Paypal released a new debit card which draws on money in your Paypal account. The card has no monthly fees and funds can be added with direct deposit, cash loads at various stores, bank transfers, or P2P Paypal transfers from friends.
The card is confusingly called the Paypal Cash Mastercard, not the same thing as the Paypal MyCash Card (PMCC) which is a single-load card to add money to your Paypal account.
Previously, there were two versions of the Paypal debit card:
- Paypal Prepaid Mastercard (our review) which has a $4.95 non-waivable monthly fee, and is part of the Netspend family including their 5% savings account offeringÂ
- Paypal Business Debit Card (PPBDC) which has no fees and earns 1% back on purchases
The main difference between the two is that the PPBDC is only for Paypal Business accounts (though you can also get it on a personal account if that account has received $500 in payments) while the Paypal Prepaid Mastercard is for personal accounts. The new Paypal Cash Debit Mastercard is also a personal card, and it’s possible they’ll phase out the Paypal Prepaid Mastercard in favor of this new offering.
Some people are interested in Paypal debit cards since they can be loaded with PPMCC purchased with a credit card. (The PPBDC also has an additional advantage of earning 1%.) With the release of the Paypal Cash Mastercard, there’s an additional no-fee Paypal debit card, one which can be used with a Paypal personal account.
I personally don’t advise MSing with Paypal (my story), but you do you.
Other details:
- No minimum balance required
- No credit check (like most prepaid cards)
- Free ATM withdrawals at MoneyPass ATMs
- No monthly or annual fees
- 2.5% foreign transaction fee
Hat tip to reader P.R.Â
