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11 PayPal Credit Questions (Answered & Explained!)

Disclaimer: This content is not intended to be financial advice and is for informational purposes only. aTimeforCash is reader-supported. We may earn commissions if you buy through our links at no cost to you.

Are you considering using PayPal credit to purchase something but you’re not sure how it works?

How much is the maximum PayPal credit line and what credit score do you need to get PayPal credit?

Are there certain sites or stores that accept PayPal credit?

Let’s take a look at these and several other PayPal credit questions in the post below.

In This Post:

How Does PayPal Credit Work?

1. You sign up for PayPal Credit and create a PayPal account.

2. Once you have your PayPal account, you can use it to pay for products and services online.

3. The most common way to use PayPal Credit is to pay with your credit card.

4. When you pay with PayPal Credit, the money goes into your account immediately, and you can use it to purchase products or services from other people or businesses.

5. You can also use PayPal Credit to withdraw cash from your bank account or pay your bills.

How to Get PayPal Credit

1. Log in to your PayPal account and click on the “Notifications” tab.

2. You will see a list of the latest news and updates about PayPal Credit.

3. Click on the “Apply for Credit” link under the News & Updates section.

4. After you have finished filling out all the information, you are taken to your PayPal Credit application page.

5. Click on the “Apply Now” button to start your application process.

6. The application process will take some time, so be patient!

7. When it’s complete, you will receive an email with your credit card number and account details.

8. Once you have received your credit card number and account details, log in to your PayPal account and click on the “Notifications” tab to see your new credit card status!

How to Use PayPal Credit

1. Log in to your PayPal account

2. Click on the “Credit” tab

3. Select the business you want to get PayPal Credit for

4. Enter the amount of money you want to spend

5. Click on the “Apply” button

What Stores Can You Use PayPal Credit?

PayPal Credit is a great way to purchase items online, but you can also use it virtually anywhere that accepts PayPal. Some stores that accept PayPal Credit are classified by what they offer:

Categories of Stores that accept PayPal Credit

Fashion and Accessories stores that accept are Vineyard Vines, Michael Kors, Shoe Mall, Express, Stitch Fix, and Kate Spade.

Electronics and Computers stores that accept are H.P., Microsoft, Dell, Newegg, and Apple.

Home Improvement stores that accept are Lowe’s, Home Depot, Wayfair, and

Restaurants stores that accept are Chili’s, P.F. Changs, and Olive Garden.

For Shopping Malls and Department Stores, the stores that accept are Macy’s, the Disney Store, Target, and JC Penney.

Travel and Leisure stores that accept are Expedia,, Orbitz, Southwest Airlines, and TripAdvisor.

Health and beauty stores that accept are Sephora, Walgreens, and Ulta.

For Entertainment stores that accept are Ticketmaster, Fandango, and iTunes.

Auto stores that accept are AutoZone, Advance Auto Parts, and CarMax.

Financial Services stores that accept are LendingTree, PayPal Credit Card, and JCPenney Credit Account.

PayPal Credit is accepted at over 4 million locations worldwide, so it’s easier than ever to use your PayPal Credit account to shop online or in-store wherever PayPal is accepted.

What Credit Score Do You Need for PayPal Credit?

PayPal states that you can score less than 660 and still be approved for PayPal Credit. They also state that the average FICO score of approved applicants is 700 and the median income is $50,000.

If your credit history is not great or you have no credit history, you may consider applying for a secured card to build up your credit before applying for PayPal Credit. However, if you need to increase your Paypal credit score, first ensure that you have heard your PayPal credit for three months and have made your payments on time.

Additionally, for PayPal Credit Eligibility

There are some limitations as to who can apply for PayPal Credit:

  1. You must not be delinquent on any existing credit accounts (including any PayPal Credit accounts).
  2. You must not have declared bankruptcy in the last two years.
  3. You must be at least 18 years old and a resident of the United States, Canada, or the United Kingdom.

What Is the Maximum PayPal Credit Line?

A full line of $10,000 is available for most users. However, the maximum amount extended to you will depend on your creditworthiness and income. The more money you make, the larger your PayPal credit line.

If you are denied a PayPal Credit account, they may not tell you why. However, they will provide you with a denial letter once they decide. If this happens to you, then try contacting them by phone to see if anything is done.

There are two different ways to pay off your PayPal Credit purchases: paying them off in full each month or making minimum monthly payments (which can vary from 1-5% of the purchase price).

PayPal Credit offers a 0% intro APR offer for 6 months on all purchases.

