Capital One is partnering with PayPal to give cardholders a new option to redeem rewards.
Beginning Oct. 20, 2020, qualifying cardholders will be able to redeem rewards wherever PayPal is accepted at checkout for online purchases.
Select Capital One cards that will allow PayPal’s "Pay With Rewards" include:
With the PayPal redemption option, the value of points depends on whether you have a Capital One cash-back or travel credit card. With cash-back cards, rewards won't lose any value ($1 in cash rewards will be worth $1 in redemption value during checkout with PayPal).
But for Capital One travel credit cards, miles will be worth 0.8 cent each when used this way — slightly below the penny per mile they'd be worth when used toward travel redemptions, but more than the 0.5 cent per mile they'd be worth when redeemed for direct cash back.
To use PayPal's Pay With Rewards, you’ll have to link an eligible Capital One credit card to your PayPal wallet and follow the prompt that asks if you agree to link the card. If you already have an eligible Capital One credit card saved in your PayPal wallet, you'll be automatically enrolled in the Pay With Rewards option.