous plan.

Enrolled users receive, at no cost, Medical Claim Monitor, plus a premium upgrade to Medical Claim Saver for the first 90 days. After 90 days, users will continue to receive Medical Claim Monitor at no monthly cost and have the option to continue with Medical Claim Auditor for $4.99 per month or Medical Claim Saver for $19.99 per month. See full terms here . ↩

7. ShopRunner Valid through 9/30/2025. To get the free ShopRunner membership offer, compliments of Mastercard, please go to  www.shoprunner.com/mastercard  and verify your eligibility for the offer with a World Mastercard or World Elite Mastercard account number and then complete the sign-up for a ShopRunner membership account. For details on how the ShopRunner membership works, please see the ShopRunner Terms and Conditions at  www.shoprunner.com/terms/sr , which govern the use of your ShopRunner membership offer. ↩

8. Certain terms, conditions and exclusions apply. Cardholders need to register for this service. This service is provided by Iris® Powered by Generali. Please see your guide to benefits for details or call 1-800-MASTERCARD. ↩

9. These are summary descriptions only. Certain terms, conditions and exclusions apply. To learn more about Zero Liability, visit mastercard.com/zeroliability . Contact your issuing financial institution for complete coverage terms and conditions or call 1.800.Mastercard (1.800.627.8372) for assistance. Applicable to U.S. cardholders only. ↩

All third-party trademarks are the property of their respective owners.

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PayPal Business Cashback Mastercard review — Helpful perks with a simple rewards program

Deftly managing cash flow is essential to your company’s success. This is true whether you’re just starting out or have been running your business for decades. While many financial products and services exist to help you wrangle your business finances , the right credit card can be an invaluable tool.

If you’re in the market for a new business card, the PayPal Business Cashback Mastercard® is a straightforward option. With helpful perks and a simple rewards program, this card can make it easier to manage your business spending.

PayPal Business Cashback Mastercard

Annual fee : $0

Welcome offer : N/A

Rewards : Unlimited 3% cash back on PayPal purchases, and 2% cash back on all other purchases

The PayPal Business credit card has an APR ranging from 18.49% to 29.99%, depending on your creditworthiness.

You won’t pay an annual fee with the PayPal Business Cashback card, which lets you keep more money in your business bank account.

Welcome offer

Unlike some cash-back credit cards on the market, the PayPal Business Cashback card doesn’t have a welcome offer.

Intro offer

This card does not offer a 0% introductory APR on new purchases or balance transfers; its regular APR will apply immediately.

Rewards rate

3% cash back on PayPal purchases

2% cash back on all other purchases

How to earn rewards

With this card, you won’t need to worry about planning your spending or rotating categories. Instead, your business can earn unlimited 3% cash back on PayPal purchases and 2% unlimited cash back on all other business purchases .

How to redeem rewards

PayPal gives you the option to redeem your rewards as a statement credit, and you can also deposit them into your linked PayPal account. You’ll need at least $1 worth of rewards to redeem them.

Additional benefits

Upon approval for the PayPal Business Card, you may get access to a virtual card you can use immediately via your PayPal Business Account. You won’t pay extra for employee cards with this card, and you can customize users’ spending limits for convenience and added peace of mind. Benefits also include cellphone and identity theft protection, as well as two-year extended warranty coverage.

Further, it’s possible in-store purchases could qualify for the higher 3% cash-back rate, provided that retailers accept payments via QR code through the PayPal app.

Who is the PayPal Business Cashback Mastercard best for?

To qualify for the PayPal Business Cashback card, you’ll need to be in business for at least a year, have a PayPal Business Account, and make over $5,000 in annual revenue. Beyond its qualification requirements, this card is best for frequent PayPal users, as its rewards rate is highest for purchases made through that service. Another card might be a better choice if your business depends on another payment service to buy goods and services.

PayPal Business credit card pros

Decent, straightforward cash-back rewards

Virtual card may be used immediately upon approval

No annual fee

Free employee cards

Cell phone protection

Extended warranty coverage

PayPal Business credit card cons

New business owners may not qualify

No 0% introductory APR

No welcome offer

PayPal Business Account required

Not available to businesses in North Dakota and South Dakota

Where can you use the PayPal Business Cashback card?

The PayPal Business Cashback card is a Mastercard, so you can use it anywhere Mastercards are accepted, including internationally. You won't pay a foreign transaction fee with this card.

How to make a PayPal Business Cashback card payment

Online : You can pay online through your PayPal account

By mail : Mail a check to the address on your credit card statements.

PayPal Business Cashback card customer service info

Phone number: 1-866-300-6432, available 24/7

PayPal Business Cashback card login page

Alternative cards to consider

If you frequently use a PayPal Business Account to make purchases, the PayPal Business Cashback card could be a decent choice. That said, some competitor cards offer a longer list of perks. Here are some alternatives worth considering if the PayPal Business Cashback card doesn’t seem right for you.

Ink Business Cash® Credit Card

Why we like it :

The Chase Ink Business Cash Credit Card has no annual fee like the PayPal Business Cash Card, but its generous welcome bonus sets it apart— card members can earn $350 when they spend $3,000 on purchases in the first three months, plus an additional $400 when they spend $6,000 on purchases in the first six months after account opening.

This card’s reward structure is slightly more complicated than the PayPal Business Cashback card, but redemptions are also more flexible. You can get up to 5% cash back each cardmember year on $25,000 spent at office supply stores and on internet, cable, and phone services; 5% back on Lyft rides through March 2025; 2% cash back on $25,000 spent at gas stations and restaurants; and 1% cash back on all other purchases.

You can use your cash back for several purposes, including cash, travel through the Chase Ultimate Rewards portal, gift cards, and more.

Ink Business Unlimited® Credit Card

Fortunately, you don’t need to choose between a card with a welcome offer and one with simple rewards because the Ink Business Unlimited Credit Card has both. As a card member, you can earn $750 cash back after spending $6,000 in the first three months.

And you won’t need to worry about tracking categories or rewards caps, either. You simply earn 1.5% unlimited cash back on all your business purchases, and you can redeem your rewards for cash, gift cards, travel through Chase Ultimate Rewards, and more. The Ink Business Unlimited Credit Card also has a $0 annual fee.

The American Express Blue Business Cash™ Card

The American Express Blue Business Cash Card also has a $0 annual fee and a welcome offer with a fairly low minimum spend requirement—you can earn a $250 statement credit once you spend $3,000 in the first three months. As a card member, you’ll also get 2% cash back on up to $50,000 worth of business purchases each calendar year, and 1% cash back after that (cash back is applied as a statement credit automatically; see rates and fees , terms apply.)

