PayPal Launches 2% Cash Back Credit Card

By Laura Mack,

PayPal has launched a new credit card, the , that offers a flat 2% cash rebate on all credit card purchases. This formula catapults PayPal’s credit card into the top tier of cash back cards on the market.

If there’s a “catch” to the new PayPal Cashback MasterCard, it is that the cash rebates you receive go directly into your PayPal account, so you will have to either use them to cover PayPal purchases or have the money rolled into your bank account via PayPal. Either way, this feature means you must have a PayPal account in order to get the new card.

The PayPal Cashback MasterCard has no annual fee, and an interest rate of either 16.99%, 24.99%, or 27.99%, depending on your credit history. it is accepted anywhere MasterCard is accepted, so you can use it widely online or offline.

Synchrony Bank, which has partnered with PayPal on its financing products for over 10 years, is the issuer of this new card as well.