How to Transfer Money from Gift Card to Cash App – A Comprehensive Guide
It's the most popular, versatile, and, as it turns out, forgettable gift choice out there. In fact, did you know that over half of US adults forget to redeem their gift cards? Fortunately, there is a way to make them more usable — transferring your gift card balance to Cash App so you can use it on whatever purchase you want.
Gift cards have become exceedingly popular. In fact, during the course of the projection year, the gift card market in the US is expected to increase and reach US$214.3 billion in 2024. In the meantime, Cash App is a preferred digital banking service with over 50 million active customers in the United States. Furthermore, Cash App generated $14.3 billion in sales in 2023—a 34.9% rise over 2022.
Since most prepaid cards are supported, transferring money from a Vanilla gift card to the Cash App is simple. PayPal is a third party that can be used to transfer other gift cards as a workaround. Simply link your gift card to your PayPal account and then transfer the funds from PayPal directly to your Cash App.
Understanding Gift Cards
A simple alternative to cash or credit cards for giving or making purchases is gift cards. A gift card can normally be used to purchase products or services up to the amount deposited onto it. However, there are times when you may not want to use a gift card – say, if you need to settle a debt or pay for rent. You can convert the gift card to your Cash App balance in this case. Although you cannot do it directly, you can use PayPal to transfer money from a gift card to the Cash App.
What Is Cash App?
Cash App is a finance focused app that allows users to manage their money through services provided by bank partners like Lincoln Savings Bank and Sutton Bank. In addition to standard banking, Cash App Investing LLC is supported for investments.
The Cash App, which is compatible with iOS and Android, makes money transfers simple. Users don’t need to be concerned with additional costs when sending or receiving money or move money from the Cash App account to another bank account. For a small fee, the app also allows for instant transfers.
One special feature is the Cash Card, a Visa debit card that draws from the user's Cash App balance, enabling ATM withdrawals and purchases. The app can also be used to pay at Square Sellers and a few other merchants. Additionally, the program offers "Boosts," which give users quick savings at specific stores and eateries.
Cash App offers creative savings tools and direct deposit choices for those who want to add extra functionality. It's crucial to remember that interest is not earned on the savings account. With no transaction costs, investors can purchase stocks or ETFs straight through the app.
Anyone who is interested in cryptocurrency can buy, sell, and receive Bitcoin using the Cash App. Users who utilize direct deposit can even set aside money for Bitcoin from their paychecks.
The app also offers free federal and state tax filing through Cash App Taxes, expanding its range of services.
Types of Gift Cards That Work with Cash App
Which gift card accepts Cash App payments? Cash App has two types of gift cards: prepaid gift cards and Cash App’s own gift cards. You can use the app to buy and send gift cards from several businesses, such as Uber and Netflix. You can also use prepaid cards from MasterCard, Visa, Discover, and American Express to add funds to your account. If adding the card directly isn't working, consider utilizing a third-party app like PayPal.
To send a gift card through Cash App:
- Ensure you input a minimum of $1 and then select 'Pay' on your home screen.
- Toggle the payment type to 'Gift Card.'
- Pick a gift card from a selection of merchants.
- Enter your recipient's specific username, current phone number, or email address.
- Include an optional message in the 'For' section to detail the payment.
- Choose a payment source.
- Click 'Next' and proceed with the instructions.
Step-by-Step Guide to Transferring Money from a Gift Card to a Cash App
If your gift card is pre-paid, you can use PayPal to transfer money from your card to the Cash App. This process involves adding your gift card to your PayPal balance and then transferring the money to your Cash App. In some cases, you may even be able to add a prepaid debit card straight to the app.
- Sign up for a PayPal account, if you haven't already.
- Once logged in, navigate to the "wallet" section within your PayPal account.
- You can add your gift card as a prepaid card to your PayPal account by clicking on "add credit card" and following the provided instructions. However, PayPal only supports prepaid gift cards from Visa, American Express, MasterCard, and Discover.