In addition to its welcome offer and simple rewards, this card offers a 0% introductory APR on purchases for 12 months after account opening (18.49% – 26.49% variable APR after that). This can be helpful if you’re planning a big business purchase and need some extra time to pay off your balance.

This article was edited by Rebecca McCracken

Editorial Disclosure: The information in this article has not been reviewed or approved by any advertiser. The details on financial products, including card rates and fees, are accurate as of the publish date. All products or services are presented without warranty. Check the bank’s website for the most current information. This site doesn't include all currently available offers.

14 Best Travel Credit Cards of May 2024

Best travel cards main takeaways.

• Money has evaluated hundreds of credit cards, comparing their fees, benefits, welcome offers, travel insurance policies and more.
• The top credit cards for travel offer high rewards on travel purchases, which can be redeemed for airfare, hotel nights, cash back, statement credits or more.
• Our picks feature the best travel cards for every budget and include no-annual-fee, low-annual-fee, premium and business cards.

Why Trust Us?

Our editorial team has spent well over a thousand hours analyzing, evaluating and comparing the top credit card offers in the market. We carefully vet each card’s fine print in order to understand their features, limitations and potential benefits for consumers. We review cards independently, ensuring our content is accurate and guided by editorial integrity. Read our full methodology to learn more.

• 46 travel credit cards evaluated
• 10+ data points used, including ongoing fees, reward programs and welcome offers
• 100+ sources reviewed

Money.com has partnered with CardRatings.com for our coverage of credit card products. Money and CardRatings may receive a commission from card issuers. This site does not include all card companies or all available card offers. O ur top picks are listed strictly in alphabetical order.

Our Top Picks for Best Travel Credit Cards

Best no-annual-fee travel credit cards.

• Bank of America® Travel Rewards Credit Card – Best no-annual-fee travel card for flat rate rewards
• Bilt Mastercard® – Best no-annual-fee travel card for paying rent
• Capital One VentureOne Rewards Credit Card – Best no-annual-fee card for travel partners
• Chase Freedom Unlimited® – Best no-annual-fee travel card for domestic travel
• Discover it® Miles – Best no-annual-fee travel card for simple rewards
• Wells Fargo Autograph℠ Card – Best no-annual-fee travel card for everyday spending

Best low-fee-annual-fee travel credit cards

• Capital One Venture Rewards Credit Card – Best travel card for flat-rate rewards
• Chase Sapphire Preferred® Card – Best travel card for flexible rewards

Best premium travel credit cards

• American Express® Gold Card – Best travel card for dining
• Capital One Venture X Rewards Credit Card – Best low-cost premium travel card
• Chase Sapphire Reserve® – Best premium travel credit card
• The Platinum Card® from American Express – Best travel card for lounge access

Best business travel credit cards

• The Business Platinum Card® from American Express – Best business travel card

Best airline travel credit cards

• United℠ Explorer Card: Best airline credit card

Best Travel Credit Cards Reviews

Our top picks are listed in alphabetical order.

Best No-Annual-Fee Travel Credit Cards

• No annual fee
• No foreign transaction fees
• Earns 1.5x points on all purchases
• No bonus category for travel
• Few benefits compared to other cards
• Limited redemption options

Why we chose it: The Bank of America® Travel Rewards Credit Card is an easy-to-use card best suited for travel reward beginners or those who are already Bank of America customers.

Some cardholders can earn up to 75% more points if they are Bank of America Preferred Rewards members — that’s up to 2.62 points for every dollar spent.

However, the card doesn’t offer hotel and airline point transfer partners, travel insurance or extended warranty and purchase protection. Additionally, you can only redeem your points as statement credit to cover travel and dining purchases.

All information about Bank of America® Travel Rewards Credit Card has been collected independently by Money.com

• No annual or foreign currency conversion fee (Click herehttps://www.wellsfargo.com/credit-cards/bilt/terms/">here; for rates and fees)
• Use it to pay your rent and earn rewards without incurring any processing fees
• You can earn double points on all purchase categories (except rent payments) on the first of every month (up to 10,000 points)
• Earn 2x points on travel (when booked directly through an airline, hotels, car rental agencies and cruise lines)
• No welcome bonus or introductory APR period
• Points redeemed for statement credits are worth 0.55 cents each
• You must make at least five transactions in a statement period to earn points
• Rent payments can only be made to one rental property per month

Why we chose it: The Bilt Mastercard® lets you earn travel rewards on rent payments without incurring any processing fees — unlike most credit cards that typically charge around 2.5% to 2.9% per rent payment.

You can use the card to pay rent without worrying about surcharges. Once you get approved for the card, all you have to do is set up an account through the Bilt app or website and use your assigned routing and account number to pay rent through your usual payment portal. You can also use your card even if your landlord only accepts checks, and Bilt will send a check on your behalf.

Additionally, Bilt doubles the card’s rewards rates on the first of every month, which means you can earn 6x points on dining, 4x points on travel and 2x points on other purchases (up to 10,000 points per month). However, this bonus doesn’t apply to rent rewards.

On the downside, the Bilt Mastercard® doesn’t offer a welcome bonus, and points redeemed for statement credits are only worth 0.55 cents each.

• Can transfer your miles to 16 travel partners
• Earns 5x miles per dollar on hotels and rental cars booked through Capital One Travel
• Doesn't earn bonus points on airfare
• No domestic travel partners

Why we chose it: The Capital One VentureOne Rewards Credit Card is a great option if you’re looking for a no-annual fee travel credit card with a simple rewards structure.

You can use your miles to book travel through the Capital One Travel portal or as a statement credit to cover travel purchases made from airlines, hotels, rail lines, car rental agencies and more.

You can also transfer your points to one of Capital One’s 16 travel partners, which include international airlines such as Avianca and British Airways. This option is notable since travel credit cards with no annual fee don’t typically offer the option to transfer your reward to airline and hotel partners.

However, the card’s list of bonus categories is limited compared to some other no-annual-fee credit cards, and Capital One doesn’t offer bonus points on airfare booked through Capital One Travel.

• Includes trip cancellation/interruption and car rental insurance
• Features a high flat cash back rate combined and popular bonus categories
• 3% foreign transaction fee

Why we chose it: The Chase Freedom Unlimited® is the best credit card for traveling domestically. It offers a 1.5% flat cash back rate on most purchases plus it has several appealing bonus categories, including travel and dining.

This card charges a 3% foreign transaction fee, that is, on any transactions made in currency other than US dollars. However, if you mostly travel within the U.S., this card is an excellent option.

