Prepaid credit cards can provide a convenient means for your business to make online purchases through PayPal. As long as the prepaid card has a Visa, MasterCard, Discover or American Express logo, you can use the card on any website that accepts PayPal. However, transferring money between your PayPal account and a prepaid card can be more difficult. While some prepaid cards can be linked to your PayPal account, others can't, depending on the policies of the card issuer. Generally, you must register a prepaid card under your name and address before you can link it to your PayPal account.
Making Purchases
Step 1
Select PayPal as the payment method when making a purchase on a website that accepts PayPal. The website will transfer you to the PayPal payment interface.
Step 2
Select "Debit/Credit Card" from the options, and then enter your prepaid credit card information. PayPal will only accept prepaid credit cards with a Visa, MasterCard, Discover or American Express logo.
Step 3
Click "Review and Continue" to see a summary of the transaction, and then click "Confirm and Pay." You must have enough money on your prepaid card to cover the full amount of the charges; otherwise, the card will be declined. You cannot apply the balance on your card as a partial payment.
Link to PayPal Account
Step 1
Check your prepaid card for a phone number or website address you can use to register the card. Register the card using the same name and address you use for PayPal.
Step 2
Log in to your PayPal account and hover your mouse over the "Profile" tab. Select the "Update Card" option.
Step 3
Activate the drop-down menu next to "Card Type" and select either "Visa," Mastercard," "Discover" or "American Express," depending on the type of prepaid card you are adding.
Step 4
Enter the credit card number, expiration date and the card verification number. For Visa, MasterCard and Discover, the card verification number is the last three digits of the number on the back of the card. For American Express, the card verification number consists of the four digits in small print on the right side of the card.
Step 5
Check your PayPal billing address shown on the screen and make sure it matches the address registered to the prepaid card.
Step 6
Click the "Add Card" button. PayPal will electronically verify the billing address on file with the card company. If the addresses match, the card becomes linked to your PayPal account. You will be able to make payments on PayPal using the prepaid card as the funding source; however, you may not be able to transfer money to or from the card. Depending on the type of card, you may be able to lift those limits by going through PayPal's expanded use verification process.
Step 7
Hover your mouse over the "Profile" tab and select the "My Money" option.
Step 8
Click the " Complete Expanded Use Enrollment" link next to the entry for the prepaid card. Some cards are not eligible for expanded use enrollment, so you may not see this link.
Step 9
Click "Get Number," and then click "Continue." PayPal will make a small charge to the card, which will be returned later once the card is verified.
Step 10
Check your prepaid card's billing statement for the PayPal charge. Next to the line item you should see a four-digit code. If you are able to view your account statement online, the code should appear within two to four days; otherwise, you'll have to wait for your statement to come in the mail.
Step 11
Log in to your PayPal account and click the "Complete Expanded Use Enrollment" link on the Overview page.
Step 12
Enter the four-digit code and click "Submit" to verify your card.
References
Writer Bio
Alan Sembera began writing for local newspapers in Texas and Louisiana. His professional career includes stints as a computer tech, information editor and income tax preparer. Sembera now writes full time about business and technology. He holds a Bachelor of Arts in journalism from Texas A&M University.
*IMPORTANT INFORMATION FOR OPENING A NEW CARD ACCOUNT: To help the federal government fight the funding of terrorism and money laundering activities, the USA PATRIOT Act requires us to obtain, verify, and record information that identifies each person who opens a Card Account. WHAT THIS MEANS FOR YOU: When you open a Card Account, we will ask for your name, address, date of birth, and your government ID number. We may also ask to see your driver's license or other identifying information. Card activation and identity verification required before you can use the Card Account. If your identity is partially verified, full use of the Card Account will be restricted, but you may be able to use the Card for in-store purchase transactions. Restrictions include: no ATM withdrawals, international transactions, account-to-account transfers and additional loads. Use of Card Account also subject to fraud prevention restrictions at any time, with or without notice. Residents of Vermont are ineligible to open a Card Account.
1 While this specific feature is available at no cost, certain other transaction fees and costs, terms, and conditions are associated with the use of this Card. See the Cardholder Agreement or Online Account Center for more details.
2 Faster funding claim is based on a comparison of our policy of making funds available upon receipt of payment instruction versus the typical banking practice of posting funds at settlement. Fraud prevention restrictions may delay availability of funds with or without notice. Early availability of funds requires payor's support of direct deposit and is subject to the timing of payor's payment instruction.
3 PayPal Transfers require a PayPal Balance account and a personalized card, which arrives within 10 business days after activation of your instant-issue card. If you do not already have a PayPal Balance account you will link to this Card, visit www.paypal.com to get one, or you may get one when you activate this card online. PayPal Balance account required for certain features, but not to have the PayPal Prepaid Card. Transfers may not exceed $300 per day/$2,000 per rolling 30 days and are limited to the funds available in your PayPal Balance account. Transfers may only be made in the name of a valid PayPal Prepaid Mastercard Cardholder. Only one (1) PayPal Prepaid Mastercard may be linked to one (1) PayPal Balance account. PayPal Transfers cannot be reversed or canceled. The Bancorp Bank and Mastercard are not affiliated with, and neither endorses nor sponsors the PayPal.com online account to which various funding sources, including a PayPal Prepaid Card, may be linked.
