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eBay Gift Card Purchase Rules
I often cover eBay gift card deals on Miles to Memories and over at Frequent Miler’s Quick Deals. Unfortunately lately many readers have run into problems when trying to purchase these gift cards. It seems that eBay and PayPal have a number of rules in place to restrict purchases. Today I want to talk about PayPal Digital Gifts (a popular eBay seller) and new rules put in place on gift card purchases. Hopefully this post will help those of you who have run into issues when trying to buy discounted gift cards.
PayPal Digital Gifts & Why They Are Attractive
PayPal Digital Gifts is probably the largest seller of discounted gift cards on eBay and they often have the best deals. For example, right now you can purchase a $200 Sears gift card for $170. When you combine this deal with eBay Bucks and portal rewards then the savings is even greater.
Purchases from PayPal Digital Gifts also earn 5X Ultimate Rewards points when you pay with a Chase Ink card via PayPal. For example on the Sears deal above you can earn up to 8% in eBay Bucks (targeted), 2% in portal cashback and 5X Ultimate Rewards on top of the discount built in. For many, that sort of discount is very attractive.
PayPal Digital Gifts Rules
Up until this week PayPal was limiting buyers to four gift cards per ten day period. Thankfully that limit seems to have been removed and it is now possible to purchase an unlimited amount of gift cards from them. Many people are still running into issues though. A common problem I have heard of is people being asked to verify their PayPal account over and over again in a loop. After verifying a few times I finally made it out of the loop, but others weren’t so lucky.
A New Daily Gift Card Limit
In addition to the PayPal Digital Gifts limit, it seems eBay has a new limit of their own. Yesterday a reader reached out to me because his buying privileges had been temporarily suspended after buying gift cards. Specifically this is what he saw when he logged into his account:
This reader then called eBay and went through the process of getting transferred to a senior rep so they could investigate the error code above. After taking some information, the rep called my reader back and gave him the following info:
- eBay is now limiting the number of gift cards you can purchase in one day for some people. (See the comments since others haven’t run into this restriction.)
- If you encounter the code above, your account should reset at midnight and you should be able to purchase more cards.
It isn’t evident if this new daily limit applies to only discounted gift cards or to full price gift cards as well. All we know is that eBay and PayPal continue to throw wrenches out there to slow gift card purchasers down and it is resulting in many frustrations.
Using eBay Gift Cards
Another restriction that was lifted this week comes to using eBay gift cards to pay. Previously you were limited to using no more than $5,000 in eBay gift cards per rolling six month period. That limit has now been lifted and the only limit is $1,000 in eBay gift cards per transaction. You can also not use more than 8 eBay gift cards to pay per purchase.
Here are a few takeaways to keep in mind when buying or using gift cards on eBay:
- There is no rhyme or reason to what eBay and PayPal does. Thankfully it seems that many of the restrictions for buying gift cards have been lifted, but some people are still running into issues.
- If you end up having your buying privileges temporarily restricted due to purchasing too many cards, then your account should reset a Midnight Pacific.
- You can now use up to $1,000 and 8 eBay gift cards per purchase. The $5,000 limit per six months has seemingly been removed.
For many, dealing with PayPal Digital Gifts and eBay for gift card purchases simply isn’t worth the hassle, but the recent positive developments do help to ease the pain. I’m happy to see some of these limits lifted and now I wish they could fix their system to get rid of the many errors people run into.
Do you have any data points or insights you have learned the hard way? Please let us know in the comments!
Miles to Memories has partnered with CardRatings for our coverage of credit card products. Miles to Memories and CardRatings may receive a commission from card issuers.