For one, you’ll earn an additional 1.5% on each of the card’s bonus categories during the first year of card membership (or up to the first $20,000 spent).

Also, although using this card abroad is not recommended, you can still use it to book international trips while you’re home, and you’ll earn 5% cash back if you book it through Chase Travel℠.

You can redeem your rewards for cash back, travel, gift cards and even transfer them to other cards that earn Chase Ultimate Rewards® points. It’s also worth noting that this card is one of the few no-annual-fee credit cards with rental car coverage and trip cancellation and interruption insurance.

• No annual or foreign transaction fees
• Discover matches the total miles you earned at the end of the first year
• Earns 1.5x miles on all purchases
• See your FICO score on the Discover mobile app, online and on statements
• Few benefits compared to other travel cards
• Doesn't include extended warranty or purchase protection

Why we chose it: The Discover it® Miles Credit Card is a no-frills card ideal for travelers who don’t want to keep track of bonus categories, earning caps or redemption values.

The card earns a flat 1.5x miles on all eligible purchases without any annual caps. You can redeem your miles for statement credits and account deposits at a rate of 1 cent per mile. You can also use your rewards through Amazon and PayPal checkout with the same value.

Also, the card’s welcome bonus is easily one of the best in the market: Discover matches every mile you’ve earned at the end of your first membership year — without any spending requirements.

However, while the Discover it® Miles Credit Card is a great starter travel card, its lack of bonus categories could hinder your reward-earning potential in the long run. Additionally, Discover cards aren’t as widely accepted internationally as Visa Signature and World Mastercard, for example.

All information about the Discover it® Miles Credit Card has been collected independently by Money.com.

• Earn 3x points on restaurants, travel, gas stations, select streaming services and cell phone plans
• Includes cell phone protection plan
• No airline or hotel transfer partners
• Doesn't include travel insurance
• Netflix and HBO are not eligible for streaming bonus

Why we chose it: The Wells Fargo Autograph℠ Card is the best travel reward card for everyday spending, offering high rewards on several popular spending categories, including travel, dining, gas, streaming services and cell phone plans.

Its travel bonus category is particularly noteworthy because you can earn points regardless of where you make your reservations, whether it’s directly with an airline or through a third-party travel site like Booking.com. (Most travel credit cards limit travel rewards to bookings made exclusively through the card issuer’s travel portal.)

The card also includes rental car insurance and a cell phone protection plan when you use it to pay your monthly bill.

All information about the Wells Fargo Autograph℠ Card has been collected independently by Money.com.

Best Low-Annual-Fee Travel Credit Cards

• Earn 2x miles per dollar on most purchases
• Up to $100 credit for Global Entry or TSA PreCheck(R)
• Includes travel accident and car rental insurance
• Fewer bonus categories than other cards with a similar annual fee ($95)
• Doesn't offer travel rewards for flights
• Car rental insurance is secondary

Why we chose it: The Capital One Venture Rewards Credit Card is the best credit card for travel miles if you want to earn a high reward rate and not worry about bonus categories.

The Capital One Venture Rewards is ideal for those who want to get the most out of their spending without worrying about tracking bonus categories and spending caps.

You can redeem your miles on the Capital One travel portal and as statement credits to cover travel purchases at a value of one cent per mile. Additionally, you may transfer your miles to more than 15 airline and hotel partners.

However, keep in mind that Capital One doesn’t have domestic travel partners, which can be a drawback if you mainly travel within the U.S.

• Points are worth 25% more when redeemed for travel purchases through Chase TravelSM
• Receive a point bonus each account anniversary
• Includes primary rental car insurance
• Earn 3x per $1 on dining, including eligible delivery and takeout meals, select streaming services and grocery purchases
• $95 annual fee
• Doesn't offer a Global Entry/TSA PreCheck(R) application fee credit

Why we chose this card: The Chase Sapphire Preferred® Card is the best travel credit card for frequent travelers who want to earn valuable rewards while paying a low annual fee.

The card features six reward categories that offer outstanding rewards on flights, hotels, restaurants and more. You can redeem your points for statement credits, account deposits, gift cards and more. But you can get the most bang for your buck by redeeming them for travel purchases through the Chase Travel℠ portal, which increases your point’s usual one-cent value by 25%.

You can redeem your points for statement credits, account deposits, gift cards and more. But you can get the most bang for your buck by redeeming them for travel purchases through Chase Travel℠, which increases your point’s usual one-cent value by 25%.

You can also transfer your points to one of Chase’s 14 travel partners at a 1:1 ratio (one Chase point equals one hotel point or airline mile). These include popular airlines and hotels like JetBlue, Southwest, United, Marriott and Hyatt.

Best Premium Travel Credit Cards

• Earns 4x points on restaurants worldwide, takeout and food delivery within the U.S.
• Up to $120 in annual dining credits, issued as a $10 statement credit per month for select restaurants (enrollment required)
• Up to $120 as Uber Cash annually ($10 per month) for food delivery orders and rides in the U.S. after you add the American Express(R) Gold Card to your Uber account
• Earn 4x points at U.S. supermarkets (on up to $25,000 per calendar year, then 1x)
• High annual fee ($250)
• Includes few travel perks and insurance policies compared to similarly priced cards

Terms apply. Please click here for applicable rates and fees.

Why we chose it: The American Express® Gold Card is ideal for foodies, offering a high reward rate at restaurants worldwide and U.S. supermarkets, takeout and food delivery. (Terms apply.)

The American Express® Gold Card also offers statement credits worth up to $240 combined — almost enough to offset the card’s $250 annual fee. These include:

• Up to $120 every year in dining credits ($10 per month) for select restaurants and food delivery services. The list includes Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, Milk Bar and Shake Shack (Enrollment required)
• Automatically get $10 monthly in Uber Cash to use on Uber Eats or Uber rides in the U.S. (after you add the American Express® Gold Card to your account)
• $100 credit for dining, spa services and other activities when you book a two-night minimum stay at a hotel from The Hotel Collection through American Express Travel
• Terms apply

However, note that the American Express® Gold Card offers fewer travel perks than some other premium cards — for instance, it doesn’t offer trip cancellation and interruption insurance or TSA PreCheck® or CLEAR® Plus fee credits.

• 10,000 bonus miles every year
• Statement credit of up to $300 for bookings made through Capital One Travel
• Up to a $100 credit on Global Entry or TSA PreCheck(R)
• Skip the line and get car upgrades when renting a car with Hertz
• High annual fee ($395)
• Fewer bonus categories than other premium cards
• No domestic airline transfer partners

Why we chose it: The Capital One Venture X Rewards Credit Card is the best credit card for travel miles if you want to earn a high reward rate and not worry about bonus categories.

