PayPal (NASDAQ:PYPL) has announced a new cashback Mastercard credit card. The new card may encourage your customers to make more purchases with cash rewards and make it even easier for you to accept in-store credit cards. The PayPal Cashback Mastercard was launched in a partnership between PayPal and Synchrony Financial.
“Designed exclusively for PayPal members, the PayPal Cashback Mastercard offers cardholders 2 percent cash back on every purchase online and in stores – everywhere Mastercard is accepted,” wrote Darrell Esch, Vice President and Commercial Officer of Global Credit at PayPal, in a post on the official PayPal Stories blog announcing the new Mastercard credit card. “Unlike other rewards credit cards, there is no annual cash back limit, no minimum redemption amount, no restriction on how to spend cash rewards and no expiration. Simply put, the card rewards you with cash for the shopping you’re already doing; that’s money you can put aside for the future, or spend on things that make life more enjoyable.”
Small businesses may like that PayPal’s new cashback credit card offers shoppers a more straightforward approach to earning and redeeming cash rewards. Cardholders receive the cash directly into their PayPal accounts, which they can then use for other purchases or transfer to their bank.
The credit card also assures users security protections from PayPal, as well as standard MasterCard benefits like purchase protection, extended warranty coverage, and identity theft resolution assistance.
PayPal Cashback Mastercard is the first card to offer shoppers direct cash back on purchases, instead of points that vary by category. It represents yet another move by PayPal to boost its usage in stores. This move follows the financial services company recently announcing a new partnership with SamsungPay that also makes it easier for businesses that accept card payments in stores to get paid.
“The PayPal Cashback Mastercard provides our customers with another innovative consumer credit option, making the payment experience seamless for each customer’s unique lifestyle,” added Esch.