The short answer: not directly, but you have real options
You cannot walk into a bank and deposit a physical gift card the way you would a check. Banks do not accept gift cards as deposits because the card itself has no value to the bank—only the merchant who issued it does. But you can convert a gift card into money that lands in your account through several routes: spending it at the merchant and transferring the proceeds, using a gift card resale marketplace, or loading it onto a payment app that connects to your bank.
The method you choose depends on what you want to do with the money, how quickly you need it, and whether you are willing to take a small loss. Some routes are faster but cost you a percentage. Others take longer but preserve the full value.
Key Takeaways
- Banks will not accept gift cards as direct deposits because the card holds value only with the original merchant, not with the bank.
- You can spend the gift card at the merchant and deposit the cash or transfer the refund to your bank account if you return items.
- Resale marketplaces like CardCash and Raise buy gift cards for 60 to 95 percent of face value and deposit the money directly to your account.
- Some payment apps like PayPal and Square Cash let you load a gift card balance and then transfer it to your bank, though not all gift card types work with every app.
- The fastest route to cash is usually a resale marketplace, but you will receive less than the card's full value.
Why banks cannot accept gift cards as deposits
A gift card is a liability to the merchant who issued it, not an asset to your bank. When you deposit money into your bank account, the bank receives funds it can use and hold. When you hand over a gift card, the bank receives a card that has no value to them—the value exists only between you and the retailer.
The bank has no way to convert that card into usable funds without going through the merchant themselves, and merchants do not process deposits from banks on behalf of customers. The card is also tied to the specific retailer's system, so a Target gift card cannot be processed through a bank's payment network the way a debit card can.
Spending the card and depositing the proceeds
The simplest route is to use the gift card to buy something, then deposit any cash change or refund into your account. If you spend the full balance on a purchase, you get the full value—but you have to buy something you actually want or need.
If you return an item you bought with the gift card, the refund usually goes back onto the card itself, not into your bank account. However, some retailers will refund to a debit card or bank account if you ask at the time of return. Call the retailer's customer service line before you return anything to ask whether they offer bank refunds for gift card purchases.
This route preserves 100 percent of the card's value, but only if you spend it on something you would have bought anyway. If you are forced to buy something you do not want just to convert the card to cash, you are losing money in a different way.
Selling the gift card on a resale marketplace
Websites like CardCash, Raise, and Decluttr buy gift cards directly from you and deposit the cash into your bank account. You list the card, the buyer purchases it, and the site transfers money to your account—usually within one to three business days.
The catch is the discount. Resale marketplaces typically pay 60 to 95 percent of the card's face value, depending on the retailer and current demand. A $100 Target gift card might sell for $90 to $95. A $100 card for a less popular retailer might sell for $60 to $75. The discount reflects the fact that the buyer is paying cash for something they could use at only one store.
To sell, you will need the card number, PIN (if there is one), and the remaining balance. The marketplace verifies the balance before paying you. This is the fastest way to get cash into your account if you do not want to spend the card's value on merchandise.
Loading the card onto a payment app
Some payment apps let you add a gift card as a payment method, then transfer the balance to your linked bank account. PayPal, Square Cash, and Venmo all allow gift card linking in some form, though the process and availability vary by app and card type.
To try this route, open the app, go to the payment method or wallet section, and look for an option to add a card. Enter the gift card number and expiration date as you would for any debit card. Once the app recognizes the card and its balance, you may be able to transfer that balance to your bank account—but not all apps support this, and not all gift cards work with every app.
This method is free if it works, but it is not reliable across all combinations of apps and card types. Test it with a small purchase first before counting on it to move the full balance.
What does not work: gift card to bank account transfers
Some websites claim they can transfer a gift card balance directly to your bank account. Most of these are scams or charge hidden fees that eat up most of the card's value. Legitimate resale marketplaces are transparent about their discount upfront. If a site promises to move the full balance to your bank for free, it is either collecting your card information for fraud or will hit you with fees later.
Do not give your gift card number to any site that is not a well-known resale marketplace or an official app from the card's issuer. Stick to CardCash, Raise, Decluttr, or the retailer's own app if you want to move the card's value safely.
Comparing your options side by side
| Method | Time to cash | Percentage of face value you receive | Best for |
|---|---|---|---|
| Spend and deposit cash | Immediate | 100% | Cards for retailers you shop at anyway |
| Return and request bank refund | 3–7 days | 100% | Returnable items you do not want to keep |
| Resale marketplace | 1–3 days | 60–95% | Cards you will not use; fastest cash conversion |
| Payment app transfer | 1–3 days | 100% | Cards that work with the app; not reliable across all types |
Frequently Asked Questions
Can I deposit a Visa or Mastercard gift card into my bank account?
No, not as a deposit. But you can use it like a debit card to buy things, then deposit any cash change. You can also sell it on a resale marketplace or load it into a payment app and transfer the balance, though the app transfer method is less reliable for branded gift cards than for retailer-specific ones.
What if the gift card has a small balance left on it?
Resale marketplaces will still buy it, but the discount may be steeper because the buyer is getting less value. You can also spend it at the retailer on a small purchase, or combine it with another payment method. Some apps let you load a partial-balance card, though this depends on the app and card type.
Do I have to pay taxes on money from selling a gift card?
Generally no. You received the gift card as a gift, and selling it for cash is just converting an asset you already own. The IRS does not treat this as taxable income. If you are unsure about your specific situation, ask a tax professional.
Is it safe to sell my gift card on these resale sites?
Yes, if you use established marketplaces like CardCash, Raise, or Decluttr. These sites verify the card balance before paying you and have buyer protection policies. Never sell on unknown sites or give your card information to anyone claiming they can transfer the balance for free.
What happens if the gift card is declined after I sell it?
Resale marketplaces verify the balance and validity before they pay you, so this is rare. If it does happen, the site will refund the buyer and reverse your payment. Always sell through a marketplace with a money-back may provide, not to individuals.