You cannot deposit a gift card directly into a bank account, but you have several ways to move the money
Banks do not accept gift cards as deposits. A gift card is a prepaid card tied to a specific retailer or payment network, not a bank instrument. However, you can transfer the balance to your bank account through a few concrete routes: spend the card at the retailer and transfer your own money back, use a third-party service that converts gift card balances to cash, or in some cases, load the balance onto a reloadable prepaid card linked to your bank.
The method you choose depends on the card type, how much money is on it, and whether you want to keep the balance as cash or use it at a specific store. Some routes are free; others charge a percentage or flat fee. None of them are instant—most take one to five business days.
Key Takeaways
- Gift cards cannot be deposited directly into a bank account because they are not bank products, but the money can be moved through intermediary services or by spending and redepositing your own funds.
- Visa, Mastercard, and American Express gift cards can often be transferred to a bank account through third-party platforms, though fees typically range from 1% to 10% of the balance.
- Retailer-specific gift cards (Target, Amazon, Walmart) can be converted to cash only through resale sites or by spending the card and moving your own money back to your account.
- Some banks and credit unions offer their own prepaid cards that can receive gift card transfers, but this requires setting up an additional account.
- The fastest free method is often to spend the gift card on items you would buy anyway, then deposit your own cash or paycheck into your bank account instead.
How third-party gift card conversion services work
Services like Raise, CardCash, and Gameflip buy gift cards from users at a discount and resell them. If you sell your card to one of these platforms, you receive cash via bank transfer, PayPal, or check. The catch: you receive less than the card's face value. A $100 gift card might sell for $85 to $95, depending on the retailer and current demand.
The process is straightforward. You list the card on the platform, provide the card number and PIN (or activation code), and the service verifies the balance. Once a buyer purchases it, the platform transfers the money to you within one to three business days. You do not need to be a member or pay an upfront fee to sell, though the platform takes a commission from the buyer, not the seller.
These services work best for retailer-specific cards (Target, Best Buy, Sephora) because those cards have a secondary market. They are less useful for Visa or Mastercard gift cards, which you can convert more directly through other means.
Converting Visa, Mastercard, and Amex gift cards to bank transfers
Network-branded gift cards—those carrying the Visa, Mastercard, or American Express logo—can be transferred to a bank account through services like Paxful, Cardtonic, or your own bank's bill pay system. The method depends on which service you use.
Some banks allow you to add a gift card as a payment method in their bill pay system, then "pay" a bill or transfer to yourself. This is free but slow, often taking five to seven business days. Other third-party platforms connect your gift card and bank account directly, verify the balance, and transfer the funds. These typically charge 2% to 10% of the amount transferred, depending on the platform and card type.
Before using any third-party service, check whether the card issuer (the bank that issued the gift card) allows transfers. Some prepaid gift cards issued by banks restrict transfers or require you to register the card first. Read the card's terms or call the number on the back to confirm.
Using a reloadable prepaid card as an intermediary
Some people move a gift card balance to a reloadable prepaid card (like NetSpend or Chime), then transfer from the prepaid card to their bank account. This adds an extra step and usually costs money at each stage, so it is rarely the cheapest route.
However, if you already have a reloadable prepaid card, this method can work. You load the gift card balance onto the prepaid card (if the card issuer allows it), then request a transfer to your linked bank account. Fees vary by prepaid card provider—some charge $1 to $3 per transfer, others charge a percentage of the amount.
This approach is most useful if the gift card cannot be converted any other way and you need the money in your bank account rather than sitting on another card.
Spending the card and redepositing your own money
The simplest free method, though it requires planning, is to spend the gift card on something you would buy anyway, then deposit your own cash or paycheck into your bank account instead. This shifts money around without paying a conversion fee.
For example: you have a $50 Target gift card and need cash. Use the card to buy groceries or household items you need. Then, instead of spending $50 of your own cash on those items, deposit that $50 from your paycheck or savings into your bank account. The net result is the same—the gift card money is now in your account—but you paid no fee.
This works only if you have other money available to deposit and if the gift card covers items you actually need. It is not practical for cards with small balances or for items you would not otherwise buy.
What to watch for when converting gift cards
Before you convert a gift card, verify the balance and check the card's expiration date. Many retailers' gift cards do not expire, but some prepaid gift cards issued by banks expire after a set period (often three to five years). If the card has expired, the balance may be unrecoverable.
Be cautious with third-party services that ask for your card number and PIN. Use only established platforms with clear privacy policies and user reviews. Never share your card details via email or text, and never pay an upfront fee to convert a gift card—legitimate services take their cut from the transaction, not from you in advance.
Check the fine print on conversion services. Some charge a flat fee per transaction; others charge a percentage. A $20 card might cost $2 to convert on one platform and $1 on another. For small balances, the fee can eat up most of the value, so it may not be worth converting at all.
Frequently Asked Questions
Can I deposit a gift card directly into my bank account?
No. Banks do not accept gift cards as deposits because they are not bank instruments. You must convert the balance through a third-party service, spend the card and redeposit your own money, or transfer it to a reloadable prepaid card first.
What is the fastest way to get gift card money into my bank account?
Using a third-party conversion service like Raise or CardCash is fastest for retailer cards—usually one to three business days. For network-branded cards (Visa, Mastercard), some banks allow transfers through bill pay, though that takes five to seven days. Spending the card and redepositing your own money is free but requires you to have other funds available.
Do I lose money when I convert a gift card?
It depends on the method. Resale platforms like Raise pay 85% to 95% of face value. Third-party conversion services charge 2% to 10% in fees. Spending the card and redepositing your own money costs nothing. The free method requires you to have other money to deposit.
Can I transfer a retailer gift card (like Amazon or Walmart) to my bank account?
Retailer-specific cards cannot be transferred directly to a bank account. You can sell them on resale platforms like Raise or CardCash for less than face value, or spend the card and redeposit your own money into your bank account instead.
What if the gift card has expired?
Most retailer gift cards do not expire, but prepaid gift cards issued by banks often expire after three to five years. Once expired, the balance is usually unrecoverable. Check your card's terms before attempting to convert it.