- Confirm the linking process by verifying any necessary details.
Take the money you have in PayPal and transfer it to your linked bank account\
- Open Cash App
- Go to the "My Cash" section
- Choose the option to add funds or cash
- Enter how much you'd like to send from your bank account to Cash App
- Confirm and wait for the transaction to finish
Alternatives to Direct Transfer
Rather than sending your gift card balance directly to the Cash App, you can still use third-party services to convert it to cash if PayPal does not accept it. However, a percentage of the money on the card may be deducted by these websites.
If you are unable to convert a gift card to the Cash App, take into account the options below.
- GiftCash: This site can guarantee up to 93% of the gift card’s value, although their cash offers may vary. Large retailers like Macy’s or Walmart have the best returns.
- Raise: On Raise, you can determine your gift card's selling price and list it for free. When a sale occurs, Raise deducts a 15% commission. Partial balance cards (minimum $10) and digital cards (minimum $5) are accepted, with a maximum card balance of $2,000.
- CardCash: When dealing with CardCash, you inform them about your gift card's store and value, and they typically present you with options for cash or an alternative gift card. However, CardCash always takes a commission. The maximum payout is 92% of the gift card's value.
Instead of paying a commission, you could also try selling your gift cards to family or friends. You can send the funds directly to your Cash App once you receive it.
Tips for Maximizing Your Transfer
When you convert a gift card to the Cash app, these pointers will help you get the most out of your transfer.
- Input your gift card details correctly to prevent transaction errors.
- Pay special attention to your card number and PIN to avoid inaccuracies — mistakenly inputting alphabets instead of digits is a standard error.
- Keep your account safe. Protect your mobile device diligently to thwart unauthorized access and mitigate the risk of fund loss.
- Treat your Cash App account with the same level of security as your local bank.
Making the Most of Your Gift Cards with Cash App
Using Cash App to transfer a gift card balance can be very impactful and convenient in personal financial management. It makes it a lot more convenient for those who have other expenses to pay, such as rent or mortgage payments, because you can consolidate your funds into one place.
By following a few basic steps, you can easily move money through your PayPal account and access it through the Cash App.
FAQ
Can You Add Money From a Gift Card to Cash App?
No, you can’t transfer money from a git card directly to the Cash App. You can, however, use PayPal as an intermediary.
Can You Add a Visa Gift Card to Cash App?
Yes, Cash App accepts debit and credit cards from Visa, MasterCard, American Express, and Discover.
Is There a Way to Transfer Money From a Gift Card Into Cash?
GiftCash, CardSell, Raise, and CardCash are some websites to look into if you want to turn money from a gift card into cash. However, they do charge fees.
How Do I Transfer Money From My Visa Gift Card?
Transferring money from a prepaid Visa gift card to the Cash App takes a few simple steps.
- Open the Cash App and tap on the "Banking" tab.
- Tap "Linked accounts" and then tap "Add bank."
- Select "Credit or debit card" and enter your prepaid card information.
- Tap on "Add card."
Once you connect your prepaid card to Cash App, you can add money to your Cash App balance or make purchases online and in stores.
What Is the Difference Between the Cash App Personal and Business Accounts?
The main difference between Cash App Personal vs. Business accounts is the fees and limits associated with each. Also, the business account offers the ability to accept payments from customers and additional reporting tools for managing business transactions.
Can You Cash out a Prepaid Visa Card on Cash App?
Yes, you can effectively "cash out" a prepaid Visa card using Cash App by moving the card's balance to your Cash App balance. Once the funds are in your Cash App balance, you can utilize them through various means, including making payments, transferring to a bank account, or withdrawing cash at ATMs using the Cash Card. This process converts the balance on your prepaid Visa card into a more flexible form of funds available through Cash App.
Can You Add Money From a Gift Card to Cash App?
No, you can’t add a gift card to the Cash App, but you can transfer money from a gift card to the app using PayPal.
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