The Capital One Venture X also includes noteworthy perks such as:

• 10,000 bonus miles every year (starting on your first anniversary)
• $300 annual credit for bookings through Capital One Travel
• Up to a $100 credit for Global Entry or TSA PreCheck®
• Access for you and two guests to 1,300+ lounges worldwide with Priority Pass™ Select and Plaza Premium Group
• Authorized users at no extra cost (many cards have an annual fee of $75 or more for each additional user)

All in all, the Venture X is a solid option that can easily compete with other premium travel cards, especially considering its more affordable annual fee.

• Up to $300 in statement credits each anniversary year to cover travel purchases
• Transfer your points to 14 travel partners (including United, Southwest, JetBlue and Marriott)
• Points worth 50% more when redeemed for travel expenses through Chase TravelSM
• Comprehensive travel insurance coverage, including emergency dental insurance
• High annual fee ($550)
• Doesn't include a cell phone protection plan

Why we chose it: The Chase Sapphire Reserve® is the best credit card for travelers looking for a high reward rate on travel and additional benefits like comprehensive travel insurance and airport lounge access worldwide.

Your points are worth 50% more when you redeem them for travel through the Chase Travel℠ portal. This means each point is worth 1.5 cents per point instead of one cent, like most travel cards. Also, the Chase Sapphire Reserve® provides several high-end benefits such as:

• $300 annual travel credit to cover travel-related purchases like airfare, hotels, car rentals, rideshares, buses, trains, tolls and/or parking
• Access for you and two guests to 1,300+ airport lounges worldwide (after a one-time enrollment in Priority Pass™ Select)
• Statement credit of up to $100 every four years for Global Entry, TSA PreCheck® or Nexus

The Sapphire Reserve does have a $550 annual fee. But if you take advantage of the $300 annual credit and other perks, the benefits can definitely outweigh its cost.

• Access to the widest network of airport lounges of any card
• Complimentary elite status in the Marriott and Hilton hotel loyalty programs
• Hundreds of dollars in annual statement credits for travel, dining and more
• High annual fee ($695)
• Doesn't include baggage delay, travel accident and primary rental car insurance
• Limited bonus categories

Terms apply. Click here for rates and fees.

Why we chose this card: The Platinum Card® from American Express offers a list of premium benefits that no other travel card offers, including the widest network of airport lounges and room upgrades at Hilton and Marriott hotels. (Terms apply.)

The Platinum Card® from American Express features an impressive list of high-end travel benefits, including:

• Complimentary access to over 1,400 airport lounges, including Priority Pass, Delta SkyClub and Amex’s own Centurion lounges (enrollment required)
• Gold status in the Marriott and Hilton loyalty programs, which makes you eligible for room upgrades, free breakfast and late checkouts (enrollment required)
• $200 back each year on prepaid Fine Hotels + Resorts® or The Hotel Collection bookings made through American Express Travel and paid with your Platinum Card® (Hotel Collection bookings require a minimum two-night stay)
• Up to $200 per year when incidental fees, such as checked bags, are charged by the airline to your Platinum Card® (with one selected qualifying airline)
• Complimentary premium status in Avis Preferred®, Hertz Gold Plus Rewards®, and/or National Car Rental® Emerald Club (must enroll through your Amex online account using your card)

The Platinum Card® from American Express does have a hefty $695 annual fee. However, for people who travel often and will take advantage of its annual credits and travel perks, it might almost pay for itself.

Best Business Travel Credit Cards

• 5X points on flights and prepaid hotels booked through AmexTravel.com
• Around $1,000 in yearly statement credits for select business purchases
• Access to a wide network of airport lounges (terms apply)
• Around $600 in perks in Fine Hotels + Resorts(R) locations booked through American Express Travel (for stays of two nights)
• Secondary rental car coverage**

Why we chose it: The Business Platinum Card® from American Express features an extensive list of benefits that make it an ideal travel and business credit card.

With this card, you can access over 1,400 airport lounges worldwide, comprehensive travel insurance and extra amenities at hundreds of hotels, like daily breakfast and free internet access. Additionally, you get a $200 credit to cover baggage fees, in-flight refreshments and more and up to $100 for Global Entry or $85 for TSA PreCheck® every four or 4.5 years respectively. (Terms apply.) (Enrollment required.)

The card also offers several yearly statement credits for business-related purchases that include up to $400 per year ($200 between January and June and $200 between July and December) for U.S. purchases with Dell.

The Business Platinum Card® from American Express does have one of the steepest annual fees ($695) among travel credit cards, but its extensive list of benefits makes it a no-brainer for business owners who travel frequently.

Best Airline Travel Credit Cards

• Free first checked bag for you and a companion
• Up to $100 as a statement credit for Global Entry, TSA PreCheck(R) or NEXUS every 4 year
• 25% back as a statement credit on food, beverages and Wi-Fi on board United-operated flights
• Complimentary priority boarding for you and companions traveling on the same reservation
• $95 annual fee (after the first year)
• No intro APR period
• Rewards are only valuable when used with United

Why we chose it: The card_name has a low annual fee and gives you valuable benefits that make up for it, such as priority boarding for everyone on the reservation and a free checked bag for you and one companion.

Other perks the card includes are:

• Two one-time passes for United Club℠ airport lounges each account anniversary year
• 25% back as a statement credit on in-flight purchases like food, beverages and Wi-Fi
• Up to $100 every four years to cover the cost of TSA PreCheck®, Global Entry or NEXUS
• Comprehensive travel insurance (auto rental collision damage waiver, baggage delay insurance, lost luggage reimbursement, trip cancellation/interruption insurance and trip delay reimbursement)

The United℠ Explorer Card earns miles on United purchases, including tickets, inflight food, beverages, Wi-Fi and more. You also earn rewards at restaurants and select hotel stays.

You can use your miles to book flights on United Airlines or its partners, including Avianca, Lufthansa and Air Canada. You can also redeem them for seat upgrades, inflight Wi-Fi passes and more — although United miles are usually more valuable when used for airfare.

Travel Credit Cards Guide

The best credit cards for travel do more than offer high reward rates on flights and hotel stays. They also provide rewards for everyday spending and perks such as travel insurance , airport lounge access and annual statement credits.

Here’s a rundown of how these cards work:

What is a travel credit card?

Travel credit cards offer benefits and rewards geared towards individuals who travel frequently or want to earn travel benefits.

They provide high rewards for travel-related expenses such as flights, hotels, rental cars and dining. You can then use these rewards (in the form of points or miles) to book travel reservations. Some cards also let you transfer your rewards to hotel and airline partners or redeem them for statement credits, cash back, gift cards and more.

