PayPal Cashback Mastercard Review: 3% With PayPal & 2% Everywhere Else Mastercard Is Accepted

Quick Highlights

• Variable APR of 19.74% to 31.74%. Rates as of 5/15/2023. (This APR will vary with the market based on the Prime Rate.) 
• Earn unlimited cash back at millions of merchants without restrictions or rotating categories 
• Earn 3% cash back every time you shop with PayPal 
• Access your cash back imminently since it's earned daily on completed purchases

Current Offer Details

Currently, there is no ongoing account opening or welcome bonus for new cardholders of the PayPal Cashback Mastercard. 

Value Of Rewards

Since you can only earn cash back with this credit card, it's easy to understand how much you're getting: 3% for any PayPal purchase and 2% for anything else. 

How You Earn Rewards

With the PayPal Cashback Mastercard, you can earn cash back on every purchase you make without the hassle of tracking categories or limiting the amount you can earn. Every purchase you make will consistently earn 3% cash back on PayPal purchases and 2% everywhere else Mastercard is accepted. 

How To Redeem Rewards

The rewards earned with the PayPal Cashback Mastercard can be redeemed in several ways. 

To receive a balance credit, you can log in to your PayPal account and transfer your cash back rewards to your PayPal balance. You can use this PayPal balance for online purchases or transfer to a linked bank account.

If you don’t have a PayPal balance account, you can redeem your rewards directly to your bank.

Redemption Potential

The redemption potential of the rewards earned with the PayPal Cashback Mastercard is straightforward. By earning 3% cash back on PayPal purchases and 2% back on all other eligible purchases, cardholders can accumulate significant rewards over time or redeem them the day after their purchase posts. 

There is no cap on the amount of cash back you can earn, making it possible to accumulate substantial rewards.

Rates And Fees

Cash advance: Either $10.00 or 5.00% of the amount of each cash advance, whichever is greater 

Cash advance APR: 31.74% Late fees: Up to $40.00 Returned payment: $29.00 Foreign transaction fees: 3.00% Annual fee: $0.00/yr 

Variable APR of 19.74% to 31.74%. Rates as of 5/15/2023.

PayPal Cashback Mastercard Vs. Venmo Credit Card

The Venmo Credit Card is a credit card offered by Venmo, issued by Synchrony Bank. With this card, cardholders earn 3% cash back on their eligible top spend category, 2% cash back on the next, and 1% cash back on all other eligible purchases⁴. 

The Venmo Credit Card also allows cardholders to split purchases with friends, which can be helpful for those who often split the cost of purchases with others. 

If you spend a lot of money in different categories (i.e., gas, groceries, etc.) and are a frequent online shopper, then the PayPal Cashback Mastercard might be a good fit. However, the Venmo Credit Card is better for those who use Venmo frequently and want the ability to split purchases with friends and often spend in one specific category.

PayPal Cashback Mastercard Vs. Bread Cashback™ American Express® Credit Card

The Bread Cashback™ American Express® Credit Card is a credit card that offers cardholders unlimited 2% cash back on all eligible purchases. The card has no annual fees, no foreign transaction fees, and access to Amex Offers.

The PayPal Cashback Mastercard is better for people who only travel a little and can maximize their purchases by using PayPal.

However, if you travel a lot and don't use PayPal that often for purchases, we recommend the Bread Cashback™ American Express® Credit Card.

Best Card To Pair With The PayPal Cashback Mastercard

Pairing the Chase Freedom Unlimited® credit card with the PayPal Cashback Mastercard can be an excellent option for users who want to maximize their cash back rewards without paying annual fees. 

The Chase Freedom Unlimited® credit card earns users an unlimited 3% on restaurants, 3% at drug stores, 5% on travel (purchased through Chase Ultimate Rewards), and 1.5% on every other purchase. On the other hand, the PayPal Cashback Mastercard earns users 3% cash back on PayPal purchases and 2% back on all other eligible purchases.

Users should use the Chase Freedom Unlimited® credit card for all restaurant, drugstore, and travel purchases. 

The PayPal Cashback Mastercard should be used for PayPal purchases and any other purchases. 

This credit card setup would still have no annual fees, but it's important to understand both charge a foreign transaction fee, so neither should be used when shopping abroad. 

The PayPal Cashback Mastercard is a cash back rewards credit card offered by Synchrony Bank and linked to your PayPal account. It is best suited for those who want up to 3% unlimited cash back on all eligible purchases without the hassle of tracking categories or limiting the amount they can earn. 

This card is particularly attractive for those who make frequent purchases and want a simple way to earn cash back rewards without paying an annual fee. 

However, there may be better choices than the PayPal Cashback Mastercard for those who want a wider range of reward options, as the cash back rewards can only be redeemed to your PayPal balance account, or a bank deposit if you don’t have a PayPal balance account. Additionally, the card's interest rate may be higher than other credit cards, so it may not be ideal for those carrying a balance or planning to make large purchases.

Disclosures

¹See Terms and Rates for New Accounts.

²Purchases are subject to credit approval, and the PayPal Cashback Mastercard must be used for payment. See Rewards Program Terms for details and restrictions.

³Important information on redeeming Cash Rewards: You need to have a PayPal Balance account to use your redeemed rewards in your balance. If you do not have that account, you can only transfer your Cash Rewards to your bank account or debit card linked to your account with PayPal.

⁴See Venmo Credit Card Rewards Program Terms. Use of cash back is subject to the terms of the Venmo User Agreement.

The PayPal Cashback Mastercard is issued by Synchrony Bank pursuant to a license by Mastercard International Incorporated. Mastercard, Tap & Go and the circles design are registered trademarks of Mastercard International Incorporated.

PayPal Cashback Mastercard Review: 3% With PayPal & 2% Everywhere Else Mastercard Is Accepted

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