Introduction

Gift cards are an increasingly popular choice when it comes to gifts, particularly for those tricky people who seem to have everything. But one question that many consumers have is whether or not they can buy a gift card with a credit card. In this article, we’ll take an in-depth look at this subject and outline the different factors to consider when looking to purchase a gift card using your credit card.

Can You Buy a Gift Card With a Credit Card?

The short answer is yes, you can buy a gift card with a credit card. Most retailers, both online and offline, will allow customers to purchase gift cards using their credit cards as long as the credit card’s terms and conditions do not prohibit such transactions. However, there are some caveats and things to consider before going ahead with your purchase.

Cash Advance Fees

When it comes to buying gift cards using a credit card, always be mindful of potential cash advance fees. Some credit card issuers classify purchases of gift cards as cash advances because they can be easily resold for cash. In the case of cash advances, you could be charged a higher interest rate than regular purchases, and additionally, have to pay cash advance fees that can add up quickly. To avoid any surprises on your statement later on, always check your credit card issuer’s terms and conditions relating to cash advances beforehand.

Earning Rewards Points

For many people, one benefit of using a credit card is the ability to earn rewards points or cashback on their purchases. If this is important to you, be sure to check if your credit card issuer specifically allows for rewards points on gift card purchases. Some issuers may exclude such transactions from earning points, while others might offer.