On top of the rewards, these cards often feature several travel-related perks, such as no foreign transaction fees, hotel discounts, travel insurance, free checked bags and airport lounge access.

How do travel credit cards work?

Travel credit cards give you a certain number of points or miles per dollar on eligible purchases. They often offer around 5x points or more for airfare, hotel rooms, rental cars and more. Some cards may also count parking, bus fares, taxis, tolls and ferries as travel purchases.

Besides travel, you’ll typically get bonus points in additional spending categories. For example, some cards may offer 3x points per dollar on dining, groceries, drugstores or streaming services. All other eligible purchases usually get at least one point (1x) per dollar.

You can then redeem your points for flights, hotels, car rentals, cruises and more. Card issuers also usually let you redeem your points for non-travel options like statement credits, cash back or gift cards.

How to use credit card points for travel

Travel credit cards have rewards programs through which you can earn points (or miles). Well-known point programs include Chase Ultimate Rewards®, American Express Membership Rewards® and Citi ThankYou® Rewards.

To redeem your points, go to your travel card’s rewards program portal. The process may differ across credit card issuers, but you’ll usually be able to access it through your online account on the issuer’s website or app.

Points are usually worth one cent each. However, some issuers increase their value if you redeem them for travel. For example, Chase Sapphire Preferred® Card points are worth 1.25 cents when used to book flights through the Chase Travel℠ portal.

Points may also be worth less than a cent, depending on how you redeem them. For example, some cards allow you to use your points at Amazon checkout. While this might sound convenient, this option may bring down the value of points to around 0.8 cents.

Some cards also allow you to transfer your rewards to select airline and hotel partners. Typically, you can transfer rewards to these loyalty programs on a 1:1 ratio, meaning that 1,000 credit card points are worth 1,000 loyalty program points.

Difference between points and miles

You’ll earn points or miles depending on which travel credit card you have. For example, Chase travel credit cards earn points, while Capital One travel cards earn miles. Miles and points typically have similar value (around one cent each) and redemption options.

However, keep in mind that several cards that earn miles are tied to a specific airline — like the United℠ Explorer Card. In this case, you can only use your rewards for purchases with the issuing airline such as flights, seat upgrades, inflight dining and more.

Pros and cons of travel credit cards

• Some cards offer up to 10x points per dollar on travel purchases.
• Many have additional bonus categories for dining, grocery shopping and more.
• They may include travel benefits like priority boarding, airport lounge access and late hotel checkouts.
• Points or miles can also be redeemed for cash back, statement credits, gift cards and more.
• Highest reward rates are usually limited to purchases made through the card issuer's travel portal.
• They might not offer high rewards on spending outside of the travel category.
• Some of the best ones can have steep annual fees and require good to excellent credit
• Redeeming points or miles for anything other than travel can reduce their value to less than one cent per dollar.

Types of travel credit cards

Here’s a rundown of the differences between the three main types of travel credit cards:

Airline credit cards

Airline credit cards are ideal for people who regularly fly with the same airline. These cards earn miles you can redeem for flights, seat upgrades, inflight dining, airport lounge access and other travel-related purchases but typically only with the issuing airline.

Some of the best airline travel credit cards include benefits like free checked bags, priority boarding and discounts on in-flight purchases.

Hotel credit cards

With hotel credit cards, you can only redeem your points for stays, discounts and other benefits with one particular hotel chain.

For example, the Hilton Honors American Express Surpass® Card earns points for Hilton’s loyalty program, which you can redeem for free nights in the company’s properties, including Hilton Garden Inn and Waldorf Astoria hotels.

Hotel credit cards may also offer complimentary breakfast, room upgrades, late checkouts and bonus points for purchases made during your stay.

General travel credit card

General travel credit cards are more flexible than airline or hotel cards. They aren’t affiliated with a single airline or hotel chain, so their points can be used to book flights, hotel stays, rental cars and more from different companies.

These cards may also offer useful perks for frequent travelers, like airport lounge access. They can also cover the cost of a Global Entry or TSA PreCheck® membership, which allows you to skip the long lines at airport security or customs.

How to choose a travel credit card

Picking the best travel rewards credit card boils down to how often you travel, which cardmember perks you’d benefit the most from and the categories you spend the most on.

Here are some factors to keep in mind when choosing the best card for you:

• Do you travel often? A travel rewards credit card offers high reward rates on travel spending, and you’ll get the most bang for your buck when you use their points on flights, hotels and car rentals. If you don’t take trips often but want to pile up rewards, a cash-back credit card might be a better fit.
• Assess your everyday spending. Many travel cards have additional bonus categories other than travel, like dining, supermarkets, streaming services and drugstores. Consider your day-to-day spending habits and pick a card with bonus categories that fit your lifestyle.
• Consider the card’s annual fees. No-annual-fee travel cards usually have few travel benefits. The best travel credit cards charge annual fees of at least $90 and can go as high as $700. However, these are often best for those that travel enough to take advantage of their benefits.
• General travel card vs co-branded cards. General travel cards have more flexible redemption options. On the other hand, co-branded cards are often tied to a specific airline or hotel, which can limit your options. Still, they do provide valuable perks like free checked bags, in-flight discounts and hotel upgrades.
• Compare extra travel perks. Some cards offer extras like annual statement credits for flights and hotels or upgrades when renting cars. Take the time to compare each card’s roster of add-ons and pick one that will best suit your travel plans.
• Compare insurance policies. The best credit card travel benefits include insurance policies that cover travel accidents, rental cars, trip cancellations and more. These policies can vary widely based on the issuer and the card’s annual-fee tier.
• Beware foreign transaction fees. Most travel credit cards don’t charge foreign transaction fees. Some cash-back cards may offer outstanding rewards for travel purchases but charge around 3% fees on purchases outside the U.S.
• Look beyond welcome offers. A 60,000-point welcome bonus can be enticing. However, it shouldn’t be your deciding factor, especially if you’ll end up paying a high annual fee without getting your money’s worth.

How get the most out of your travel credit card

To get the most out of your travel credit card, you need to use it as often and strategically as possible. This way, you can earn points or miles with each purchase, which you can then redeem for free or discounted flights, hotels and more.

Use your travel card to pay most of your purchases and bills and then pay your card off in full each month. This will help you earn points while avoiding interest charges and high credit card debt , which can impact your credit score.

