You cannot deposit a gift card directly into a bank account the way you would a check
A gift card is a stored-value card issued by a retailer or payment network. Your bank account is a separate financial container that holds money in your name at a financial institution. The two systems do not connect directly. To move money from a gift card into a bank account, you have to convert the gift card balance into actual currency first, then deposit or transfer that currency.
The method you use depends on what kind of gift card you have. A Visa or Mastercard gift card works differently from a Target or Amazon gift card. Some routes are faster than others. Some cost money. Some require you to spend the balance first.
Key Takeaways
- Visa, Mastercard, and American Express gift cards can be used to withdraw cash at an ATM or transferred to a PayPal account, which can then send money to your bank account.
- Retailer-specific gift cards (Target, Amazon, Walmart) cannot be deposited directly; you must spend the balance in-store or online, then deposit your own money into your account.
- Some payment apps like Square Cash or Venmo let you add a gift card and transfer the balance to a linked bank account, though fees may explore.
- ATM cash withdrawal is the fastest method for network gift cards but may charge a fee, and not all ATMs accept all card types.
Using a network gift card (Visa, Mastercard, American Express) to withdraw cash
If your gift card is branded with Visa, Mastercard, or American Express, you can treat it like a debit card at most ATMs. Insert the card, enter the PIN (usually printed on the back or in the paperwork that came with the card), and withdraw cash up to your remaining balance. That cash goes directly into your pocket, and you can then deposit it into your bank account at a branch, ATM, or through mobile deposit if your bank supports it.
The catch: not every ATM accepts every card type. Some ATMs are restricted to cards issued by their own bank. You may also face a fee — typically $2 to $3 per withdrawal — charged by the ATM operator. Check the card's terms or call the issuer's customer service number (usually on the back) to confirm which ATMs accept your card before you try.
This method works fastest if you have an ATM nearby that accepts your card. The cash is in your hands within minutes, and you can deposit it the same day. The downside is the fee and the fact that you have to physically handle cash.
Linking a network gift card to PayPal or a payment app
PayPal, Square Cash, Venmo, and similar apps let you add a gift card as a payment method. Once the card is linked, you can transfer the balance to a bank account connected to that app. The process varies slightly by app, but the basic steps are: open the app, go to the wallet or payment methods section, add the gift card by entering the card number and expiration date, then initiate a transfer to your linked bank account.
PayPal is the most straightforward for this purpose. Add your gift card, then use the "Transfer Money" or "Withdraw" feature to send the balance to your bank account. The transfer usually takes one to three business days. Some apps charge a small fee (typically 1 to 2 percent) for this service; others do not. Check the app's fee schedule before you start.
This method works well if you already use one of these apps and have a bank account linked to it. It avoids the ATM fee and keeps everything digital. The trade-off is that the transfer takes a few days rather than being when ready.
What to do with retailer-specific gift cards
A Target, Amazon, Walmart, or other store-branded gift card cannot be converted to cash or transferred to a bank account. These cards only work at that retailer (or its affiliated stores). You cannot withdraw cash, and no bank will accept them as a deposit.
Your only option is to spend the balance. Buy something you need or want, then use your own money for other purchases. If you want that money in your bank account instead of spent at the store, you would need to return the item you bought and request a refund to your original payment method — but that only works if you used a debit card or credit card to buy the gift card in the first place, and the refund goes back to that card, not to a different account.
If you received a retailer gift card and genuinely do not want to shop there, some people sell unused gift cards on secondary markets like Raise or CardCash. You receive cash or a payment app transfer for a percentage of the card's value (usually 80 to 95 percent). That money can then be deposited into your bank account. This is slower and costs you a small percentage, but it is an option if the card is otherwise sitting unused.
Using a mobile check deposit or cash deposit at your bank
Once you have cash in hand — whether from an ATM withdrawal or from selling the gift card — you can deposit it into your bank account. Most banks offer mobile check deposit through their app, where you photograph the front and back of a check and submit it. For cash, you have two routes: deposit it at a branch during business hours, or use a cash deposit ATM if your bank has one.
Cash deposit ATMs are becoming more common but are not universal. Check your bank's website or app to see if one is near you. If not, you will need to visit a branch. Deposits made before your bank's cutoff time (usually 2 p.m. on business days) typically post the same day. Deposits made after hours or on weekends post the next business day.
Comparing your options: speed, cost, and effort
| Method | Card Type | Speed | Cost | Effort |
|---|---|---|---|---|
| ATM cash withdrawal | Visa, Mastercard, Amex | when ready | $2–$3 per withdrawal | Find ATM, withdraw, deposit cash |
| PayPal or payment app transfer | Visa, Mastercard, Amex | 1–3 business days | 0–2% fee (varies by app) | Link card, initiate transfer |
| Spend at retailer, deposit own money | Store-branded cards | Depends on your spending | None | Make purchase, deposit cash separately |
| Sell on secondary market | Any card | 2–7 business days | 5–20% discount on card value | List card, wait for buyer, transfer funds |
What happens if your gift card has a PIN and you do not know it
Network gift cards (Visa, Mastercard, American Express) usually come with a PIN printed on the back or in the packaging. If you lost the PIN or it was never provided, call the customer service number on the back of the card. You will need to verify your identity with the last four digits of the card number and possibly other information. The issuer can reset the PIN or provide it to you over the phone.
If you cannot reach customer service or the card is damaged, visit a branch of the bank that issued the card (if it is a bank-branded card) or contact the payment network directly. Visa, Mastercard, and American Express all have customer service lines that can help you recover a lost PIN.
Frequently Asked Questions
Can I use a gift card to open a bank account?
No. Banks require an initial deposit in the form of cash, check, or transfer from another account. A gift card cannot be used to open an account. You would need to convert the gift card to cash or transfer it to a payment app first, then use that money to fund the account.
Will my bank accept a gift card as a deposit?
No bank accepts a gift card as a deposit. Banks only accept cash, checks, or transfers from other financial institutions. You must convert the gift card to one of those forms first.
Is there a fee to transfer a gift card balance to PayPal?
PayPal itself does not charge a fee to add a gift card or to transfer the balance to a linked bank account. However, some payment apps do charge 1 to 2 percent. Check the app's fee schedule before you link your card.
What if my gift card has less than $1 left on it?
Most ATMs have a minimum withdrawal amount, usually $20. If your card balance is below that, you cannot withdraw it as cash. Your best option is to spend the remaining balance at the retailer or payment network that issued the card, or add it to a payment app and transfer it along with other funds.
Can I deposit a gift card into someone else's bank account?
No. You would need to convert the gift card to cash or transfer it to a payment app in your own name first. From there, you could send money to another person's account using a payment app like Venmo or a bank transfer, but the gift card itself cannot be deposited into another person's account directly.