As well as earning reward or frequent flyer points when you link your credit card, a PayPal account gives you a secure place to store your payment details. This way you don't have to enter them every time you buy something online. It also offers encryption for every transaction and reimbursement if items don't show up or are different from the seller's description.
You can add any valid American Express, Mastercard or Visa credit card to your account by following the steps below.
The points you can earn depend on your credit card's reward program. Generally, you'll earn points when you use PayPal to buy clothes, mobile devices, makeup, music or any other retail purchases.
Gambling transactions, foreign currency purchases, gift cards and any other transactions that may be processed as cash advances don't usually earn points.
The terms and conditions for credit card reward schemes vary on "eligible transactions" that earn points, so check with your card provider for more information.
You can earn the same amount of points by shopping with your credit card. You won't earn extra points with PayPal.
However, using PayPal has some extra benefits:
Some shoppers might find it easier just to stick with their credit card for several reasons:
Read more about the different security features of credit cards and PayPal.
| Response | Gen Z | Gen Y | Gen X | Baby Boomers |
|---|---|---|---|---|
| Qantas Frequent Flyer | 8.99% | 11.14% | 8.22% | 8.81% |
| Flybuys | 5.62% | 6.79% | 6.91% | 9.66% |
| Velocity Frequent Flyer | 3.37% | 3.26% | 1.64% | 3.69% |
| AMEX Membership Rewards | 1.12% | 2.17% | 1.32% | 1.7% |
| Star Alliance | 1.12% | |||
| Other bank rewards program (eg. CommBank Awards,NAB Rewards) | 5.16% | 9.54% | 7.95% |
Well-known among frequent flyers and point chasers, this controversial strategy involves taking advantage of bonus point offers on different credit cards.
Find out which credit cards offer points for payments to the ATO and how much the rewards are really worth.
Reward your spending and redeem gift cards, merchandise and experiences with the Latitude Infinity Visa credit card.
Learn how you can build points with St.George and Amplify Rewards to redeem them for gift cards, wine, travel and more.
Compare Coles Flybuys or Everyday Rewards to find out which one can offer you more rewards on your grocery shop.
The Myer Credit Card earns MYER one Credits on eligible spending and interest-free offers at Myer, but it's not currently available for new applications.
Gift cards can be thoughtful and practical presents for people. Read this guide on Woolworths and Coles gift cards to find out what you need to know when buying and using them.
Credit card rewards and other loyalty programs have the potential to offer you extra value for your spending – here’s how to work out if you are getting it.
Use your credit card to earn up to 3 Flybuys points per $1 spent on everyday expenses and redeem a variety of flight and shopping rewards.
Hello
Can you still earn points on the money you send to “Family and Friends” using your credit card as the manner of payment through Paypal?
Thanks.
Hi Ebony,
Thanks for your inquiry.
Generally, credit cards will let you earn points if you use them on eligible purchases and not on cash advances. Please note that credit card companies view fund transfer as a cash advance. This means that when you send money to your family and friends using your credit card through your PayPal account, you won’t be able to earn points from it.
Cheers,
May
how can I get into reward program in paypal if I have no credit card and only link with bank account and how can I use that point ?
Hi Ash,
Thanks for your comment.
With Paypal, you can only earn points when you link your credit card to your Paypal account. PayPal accepts a number of credit cards including Visa, MasterCard, American Express, Diner’s Club and more. However, it is important to note that certain cards like procurement and private label credit cards
are not compatible with PayPal Merchant Services.
Cheers,
Anndy
Is there an annual fee to use PayPal???
Hi F,
Thanks for your question.
At the time of writing there is no annual fee to use Paypal.
However, certain transactions could incur a fee – such as when buying internationally, a currency conversion fee may apply.
Cheers,
Shirley
Both my bank account and credit card are already linked to my Paypal account. When I use Paypal it takes the money from my bank account. I have followed your directions but can’t find a way to make Paypal take funds from my credit card rather than bank account. Both cards are listed as primary. How do I change from which source funds are taken?
Hello Karen,
thanks for the question!
Sometimes when a bank account and credit card are linked to a Paypal account, Paypal will only use the credit card as a back up. One way of fixing this is to physically change your funding option during payment for an item. After you make a purchase, you’ll receive an invoice through Paypal. On this invoice there’ll be a link that displays your payment method, so click the link that says “more funding options”. This will allow you to select your credit card to pay.
I hope this helps,
Marc.