This seems new:
How to earn rewards
The PayPal Debit Card lets you earn 5% cash back on a monthly category of your choice, whether you're shopping in-store or online. The categories are:
groceries
gas
restaurants
clothing
health and beauty
Your selected monthly category expires at the end of each month, so you'll need to log into your PayPal app to choose a category offer each month, even if you select the same category.
PayPal limits the cash back to up to $1,000 of spending in your chosen category each month, which means you pocket an extra $50 for every month you max out your spending.
https://www.cnbc.com/amp/select/paypal-debit-card-earns-5percent-cash-back/
Uh, a 1k cap is twice the spend on a Citi Custom Cash monthly. Did a debit card just become the best Groceries card?
Also a valid U.S. Restaurants choice if you didn't get the Redstone, since 5% in Dining is rare.
I initially saw this in the PayPal app, and went looking to see what the monthly categories were.
Additionally, since you can auto-load PayPal WITH a debit card, might work for a few of the 1%+ debit cards out there for stacking bonuses?
Authorized User - 
Sock Drawer'd - 
@MissLiz wrote:There was a post about this last month:
https://ficoforums.myfico.com/t5/Personal-Finance/PayPal-5-cash-back-debit-card/m-p/6782897#M261805
Huh, I searched for "PayPal Debit" and didn't find that at all. Maybe because it's hidden off in a "lesser" forum.
I had P2 grab it just now. It didn't show up for him on the website, just via the PayPal app on the phone, which is where I originally saw it myself. Doing so, it was easy, just a few clicks. Picked Restaurants as the 5% category for the rest of the month, and requested a physical card be sent.
@longtimelurker wrote:
@unsungivy wrote:
@MissLiz wrote:There was a post about this last month:
https://ficoforums.myfico.com/t5/Personal-Finance/PayPal-5-cash-back-debit-card/m-p/6782897#M261805
Huh, I searched for "PayPal Debit" and didn't find that at all. Maybe because it's hidden off in a "lesser" forum.
Yes, personal finance doesn't seem a great choice as this is really acting very much like a credit card. Just activated mine to see what happens. I have both a personal and biz account so must make sure not to mix them up
Yeah for all intents and purposes, this should be part of a 5% CC lineup, even though it's not technically a CC. Seems like a fantastic addition... too bad it has FTF!
No SUB, but no hard pull either. Have it already, but haven't done a thing with it. Maybe one of the special offers along with a category might come in handy someday?
@unsungivy wrote:
Additionally, since you can auto-load PayPal WITH a debit card, might work for a few of the 1%+ debit cards out there for stacking bonuses?
Matches perfectly with the Affinity Debit with the same cap. Makes it 6% for me 
I do not have a Costco membership, nor do I want one, so I can't test this myself and report my findings.
Costco payment is Visa or "Most Pin based Debit Cards" and a quick look says Costco gas codes as gas.
So, the 5% question is will the Paypal Debit Card with "Gas" choosen as the monthy catagory work at the Costco gas stations?
I don't see why not, as long as you have available funds in the account. I would check but I drive Electric these days. Don't miss gas powered one bit.
Since it's a debit card, you'll need to keep $1000 in a non-interest-bearing account. If we value MMAs or HYSAs at 5% APY right now, then (1/12) (5%) ($1,000) = $4.17 not earned each month. $50-$4.17 = $45.83 = 4.58% CB, not 5%.
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