Where Can I Buy Gift Cards With a Credit Card?

You can purchase gift cards using a credit card at a wide variety of retailers, both online and in brick-and-mortar stores. Most major grocery stores, department stores, pharmacies, and online marketplaces readily accept credit cards for gift card purchases.

Decoding the Gift Card and Credit Card Conundrum

For decades, gift cards have reigned supreme as the go-to solution for birthdays, holidays, and those “I have no idea what to get them” moments. And let’s face it, sometimes using a credit card to purchase them is just plain convenient—or even strategically advantageous. But the world of gift cards and credit cards isn’t always straightforward. Here’s a deep dive into where you can buy gift cards with a credit card, along with some crucial points to keep in mind.

The Ubiquitous Brick-and-Mortar Options

• Grocery Stores: From Kroger to Safeway to Whole Foods, almost all major grocery chains allow you to purchase gift cards with your credit card. Look for the dedicated gift card display racks, often near the customer service area. These usually offer a diverse selection, ranging from restaurant and retail to entertainment and travel cards.
• Department Stores: Think Macy’s, Nordstrom, Target, and Walmart. These stores are practically gift card supermarkets. They offer their own store gift cards, as well as a wide array of third-party options.
• Pharmacies: Chains like CVS, Walgreens, and Rite Aid also stock a surprising selection of gift cards. While their selection might be smaller than department stores, they’re a convenient option if you’re already there picking up essentials.
• Big Box Retailers: Walmart and Target are particularly great since they often offer bonus gift cards or discounts when you purchase specific gift cards with your credit card. Watch out for those limited-time promotions!

The Digital Domain: Online Options

The internet explodes the possibilities for buying gift cards with a credit card. Here are a few key players:

• Amazon: The king of e-commerce offers a massive selection of digital and physical gift cards, all purchasable with your credit card. Their digital gift cards are particularly convenient, allowing you to instantly send a gift to someone via email.
• Gift Card Resellers: Sites like Raise, CardCash, and GiftCards.com allow you to buy gift cards, often at a discounted rate. However, proceed with caution and ensure the reseller is reputable before making a purchase. While these can be enticing, be aware of potential risks like invalid cards or slower delivery times for physical cards.
• Retailer Websites: Many retailers offer gift cards directly on their websites. This is a reliable option, especially if you’re looking for a specific store or brand.
• Payment Apps: Some payment apps like PayPal and Venmo now offer the ability to purchase gift cards directly through their platforms. These can be linked to your credit card for seamless transactions.

The Cautionary Tales: Why Some Purchases Might Be Restricted

While most retailers accept credit cards for gift card purchases, some restrictions might apply. It’s crucial to understand why.

• Fraud Prevention: Credit card companies and retailers are wary of fraudulent activity involving gift cards. Gift cards can be easily resold or used anonymously, making them a target for scams.
• Cash-Like Nature: Gift cards are essentially treated as cash. Allowing unlimited credit card purchases of gift cards could potentially be exploited for money laundering or other illicit activities.
• Cash Advance Fees: Some credit card companies may classify gift card purchases as cash advances, triggering higher interest rates and fees. Always check your credit card agreement to understand their policy on gift card purchases.

Navigating the Credit Card Rewards Landscape

One of the biggest perks of using a credit card for gift card purchases is the potential to earn rewards, points, or cashback. Here’s how to maximize your benefits:

• Choose the Right Card: Select a credit card that offers bonus rewards for purchases at the retailer where you’re buying the gift card. For example, if you’re buying a gift card at a grocery store, use a card that earns extra points on grocery purchases.
• Utilize Category Bonuses: Some cards offer rotating category bonuses. Keep an eye on your card’s promotional calendar to see if gift card purchases might fall into a bonus category during a particular month.
• Meet Minimum Spending Requirements: If you’re trying to meet a minimum spending requirement to earn a sign-up bonus, purchasing gift cards can be a smart way to reach that threshold quickly. Just be sure that gift card purchases qualify towards the minimum spend.

FAQs: Your Burning Gift Card and Credit Card Questions Answered

Here are some frequently asked questions to further clarify the ins and outs of buying gift cards with a credit card.

1. Will buying gift cards with a credit card hurt my credit score?

Generally, no. As long as you pay your credit card bill on time and keep your credit utilization low, buying gift cards with a credit card shouldn’t negatively impact your credit score. However, if you overspend and carry a high balance, it can hurt your credit.

2. Can I buy prepaid debit cards with a credit card?

This is more restricted. Many retailers do not allow you to purchase prepaid debit cards with a credit card due to the increased risk of fraud and money laundering.

3. Are there limits on how much I can spend on gift cards with a credit card?

Some retailers may impose limits on the amount you can spend on gift cards in a single transaction or within a certain time period to mitigate risk.

4. Can I use a credit card to buy gift cards and then use those gift cards to pay off my credit card bill?

No. This is not possible. You can’t use gift cards to directly pay off your credit card bill.

5. What happens if a gift card I purchased with a credit card is lost or stolen?

The policies vary depending on the retailer. Some retailers offer replacements for lost or stolen gift cards, especially if you have the original purchase receipt. Always keep a record of your gift card purchases.

6. Can I return a gift card I bought with a credit card?

Generally, no. Most retailers have a strict no-return policy on gift cards.

7. Are there any fees associated with buying gift cards with a credit card?

Typically, there are no fees associated with purchasing gift cards with a credit card, unless your credit card company classifies the transaction as a cash advance.

8. Can I buy gift cards with a credit card to earn travel rewards?

Yes! This is a popular strategy. By using a travel rewards credit card to purchase gift cards for everyday expenses, you can accumulate points or miles that can be redeemed for travel.

9. What are the risks of buying gift cards from online resellers?

The main risks include receiving a card with a low or zero balance, receiving a counterfeit card, or the reseller going out of business before you can use the card. Always check the reseller’s reputation and read reviews before making a purchase.

10. Can I buy gift cards with a business credit card?

Yes, you can usually purchase gift cards with a business credit card, subject to the same limitations and considerations as personal credit cards.

11. How can I protect myself from gift card scams?

Only buy gift cards from reputable retailers, carefully inspect the card for any signs of tampering, and be wary of unsolicited offers or requests for gift card payments.

12. Do gift cards expire?

Federal law prohibits gift cards from expiring within five years of the date of purchase. However, some gift cards may have inactivity fees that can erode the value of the card over time. Always read the terms and conditions of the gift card carefully.

In conclusion, purchasing gift cards with a credit card is generally a straightforward process with numerous opportunities for reward maximization. Just be mindful of potential restrictions, fees, and security risks to ensure a smooth and beneficial experience.