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Best Credit Card for PayPal in 2026
July 1, 2025
Editor's Picks
Best Credit Card for PayPal
For frequent PayPal users, the Blue Cash Everyday® Card from American Express is a top contender, as it rewards you for U.S. online retail purchases—a category where PayPal is widely used.
Terms apply to American Express benefits and offers. Enrollment may be required for select American Express benefits and offers. Visit americanexpress.com to learn more. 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.
Top Cards
Blue Cash Everyday® Card from American Express
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Why we picked it it
- This card is a fantastic choice for your digital wallet, especially if you use PayPal for your online shopping, as it rewards U.S. online retail purchases. The Blue Cash Everyday® Card from American Express (See Rates & Fees) also excels at rewarding everyday spending at places like U.S. supermarkets and U.S. gas stations, making it easy to earn cash back on your most common expenses.
- As an American Express card, it provides valuable benefits that go beyond simple cash back, such as purchase protection and extended warranty coverage on eligible items. (Terms apply). You can also take advantage of Amex Offers, which provide targeted deals and statement credits at a wide variety of merchants.
Terms apply to American Express benefits and offers. Enrollment may be required for select American Express benefits and offers. Visit americanexpress.com to learn more. 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.
Chase Freedom Flex®
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Why we picked it it
- This card stands out for its versatile rewards structure, which is a rare combination of rotating bonus categories and fixed-rate earning on common spending areas. This unique blend provides cardholders with multiple ways to accumulate rewards, making it a powerful choice for those who enjoy maximizing their earnings.
- The Chase Freedom Flex® is particularly valuable due to its integration with the Chase Ultimate Rewards® ecosystem. When used alongside a premium Chase card, it allows you to pool your rewards and transfer them to travel partners, which can significantly boost their value and give you more flexible redemption options.
Chase Freedom Unlimited®
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Why we picked it it
- This card is a top pick for its versatile and straightforward rewards structure. It offers a compelling blend of consistent earnings on all purchases combined with bonus rewards in popular spending areas, making it ideal for everyday use without the hassle of tracking complicated categories.
- A key advantage of the Chase Freedom Unlimited® is its role within the powerful Chase Ultimate Rewards® ecosystem. When paired with a premium Chase travel card, the points you earn can be transferred to unlock even greater value, offering impressive flexibility for travel redemptions.
Other Options to Consider
Prime Visa
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Bank of America® Customized Cash Rewards Credit Card
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How to Choose a Credit Card for PayPal
Pairing the right credit card with your PayPal account is a savvy financial move that can unlock extra cash back, points, and other valuable perks on your everyday purchases.
However, the search for the perfect card has its pitfalls. It's crucial to look beyond flashy reward rates to see if they align with your actual spending habits on PayPal, and to be mindful of annual fees that can erode your earnings. Also, always check the card’s terms to confirm that purchases made through digital wallets like PayPal qualify for bonus rewards.
Key Factors
- Reward Rates and Categories: Check if the card offers elevated rewards specifically for PayPal purchases or in categories where you frequently use PayPal to shop.
- Annual Fees: Consider whether the card's annual fee is justified by the rewards and benefits you'll realistically use.
- Digital Wallet Qualification: Verify in the card's terms and conditions that transactions made through PayPal are eligible for any bonus reward categories.
- Welcome Offers: Look for a generous welcome offer to maximize your card's value, especially within the first year of opening the account.
- Redemption Flexibility: Assess how you can use your rewards—whether for cash back, travel, or gift cards—to ensure they align with your financial goals.
What to Watch Out For
A primary pitfall is selecting a card for its impressive reward rates without checking if those rates apply to your PayPal spending. Some issuers exclude digital wallet payments from their bonus categories, which can significantly devalue your earnings. You should also be wary of annual fees that might eclipse the rewards you gain, effectively costing you money to use the card.
Decision Flow
- If you want to maximize cash back on every purchase: Choose a card with a high, flat-rate cash back percentage. This strategy offers consistent returns on all your PayPal spending without the need to track bonus categories. Just verify that digital wallet transactions are eligible for rewards.
- If you spend heavily in specific categories via PayPal: Opt for a card that offers bonus rewards for online shopping, dining, or groceries. If you frequently use PayPal for food delivery or at your favorite e-commerce stores, aligning your card's strengths with these habits will yield the most value.
- If you want to avoid annual fees: Focus on no-annual-fee cards that still provide decent rewards. Many offer competitive flat rates or bonus categories, making them a cost-effective way to earn on your PayPal transactions.
- If you enjoy maximizing rotating bonuses: Select a card that features quarterly rotating categories. These cards often include PayPal as a 5% cash-back category, offering a powerful way to boost your earnings for three months at a time.
Maximize Your Return with PayPal
To get the most out of every PayPal transaction, consider these strategies for maximizing your credit card rewards.
- Activate quarterly bonuses: Many popular rewards cards feature rotating bonus categories each quarter that can earn you up to 5% cash back, and PayPal is frequently included.
- Stack your rewards: Start your shopping journey at an online shopping portal before heading to a retailer's site and checking out with PayPal to earn rewards from your card, the portal, and any PayPal-specific deals.
- Link your highest-earning card: For purchases that don't fall into a bonus category, make sure your default PayPal payment method is a card that offers a high flat rate on all spending to ensure you're still earning a solid return.
- Redeem rewards wisely: Avoid using your points to pay directly at checkout with PayPal, as this often provides a lower redemption value; instead, transfer your points to a travel partner or redeem for cash back for a better return.
- Check for targeted offers: Both card issuers and PayPal regularly release special promotions, so be sure to check the offers section on your credit card account and in your PayPal app before you shop.
Supercharge your Rewards with Kudos
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Other Things to Consider
Beyond just rewards and fees, it's wise to consider your broader shopping habits and financial health when picking a credit card for PayPal. For instance, if you frequently shop at a specific retailer, a co-branded store card might offer superior rewards for those purchases compared to a general-purpose card. Regardless of the card you choose, disciplined financial management is crucial to avoid accumulating high-interest debt. Always aim to pay your balance in full each month and be mindful of how credit card spending fits with your cash flow and any existing Buy Now, Pay Later plans. This holistic approach ensures you're not just earning rewards, but also maintaining a healthy financial standing.
Our Methodology
We evaluate nearly 3,000 credit cards across the U.S. market — far more than the ~150 cards commonly featured on sites that focus only on products tied to affiliate commissions. Our goal is to provide a comprehensive, unbiased view of the credit card landscape so you can make confident, data-driven decisions.
Our editorial team combines deep industry experience with rigorous verification standards. While our experts surface the most relevant recommendations in our guides, you can also explore the full dataset yourself through our card explorer tool, which includes thousands of cards — more than 95% of which do not provide us with commissions.
Frequently Asked Questions
Can I earn credit card rewards on PayPal purchases?
Yes, you can typically earn your standard credit card rewards when using PayPal as a payment method for purchases. Some credit cards may even offer bonus rewards on PayPal transactions as part of their rotating categories or special promotions.
Are there fees for using a credit card with PayPal?
When buying goods or services from a business, PayPal generally does not charge the buyer a fee for using a credit card. However, fees usually apply when you send money to friends or family using a credit card or for certain international transactions.
How do I add a credit card to my PayPal account?
To link a credit card, log in to your PayPal account and go to your Wallet. From there, click on "Link a debit or credit card" and follow the prompts to enter your card information securely.
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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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