4 Fee may be assessed by reload location and may vary from location to location.
5 Payback Rewards is an optional program. You may opt-out at any time by visiting the Payback Rewards page in your Online Account Center. Reward offers are based on individual shopping habits. Cash back rewards are credited to your Card Account and are not available in the form of a check or other direct payment method. See the program FAQs and Terms and Conditions in your Online Account Center for additional details about how and when you get rewared. Program sponsor: Netspend Corporation. The Bancorp Bank and Mastercard are not affiliated in any way with this program and do not endorse or sponsor this program.
6 The Savings Account is made available to Cardholders through The Bancorp Bank; Member FDIC. To participate in the Savings Account program, Cardholder must consent to and continue receiving communications from us in electronic form. If Cardholder is subject to Internal Revenue Service backup withholding at the time of the request to open a Savings Account, the request will be declined. Interest is calculated on the Average Daily Balance(s) of the Savings Account and is paid quarterly.
- If the Average Daily Balance is $1,000.00 or less, the interest rate paid on the entire balance will be 4.91% with an Annual Percentage Yield (APY) of 5.00%.
- If the Average Daily Balance is more than $1,000.00, the interest rate paid on the portion of the Average Daily Balance which exceeds $1,000.00 will be 0.49% with an APY of 0.50%, and the interest paid on the portion of the Average Daily Balance which is $1,000.00 or less will be 4.91%. The APY for this tier will range from 5.00% to 0.54%, depending on the balance in the account.
The interest rates and APYs of each tier may change. The APYs were accurate as of September 8, 2021. These are promotional rates and may change without notice pursuant to applicable law. No minimum balance necessary to open Savings Account or obtain the yield(s). Because Savings Account funds are withdrawn through the Card Account (maximum 6 such transfers per calendar month), Card Account transaction fees could reduce the interest earned on the Savings Account. Card Account and Savings Account funds are FDIC-insured through The Bancorp Bank, Member FDIC upon verification of cardholder's identity. For purposes of FDIC coverage limit, all funds held on deposit by the Cardholder at The Bancorp Bank will be aggregated up to the coverage limit, currently $250,000.00.
7 A cardholder may receive an unlimited number of Refer-a-Friend rewards while program is available. No reward credited to either party if referred individual had another Netspend managed card that was used for a value load, purchase, cash withdrawal, or incurred a balance inquiry fee at any time during the 180 calendar days before the day the $40 load requirement is fully met. Only cash reloads and direct deposits count towards the minimum load requirement. Allow 2 business days for $20 credit to appear on each Card Account. If a cardholder accrues $600 or more in Refer-a-Friend rewards in a calendar year, Netspend will mail cardholder an IRS Form 1099-MISC reflecting the total Refer-a-Friend rewards for such calendar year. Cardholder acknowledges that by referring a friend through this program, cardholder is releasing non-public information. Referred person acknowledges that payment of the referral may result in the cardholder's knowledge of referred person establishing a Card Account with us. The Bancorp Bank is not affiliated in any way with the Refer-a-Friend rewards program and does not endorse or sponsor this program.
8 No charge for this service, but your wireless carrier may charge for messages or data.
9 Mobile Check Load is a service provided by First Century Bank, N.A. and Ingo Money, Inc., subject to the First Century Bank and Ingo Money Terms and Conditions, and Privacy Policy. Approval review usually takes 3 to 5 minutes but can take up to one hour. All checks are subject to approval for funding in Ingo Money's sole discretion. Fees apply for approved Money in Minutes transactions funded to your card. Unapproved checks will not be funded to your card. Ingo Money reserves the right to recover losses resulting from illegal or fraudulent use of the Ingo Money Service. Your wireless carrier may charge a fee for message and data usage. Additional transaction fees, costs, terms and conditions may be associated with the funding and use of your card. See your Cardholder Agreement for details.
The PayPal Prepaid Mastercard is issued by The Bancorp Bank, Member FDIC, pursuant to license by Mastercard International Incorporated. Netspend is an authorized representative of The Bancorp Bank. Certain products and services may be licensed under U.S. Patent Nos. 6,000,608 and 6,189,787. Use of the Card Account is subject to activation, ID verification and funds availability. Transaction fees, terms, and conditions apply to the use and reloading of the Card Account. See the Cardholder Agreement for details.
Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.
Card may be used everywhere Debit Mastercard is accepted.
Apple and the Apple logo are trademarks of Apple Inc., registered in the U.S. and other countries. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.
PayPal and the PayPal logo are registered trademarks of PayPal, Inc. Designated trademarks and brands are the property of their respective owners.
This retailer engages in money transmission services as an authorized delegate of Netspend Corporation (NMLS #932678). State licenses, disclosures, and complaint information may be found here www.netspend.com/help/licenses.
© Netspend Corporation. All rights reserved worldwide. Netspend is the federally registered U.S. service mark of Netspend Corporation. All other trademarks and service marks belong to their owners.