Here are some other tips to maximize your rewards and benefits:

• Consider adding an authorized user to your account. They’ll earn points with every purchase they make, and those will get added to your overall total. However, make sure to pick someone who will use the card responsibly since you’ll be legally liable if they ever fail to pay their monthly bills.
• Redeem your rewards for travel through the card issuer’s website. This redemption option usually offers the highest value compared to gift cards or merchandise, for example.
• If your card offers travel protections (like travel accident or luggage insurance), use it to pay for your passenger fares. This way, you could be reimbursed in the event of an accident or lost luggage, for example.
• Use your airline or hotel card to sign up for the company’s frequent flyer or frequent guest loyalty program. You’ll often earn extra points or miles when you’re a member and use your co-branded card to pay for flights, hotel stays and more.
• If you can transfer points from other credit cards to your travel card, take advantage of this feature. This way, you can accumulate extra points for travel booking and sometimes even increase their value.

Best Travel Credit Cards FAQs

What is the best travel credit card, what is the best credit card for international travel, how to travel for free with credit cards, what is the best credit card for travel miles, what is a welcome bonus on a credit card, how we chose the best travel credit cards.

We ranked the best credit cards for travel based on their annual fees, benefits, reward rates and redemption flexibility.

Fees: We compared interest rates and foreign, cash advance and balance transfer fees for more than 50 credit cards. We also considered their annual fee, looking for those that offered the most for the money.

Ongoing benefits: Intro APR and bonus offers are attractive, but they can only get you so far. We focused on cards with year-round benefits such as travel insurance or cell phone protection plans.

Reward rates: We preferred cards that allow you to earn extra points from travel expenses, as well as those that provide significant bonus rewards in popular spending categories, like dining, supermarkets or streaming services.

Redemption flexibility: Our picks don’t limit your redemption options to just travel. Some let you use your points for Amazon purchases, for example. We also preferred issuers that allowed cardholders to transfer their points to airline and hotel partners.

Summary of Money’s Best Travel Credit Cards of May 2024

• Discover it® Miles Credit Card – Best no-annual-fee travel card for simple rewards

Money.com has partnered with CardRatings for our coverage of credit card products. Money.com and CardRatings may receive a commission from card issuers.

For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.

To see rates and fees for the American Express® Gold Card, visit this link . Terms apply.

To see rates and fees for The Platinum Card® from American Express, visit this link . Terms apply.

To see rates and fees for The Business Platinum Card® from American Express, visit this link . Terms apply.

* Insurance disclosures for American Express Cards on this page:

Trip Delay Insurance: Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by New Hampshire Insurance Company, an AIG Company.

Trip Cancellation and Interruption Insurance: Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by New Hampshire Insurance Company, an AIG Company.

Baggage Insurance Plan: Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company.

Global Assist Hotline: Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Card Members are responsible for the costs charged by third-party service providers.

Extended Warranty, Purchase Protection, Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company.

Car Rental Loss & Damage Insurance: Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company. Car Rental Loss or Damage Coverage is offered through American Express Travel Related Services Company, Inc.

** Car Rental Loss and Damage Insurance can provide coverage up to $75,000 for theft of or damage to most rental vehicles when you use your eligible Card to reserve and pay for the entire eligible vehicle rental and decline the collision damage waiver or similar option offered by the Commercial Car Rental Company. This product provides secondary coverage and does not include liability coverage. Not all vehicle types or rentals are covered. Geographic restrictions apply. Eligibility and Benefit level varies by Card. Terms, Conditions, and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company. Car Rental Loss or Damage Coverage is offered through American Express Travel Related Services Company, Inc.

*** Car Rental Loss and Damage Insurance can provide coverage up to $50,000 for theft of or damage to most rental vehicles when you use your eligible Card to reserve and pay for the entire eligible vehicle rental and decline the collision damage waiver or similar option offered by the Commercial Car Rental Company. This product provides secondary coverage and does not include liability coverage. Not all vehicle types or rentals are covered. Geographic restrictions apply. Eligibility and Benefit level varies by Card. Terms, Conditions, and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company. Car Rental Loss or Damage Coverage is offered through American Express Travel Related Services Company, Inc.

© Copyright 2024 Money Group, LLC . All Rights Reserved.

This article originally appeared on Money.com and may contain affiliate links for which Money receives compensation. Opinions expressed in this article are the author's alone, not those of a third-party entity, and have not been reviewed, approved, or otherwise endorsed. Offers may be subject to change without notice. For more information, read Money’s full disclaimer .

Should You Use a Credit Card or Cash on Vacation?

Consider your spending, destination and flexibility when choosing cash or credit card for vacations.

Cash or Credit on Vacation?

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It may be best to bring both cash and credit cards on vacation for different types of transactions or if one form of payments gets lost.

Key Takeaways

• You'll be best prepared if you plan to use both cash and credit cards on vacation, as either payment type can function as a backup.
• Consider your spending habits, destination and trip duration when choosing whether to use cash or credit cards as your primary method of payment on vacation.
• Take steps to keep your cash and credit cards safe while traveling by dividing cash into multiple stashes and using tap to pay for credit cards.

Cash is king, but credit can offer greater security when you travel. Before you head out on vacation, make plans for whether you'll pay for expenses such as meals, souvenirs and local transportation with cash or credit. Consider how you plan to spend, where you're going and how flexible your money needs to be as you choose between cash or credit as your preferred payment method.

Pros and Cons of Using Cash on Vacation

Cash can offer flexibility and help you avoid fees, but it can be risky to carry on vacation.

According to Travis Cormier, chief operating officer of credit card rewards travel site 10xTravel, using cash largely depends on your destination, as you won't always find vendors who take cards in every destination. "Consider the remoteness of where you're going, as well," Cormier says. "Many card transactions require the internet to process, so if you're traveling somewhere like Egypt or Morocco where you'll be out of the city centers, expect to need cash."

Pros of Cash

Budgeting: When you pay in cash, it's easy to keep up with spending because you can see how much is left every time you open your wallet.

Avoiding fees: You may have to pay a foreign transaction fee when you use a credit card, and some establishments charge a fee on top of that for you to use a credit card instead of cash or debit.

Flexibility: Cash works almost everywhere, especially if you're leaving tips or buying food from a street vendor. You might have an easier time haggling with cash, too.

Cons of Cash

Theft or loss risk: Once cash is lost or stolen, there's no way to recover it. Also, it could be dangerous to travel with all of the cash you need for your trip.

Planning required: You'll need to plan ahead and get enough cash for your vacation just in case you can't find an ATM that works with your bank.

Less acceptance: Although cash is often widely accepted, businesses that have gone cashless and only accept debit or credit cards are increasing. Hotels and car rental companies may require you to have a card on file even if you're paying cash.

