PayPal recently announced its Debit Card aimed at PayPal business accounts in the UK. PayPal has partnered with Mastercard – the most widely accepted card in the world – to bring this to the market, and although there are others on the market, a very competitive product from a recognised global brand with low fees and cashback will make a dent.
PayPal’s UK business customers will now be able to spend money held in their PayPal account, at over 45 million Mastercard acceptance locations worldwide. There is no monthly fee and an uncapped 0.5% cashback on every pound spent. It’s a shame the UK doesn’t get the 1% cashback available in the states, but the simple £1 flat rate worldwide ATM withdrawal fee and no foreign exchange charges are welcome.
One “Fly-In the Ointment” though, is that eligible transactions for cashback must be processed via Mastercard and cannot be processed by a debit network. Since a consumer has no control over which network processes a card, not all transactions will be eligible. Cash withdrawals and cash advances are obviously excluded from the cashback.
With the CashBack rules and exclusions taken into consideration, this is still a worthwhile card to have for the increasing number of businesses with a PayPal account, and more so if their staff travel abroad.