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PayPal Debit Card Review: Earn 5% Cash Back With No Credit Check Required
July 1, 2025
In an era where credit card rewards seem reserved for those with excellent credit scores, PayPal Cash Debit Card emerges as a game-changing alternative. This innovative debit card offers an impressive 5% cash back in a category of your choice - a reward rate that rivals premium credit cards - without requiring any credit check. Whether you're building credit or simply prefer using debit, this card deserves a closer look.
What Is the PayPal Debit Card?
The PayPal Cash Debit Card is a Mastercard-branded debit card that connects directly to your PayPal Balance account. Unlike traditional debit cards that require a bank account, this card operates through your PayPal Balance account, where funds are FDIC-insured up to $250,000 through PayPal's partner banks. The card stands out for offering credit card-level rewards without the need for a credit check or minimum credit score.
[[ SINGLE_CARD * {"id": "1412", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "PayPal Users", "headerHint": "Card-Level Rewards"} ]]
PayPal Debit Card Pros & Cons
Pros
- Earn 5% cash back in one selected category each month (we can track these 5% categories and rewards right inside the Kudos app for free!)
- No credit check required for approval
- No monthly card fees or minimum balance requirements
- Built-in chip technology and Mastercard's Zero Liability protection
- Purchase protection on eligible items
- Compatible with mobile wallets (Apple Pay and Google Pay)
- Access to MoneyPass ATMs with no withdrawal fee
- Temporary card locking capabilities through the PayPal app
Cons
- Requires maintaining a PayPal Balance account
- Must manually select cash back category each month
- 5% cash back limited to $1,000 in purchases monthly
- Foreign transaction fees may apply
- Cash back redemption limited to PayPal Balance
Who Is the PayPal Debit Card For?
The PayPal Debit Card is ideally suited for:
- Individuals who prefer debit over credit cards
- Those building or rebuilding their credit
- Regular PayPal users who maintain a PayPal Balance
- Shoppers wanting credit card-level rewards without a credit check
- People who want flexible category selection for cash back
Comparing the PayPal Debit Card With Other Options
PayPal Debit Card vs. Traditional Bank Debit Cards
While most bank debit cards offer zero rewards, the PayPal Debit Card provides 5% cash back in select categories. It also offers similar features like direct deposit capabilities and purchase protection, though traditional bank cards might offer broader ATM networks.
PayPal Debit Card vs. Cash Back Credit Cards
The Chase Freedom Flex®, Discover It Cash Back Credit Card and Citi Custom Cash® Card all offer 5% cash back programs, but require credit checks and good credit scores. The PayPal Debit Card stands out by offering similar rewards with no credit requirements, though with a lower monthly spending cap.
[[ SINGLE_CARD * {"id": "2883", "isExpanded": "true", "bestForCategoryId": "52", "bestForText": "No-Fee Card Seekers", "headerHint" : "No Annual Fee" } ]]
[[ SINGLE_CARD * {"id": "821", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "0 Annual Fee"} ]]
[[ SINGLE_CARD * {"id": "2885", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "Flexible Cash Back Card"} ]]
Consider Using Kudos to Maximize Your Rewards
To get even more value from your PayPal Debit Card, consider downloading Kudos, a free AI-powered browser extension that helps optimize your shopping rewards.
Kudos can help you:
- Track when to use your PayPal Debit Card for maximum rewards
- Stack rewards with other available offers
- Discover additional savings opportunities at over 15,000 stores
If you're looking to get more out of your cards, Kudos is the best free shopping app to use when you shop online. They're currently offering $20 back after your first eligible purchase — just sign-up for free with code "GET20" and make a purchase at a Boost merchant.
Our Expert Takeaway
The PayPal Debit Card represents a significant innovation in the debit card space, offering credit card-level rewards without credit requirements. While it has some limitations, the combination of no monthly fees, strong security features, and 5% cash back makes it a compelling choice for many consumers.
PayPal Debit Card FAQ
How do I apply for a PayPal debit card?
You need to first open a PayPal Balance account through the PayPal app or website. Once approved, you can request the debit card directly through your account.
Is there a fee for the PayPal debit card?
No, there are no monthly card fees or minimum balance requirements for the PayPal debit card.
How do I activate my PayPal debit card?
Once you receive your card, you can activate it through the PayPal app or website and set up your PIN for ATM access.
Can I use my PayPal debit card internationally?
Yes, you can use your card wherever Mastercard is accepted, though foreign transaction fees may apply.
How do I check my PayPal debit card balance?
You can check your balance through the PayPal app, website, or by looking for the trophy icon in your Rewards Hub.
Can I transfer money from my bank account to my PayPal debit card?
Yes, you can transfer money from your linked bank account to your PayPal Balance account, which is connected to your debit card.
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Editorial Disclosure: Opinions expressed here are those of Kudos alone, not those of any bank, credit card issuer, hotel, airline, or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post.
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