"The downside of paying with cash when traveling is that you have to carry around large sums of money with you, and you run the risk of misplacing it or theft," says budgeting expert Andrea Woroch. She suggests carrying a debit or credit card as a backup to cash.

Cormier says using cash in countries with a volatile currency may eventually make your cash less valuable. "If you don't use all the cash and you're saving it for a future trip, it may not be worth as much next time you travel."

Pros and Cons of Using Credit Cards on Vacation

Credit cards can offer greater protections than cash, but you may experience fees or issues with acceptance depending on where you're traveling.

Pros of Credit Cards

Expense tracking: You can keep track of what you've spent by logging into your online account.

Rewards and benefits: Many credit cards earn cash back you can use to offset travel expenses, or others may earn points to use toward your next trip. Some may offer travel protections such as trip cancellation coverage, and your benefits may include travel perks such as airport lounge access.

Easy replacement: If your card is lost or stolen, it's typically easy to lock your card with an app or phone call, remove fraudulent charges and get a new card sent to you. However, you should have a backup payment method to use while you wait to get a new card.

The security of credit cards can't be understated. "If you lose your cash, then that money is gone," says Cormier. "If you lose your card, it may be an inconvenience, but you can at least cancel it and get a new card reissued and you're not liable for any unauthorized purchases on the card."

Your card may also offer travel protections that can save you money and offer reassurance, says Spencer Howard, founder of points travel site Straight To The Points.

"Beyond earning points, miles or cash back, many credit cards come with a variety of travel benefits such as trip delay and cancellation protection and bag delay protection," says Howard. "Delays and cancellations are stressful enough, so knowing that you can cover some necessary expenses provides a little peace of mind."

Cons of Credit Cards

Foreign transaction fees: Some credit cards charge a fee for purchases made abroad or in foreign currency. However, there are numerous cards with no foreign transaction fees if you'd prefer not to pay this when you travel.

Unexpected declines: Credit card issuers use advanced algorithms to detect fraud, but may erroneously flag your account for fraud and not allow charges when you make purchases that don't follow your usual pattern.

Acceptance issues: Although the major credit card issuers are widely accepted, there are exceptions. Discover and American Express are accepted at fewer locations than Visa and Mastercard, so you should bring a Visa or Mastercard as a backup.

How to Choose Between Cash or Credit Cards on Vacation

Choosing between cash or credit cards on vacation isn't an either-or situation, as you should be prepared to use both. Consider your spending habits, the destination and how long you're traveling.

You might prefer to primarily use credit cards but bring cash as a backup in case your cards are lost or compromised, a merchant doesn't accept cards or you want to tip in cash. Alternatively, you might prefer cash but still bring a credit card or two along as a backup if you lose your cash, need to put a card on file for a hotel or rental car or encounter a cashless business.

Also think about the types of transactions you'll make. Cash may be a good choice for small transactions such as meals or souvenirs, while a credit card is better for hotel accommodations or tours.

Consider the trustworthiness of where you're spending money before you hand over cash. "If a merchant fails to provide the service or product you've purchased, using a credit card gives you the option to file a (dispute) so your bank can investigate," says Howard, who notes if a merchant accepts credit cards, that's always his preferred payment method.

Look ahead to your destination and understand whether you'll need to convert your cash, how easy it is to access ATMs that connect to your bank and how widely your credit cards are accepted. Trip duration matters, too, as carrying enough cash to cover a long trip may not be practical.

"Travelers deciding on cash or cards for vacation spending need to consider the benefits of their card and the accessibility of card payments in the country they're traveling to," says Cormier. "Additionally, if you don't get cash in advance, your bank may charge you a foreign ATM fee to get cash in a foreign country, and ATMs can set their own conversion rates that don't match the market rates."

6 Best Vacation Loans

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Tips for Using Cash and Credit Cards on Vacation

A few things to keep in mind when spending on vacation:

• Divvy up the cash. Keep cash safe by dividing it into stashes in multiple locations, such as in your wallet, money belt, hidden pocket and in your hotel safe. Only carry what you need for the day's expenses and be discreet about handling cash in public.
• Do your research. When exchanging currency, only visit reputable banks or currency exchange offices, and compare exchange rates to find the best place to convert your cash.
• Avoid fees. Use a credit card that doesn't charge foreign transaction fees.
• Alert your bank before you leave. Some credit card issuers ask you to set up a travel notice to avoid having them errantly flag your account for fraud. You may be able to set up the notice online or by phone.
• Shop like a local. If a merchant offers the option to pay with your home currency, decline it and pay with the local currency, as the exchange rate you'll get from your card should be better than what's available at the register.
• Tap to pay when available. Whenever possible, use tap to pay with your phone or watch. It's the most secure way to pay because you don't need to pull out your wallet and it reduces the risk of card skimming and fraud.

"Rather than choose one or the other, consider utilizing cash and cards to be sure you're fully covered," says Cormier, who recommends taking out about $100 to $200 and planning ahead for foreign currency. "Most major U.S. banks can order cash for you for any country, but you'll often need to reach out a few weeks before your trip for them to get it in time. If you need more cash, you can get more at your destination."

Tags: credit cards , Vacations

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Should I Pay With PayPal or With My Credit Card?

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Paying with a credit card or PayPal generates similar fees and protections, and can even earn similar rewards. The best choice for you ultimately depends on which option is more convenient, since the other differences can be negligible.

Here’s how the two payment methods stack up against each other.

» MORE: How does PayPal work?

Costs and fees

When you use your credit card to buy something in the U.S., you generally don’t get hit with extra fees. It’s the merchant that pays the interchange fee , which is typically 1% to 3% of the purchase price plus a flat fee.

When you make a purchase with PayPal, it’s also free (as long as it’s within the U.S.), and similarly, the merchant pays a fee, which is 2.9% plus 30 cents per sale.

» MORE: PayPal vs. Venmo, Zelle and others

When you make purchases directly with a rewards credit card, you'll earn points, miles or cash back on the transaction. For example, a good flat-rate cash-back card earns 1.5% to 2% back on every purchase .

When you pay via PayPal, you can earn rewards at your card's normal rate, too, as long as that card is linked to your PayPal account and you select that option when you pay. It's still free to make purchases this way.

PayPal offers a co-branded credit card from Synchrony Bank: the PayPal Cashback Mastercard® . You must have a PayPal account. It earns cash back on PayPal and other purchases.

» MORE: NerdWallet’s best rewards credit cards

Security and liability

If you're a victim of credit card fraud and you report it within 60 days, federal law limits your liability. Most credit card issuers go even further and offer full liability protection . When an unauthorized charge shows up on your account, file an official report. Once the investigation is complete, the fraudulent transactions will be refunded to your account.