Factors That Affect Your PayPal Credit Score

The factors that affect your FICO score remain relatively constant. However, there are a few factors that PayPal Credit looks at when determining your credit score. Here are some of the factors that may affect your PayPal Credit score:

Your income and stability

Your PayPal Credit account history (including late payments)

Payment history from other accounts (i.e., if you have a lot of late payments on your credit report, then this will affect your score even if you pay on time with PayPal Credit)

Credit utilization ratio (how much of your available credit do you use?)

PayPal Credit also offers a 0% introductory APR for purchases for 6 months. You can take advantage of this offer by following the steps below:

Log in to your PayPal account and click on “Profile” Click on “My Account,” and then click the “PayPal Credit” tab. Enter how much money you want to apply towards a purchase on the next page. Select an item to make a purchase, click on “Apply Now,” and complete the application process

You can also get an instant credit line increase by asking to be approved for a “Credit Line Increase” on your PayPal Credit account.

PayPal Credit is a revolving line of credit with no pre-set spending limit — it’s basically like a credit card with PayPal as the bank. You can pay either in full or overtime on purchases of $200 or more; you can also choose to pay off your balance faster without any additional fees. The interest rate for purchases is 19.99%

PayPal Credit limits how much you can spend in a month or year – this is a safety feature just in case you get carried away with shopping online! The limit is $5,000 per year for purchases made through PayPal Credit using your PayPal balance or bank account funds (the limit for purchases using your linked credit card will be $1,000 per month). The total limit for all PayPal Credit accounts is $10,000 per year (or $2,000 per month). If you exceed the yearly spending amount of $5,000, you will have to wait until the next year to spend your remaining $4,000.

How Do You Qualify for PayPal Credit?

PayPal Credit has a few different qualifying criteria:

  • Your account must be open and in good standing. Your account must have sufficient available credit. Your payment history must be at least 2 months old (this is to ensure that you’re not a high-risk borrower). Your credit score cannot be below 700, or your account is denied. If you have too many late payments on your credit report, this will affect your score even if you pay on time with PayPal Credit. In addition, to qualify for PayPal credit, you must have a valid Social Security Number or Tax ID number.
  • Your PayPal credit will be credited to your account in the next 24 hours. Once it’s there, you can use it for purchases or cash advances.

Which Travel Sites Accept PayPal Credit?

You can use your PayPal credit for these sites:

Airfare, hotel, and car booking sites Airfare, hotel, and car booking sites. The list below includes the top travel sites that accept PayPal credit. Click on the site’s name to go to the site’s website.

Expedia ,Hotwire ,Orbitz, Agoda ,Tours4fun,Wimdu ,Club .

Note: We do not endorse any of these companies or their products/services!

In addition, you manage your credit at PayPal Credit by using a simple online dashboard to see how much credit you have available, what purchases have been made with it, and how much is left until it renews. You can also see when your next payment is due if you do not pay in full before then (and there are no late fees if you pay late).

However, you cannot use PayPal credit to book a flight. You can only use the money in your account to pay for travel. If you want to book a flight, you’ll need to use another method to access your credit card information (such as Chase Ultimate Rewards points).

Does PayPal Credit Affect Your Credit Score?

Applying for PayPal Credit does have an impact on your credit score. Your credit score suffers when you face a “hard credit check.”

PayPal has collaborated with Synchrony Bank, a bank that will assess your application and conduct an assessment. This difficult inquiry will remain on your credit history for two years and may result in deducting a few points from your credit score. As a result, it’s best to apply for PayPal credit only if you have a stellar credit history and good payment history (even if you don’t plan on using it).

Is PayPal Credit Always 6 Months With No Interest?

PayPal Credit has a variable rate. It will vary with the prime rate and the LIBOR.

The prime rate is the interest rate that most banks charge their best customers (set by the Federal Reserve). The LIBOR is an average based on how much banks are charging for loans worldwide.

The prime rate fluctuates daily, so it’s hard to predict the actual interest for a given month. However, it tends to average out at around 3% over time.

PayPal’s variable-rate credit card has a LIBOR of 1.89% as of June 2017. You’ll pay 3% APR if you don’t pay in full by your due date (which is currently 30 days after your bill date). However, if you pay in full before then, you’ll pay 0% APR for 6 months (or 6 months with no interest if paid in full).

Does Amazon Accept PayPal Credit?

You can’t combine two of your preferred online buying activities—at least not directly—because Amazon doesn’t accept PayPal at checkout.

There are a few exceptions that allow you to use PayPal to pay for Amazon goods;

  1. PayPal Cash Card

It is a debit card you can use at ATMs and make purchases online. You can apply for a cash card if you have a PayPal account, including an Amazon Payments account.

