Discover Lets Select Cardholders Redeem Rewards via PayPal

If you have an eligible Discover card, you can redeem cash back or miles toward PayPal purchases. Step one: Link your Discover card to your PayPal account.
Profile photo of Sara Rathner
Written by Sara Rathner
Senior Writer/Spokesperson
Profile photo of Kenley Young
Edited by Kenley Young
Assigning Editor
Fact Checked

Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.

Discover is giving eligible cardholders a new way to redeem rewards, and it may be welcome news for online bargain hunters who haven't yet wrapped up their holiday shopping lists.

Discover it® Cash Back
NerdWallet rating 

Select Discover cards now allow you to redeem cash-back earnings and miles via PayPal when making a purchase. With this redemption option, $1 in rewards equals $1 to spend through PayPal, which is similar to the way Discover's "Shop With Points" via Amazon works.

Cards eligible for the PayPal "Pay With Rewards" program include:

You can redeem any amount of rewards through PayPal, but some restrictions apply. For example, you can't redeem rewards for recurring payments, in-store transactions, non-U.S. dollar transactions or peer-to-peer transactions.

And you must first link your eligible Discover card to your PayPal account. In fact, even if you don't plan to use the PayPal redemption option, it's still a good idea to link your eligible Discover card in this way. That's because from July 1 through Sept. 30, 2020, PayPal will be a featured bonus category for eligible Discover cards, just as it was in the third quarter of 2019.

Find the right credit card for you.

Whether you want to pay less interest or earn more rewards, the right card's out there. Just answer a few questions and we'll narrow the search for you.

Get Started
Get more smart money moves – straight to your inbox
Sign up and we’ll send you Nerdy articles about the money topics that matter most to you along with other ways to help you get more from your money.