PayPal also offers fraud and purchase protection. If you were charged for something you didn’t purchase, PayPal says you'll be covered as long as you report the problem within 60 days. Similarly, if your order never arrives, or what you ordered is different from what arrives, PayPal says you can be reimbursed for the full purchase price, along with any shipping charges. Terms apply.

» MORE: How to prevent credit card fraud

Rights in disputes

Under the Fair Credit Billing Act, credit cardholders are protected by a dispute settlement process that allows them to challenge billing errors within 60 days of receiving the statement with the error. The card issuer can issue a chargeback, or refund to the consumer, while it investigates. The cardholder keeps the money if the issuer concludes that the cardholder was in the right.

Aside from any coverage PayPal may have under the Fair Credit Billing Act for any of its credit cards or plans, PayPal offers some voluntary benefits for its transactions through its purchase protection program. There are, however, some exclusions, including for in-person purchases and custom-made goods. Voluntary benefits offered by companies can be helpful to consumers, but they are not enforceable as federal protections.

Still, for most transactions, consumers experience similar protections when paying with either method.

On a similar note...

Find the right credit card for you.

Whether you want to pay less interest or earn more rewards, the right card's out there. Just answer a few questions and we'll narrow the search for you.

Launching a cashback loyalty program to maximize customer engagement

PayPal Editorial Staff

May 13, 2024

Cashback loyalty programs can be a valuable tool to help enterprises improve customer engagement and nurture relationships. By rewarding shoppers for their purchases, businesses can help promote brand affinity and keep people coming back for more.

Still, there’s no one-size-fits-all cashback program. It’s important to design and manage a solution that best engages your audience while meeting your business goals.

Learn more about the benefits of this strategy along with helpful tips and best practices for launching your own cashback loyalty program.

Driving customer engagement with loyalty programs

Cashback rewards programs are helpful for driving customer engagement — among both new and loyal shoppers. With a cashback program, customers can receive a percentage of money back on eligible purchases. They can then save and spend that money on a future purchase, increasing their engagement with the retailer.

Gen Z and Millennials, in particular, are likely to feel they’re “getting something for free” if they buy a gift using rewards. 1

Additional benefits of cashback loyalty programs for businesses

Along with increasing customer engagement, enterprises can access a range of benefits from cashback loyalty programs, such as:

• Increased revenue. Incentivize customers to spend more by rewarding them for each purchase. Depending on your rewards structure, you can motivate customers to unlock new cashback benefits by hitting different spending tiers. Also, inspire shoppers to invest those rewards back into your business with redemption options like gift cards and special offers on certain products. In one survey, 39% of consumers made an impulse purchase to earn more rewards. 2
• Improved customer retention.  Rewards programs can help customers feel valued and appreciated, enhancing satisfaction, loyalty, and retention. They can also help shoppers get more from their purchases and increase spending efficiency, a critical point as one report found 88% of US customers surveyed would switch brands to save money. 3
• Access to valuable data.  Use the data from your cashback program to learn more about the preferences, demographics, and behaviors of your most loyal customers. You can then use this data to better personalize experiences to meet their needs and target potential customers with similar attributes.

Designing a cashback program

There are two core components of successful cashback benefits programs. It’s important for each business to tailor these components to their audience behaviors and program goals:

• Rewards structure.  Determine the percentage of cashback rewards customers will receive, along with any eligibility criteria for receiving those rewards. For example, customers might receive 2% cash back on purchases from certain product categories, like groceries, travel, or electronics.
• Redemption options . Decide how customers can redeem their rewards, such as by receiving cash deposits, discounts on future purchases, or gift cards.

Selecting the right technology platform

Before launching your program, it’s important to evaluate and choose a suitable management platform for your enterprise.

Your loyalty program management software should offer certain capabilities, such as:

• Integration with existing platforms.  Seamlessly sync your loyalty program software with current payment systems and customer relationship management platforms.
• Real-time data collection . Access real-time analytics and reports about customer engagement, behaviors, and revenue to optimize strategies.
• User-friendliness.  Allow customers to easily manage and redeem their cashback rewards. With the new PayPal CashPass , for example, shoppers can receive personalized, AI-powered cashback offers from top brands in the U.S.

Best practices when launching the program

Once you’ve set the terms for your cashback loyalty program, you can take these steps to spread the word among new and current customers, and start driving results:

Initiate a soft launch

Develop a rollout plan, start promotional activities.

Consider a soft launch to test the new cashback program with a select group of customers. Gather data from this soft launch to better understand how customers engage with the program and which aspects are or aren’t working. Use this data to answer questions such as:

• Are customers able to easily sign up for the rewards program? Which platforms are they using to sign up?
• At what point(s) during the buyer journey are most customers opting into the program?
• Which spending categories are driving the most cash back?
• Do customers understand how to access, manage, and redeem their rewards?
• How are customers choosing to redeem their rewards? Are any redemption options more popular than others?
• Is the program successful at increasing engagement and revenue?

Design a comprehensive rollout plan to make the program accessible to all customers. This rollout plan should include:

• Timelines for making the program public.  Will the program be available to everyone at once or will it launch in phases? For example, you might offer the program to current and loyal customers first, and then introduce it to new customers.
• Training for employees.  How will sales, marketing, communications, and customer service representatives be trained to help customers sign up for and navigate the cashback loyalty program?
• Objectives and milestones. What do you hope to accomplish with the rollout plan? For instance, your goal might be to increase new customer engagement by a certain percentage within the first year or to drive a certain number of signups by the end of the first quarter.

Help customers learn about your cashback loyalty program with the right promotional activities and marketing strategies, such as:

• Email alerts.  Send notifications and reminders to email subscribers, letting them know how to sign up for your cashback program.
• Social media ads.  Get in front of new audiences with targeted social media placements advertising relevant products and cashback offers.
• Sign-up bonuses.  Incentivize customers to sign up with limited time cashback bonuses.
• Personalized offers.  Meet shoppers throughout the buyer journey — such as on your app and at checkout — with customized product offerings about cashback deals.

Using PayPal as an advanced offers program

PayPal provides next-level tools that today’s enterprises can use to help personalize and transform the commerce experience.

With PayPal’s new advanced offers platform, businesses can reach customers with targeted cashback rewards and product recommendations right on the PayPal app. Retailers can even deliver personalized offers after checkout with PayPal Smart Receipts — helping to further increase engagement and entice customers to come back again and again.

Start revolutionizing customer experiences with PayPal’s new advanced offers program.

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