You’ll get a $2.50 cashback bonus when you open an account with $100 or more in your PayPal balance.

You can also get a $1 cashback bonus when you spend $20 or more at Amazon within 3 months of opening an account, up to 5 times per year.

Use your card to buy something on Amazon and select “PayPal” as the payment method to get the cashback. Then copy and paste your Amazon receipt into the Cash Back Redemption Tool.

If you don’t have a PayPal or Amazon Payments account, you can use Venmo instead—but it isn’t quite as easy to use as other payment methods like credit cards or Apple Pay.

          2. Amazon gift cards

You can buy an Amazon gift card for yourself (and give one to someone else) by clicking on the Amazon logo at checkout.

It is $15 for a physical card and $5 for an eGift card, so it’s not a great deal, but it works.

Third-party sellers like eBay and Sears also accept Amazon gift cards.

          3. PayPal Key

You can also use PayPal’s Key service to get up to $100 in cashback.

Just link your credit or debit card to your PayPal account, or set up a PayPal account if you don’t have one yet.

PayPal Key gives you a $5 cashback bonus when you open an account with $25 or more in your PayPal balance.

There is no limit on the number of times you can get the bonus, but it is done within 60 days of opening an account (or within 60 days of activating your card).

If you’re not eligible for the cashback bonus, there’s another way to get it.

Open an Amazon Payments account and link it to your PayPal Balance. Then select “Transfer” from the menu and select “Cash Back.” You’ll see a list of recent purchases that you can use to earn extra cashback.

The “Cash Back” option only shows up after linking your Amazon Balance to your PayPal Account.

After submitting the form, you’ll get an email saying that you’ve won the cashback bonus.

If you have more than one payment method linked to your PayPal account, Amazon Payments will award the bonus to whichever one has the highest balance when the period ends.

Even though Amazon doesn’t allow direct purchases with a PayPal Credit card, you can still use the ways above to pay for your Amazon purchases.

Can I Use PayPal Credit With Bad Credit?

The minimum credit line required to apply for a PayPal Credit card is $650 and 700.

However, some credit cards offer a lower credit limit, like the Chase Slate, which offers a $300 credit line.

However, it’s important to note that there are also a lot of other factors that determine whether or not you qualify for the card. For example, if you have multiple open accounts with other lenders and just opened your first account with Chase Slate, you may not qualify for the card.

You’ll want to do your research and meet all requirements before applying for any credit card with PayPal Credit.

If you don’t have good credit, it may be difficult to find a card that will allow you to use PayPal with bad credit. However, if you have an excellent payment history (or no history at all) and show proof of income (such as an annual salary), these cards may work out for you.

On the other hand, if you have a bad credit score;

  • First, you will have to pay a higher interest rate on your PayPal Credit card than you would with other cards. The fee that you pay for using your credit card is split between you and the store (or website).
  • Second, you may have to pay a higher annual fee for using your PayPal Credit card than for other cards.
  • Third, some stores will not accept your PayPal Credit card payments. It is because they won’t want their customers to be able to check out without paying in full. Some stores also don’t accept debit cards or gift cards as payment options (most stores).
  • Fourth, some stores may not allow payments from any payment methods that aren’t linked directly to their accounts (and this applies mostly to online retailers). For example, if an online store has its account at the merchant service provider PayPal, you can’t use PayPal Credit to pay for your purchase.

If this is the case, and you want to buy something from an online store that accepts PayPal payments, you will have to use a different payment option.

If this is the case, and you don’t want to use a different payment method, you may be able to get around this by using a credit card (or debit card) from your bank account instead of one from PayPal.

You can set up such a payment method in your PayPal). It will mean that when you make purchases online with your credit card or debit card of choice, they will be paid directly from the account that has been set up for this purpose. You should call your bank or Internet service provider if you’re unsure how to do this.

Finally, some stores may not accept payments from any payment method other than those linked to your PayPal account. In this case, you can’t use PayPal to pay for your purchase.

Does PayPal Credit Do a Hard Pull?

If you are using PayPal as a payment method, then there is a chance that PayPal could pull your credit card or other payment information to verify your identity.

It is not a problem as long as you are comfortable with the risk of having your information pulled.

If you have any concerns about this, it may be best to use another payment option. Therefore, it is always good to use another payment method, especially if you want to make purchases online.

Wrapping Up

PayPal Credit is a great way of paying for items online. It is a convenient way of paying for items that you need to purchase in the future, and you can use it to pay for your utilities and other recurring bills.

The only disadvantage is that you cannot use PayPal Credit to make purchases on Amazon or other auction sites.

If you are interested in using PayPal Credit, then sign up for an account today!