Most gift cards cannot be transferred directly to a bank account
A gift card is not the same as money in your account. The card itself holds a balance at a specific retailer or payment network, and that balance lives in their system, not yours. You cannot call your bank and ask them to pull the money from a Visa gift card into your checking account the way you would transfer between two bank accounts.
What you can do depends on what kind of gift card you have. A closed-loop card (issued by a single retailer like Target or Starbucks) has almost no options. An open-loop card (Visa, Mastercard, or American Express gift cards) has a few real paths, though none are direct transfers. The fastest and most reliable method is to spend the card down to zero at a merchant, then deposit cash or use a debit transfer if the card issuer offers one.
Key Takeaways
- Retailer gift cards (Target, Starbucks, Best Buy) cannot be transferred to a bank account under any circumstance—you must spend them at that retailer or resell them.
- Visa, Mastercard, and American Express gift cards can sometimes be linked to a digital wallet or used to pay bills, which indirectly moves the money into your financial life.
- Some prepaid card issuers allow you to transfer remaining balance to a linked bank account, but only if you set that up before the card expires.
- Reselling a gift card through a marketplace like CardCash or Raise converts it to cash or a payment method you control, though you will receive less than the card's face value.
- Attempting to withdraw gift card funds as cash at a store or ATM will fail—gift cards are not debit cards and have no PIN or cash-back function.
Open-loop gift cards (Visa, Mastercard, Amex) and bank transfers
An open-loop gift card is issued by a payment network, not a retailer. These cards carry a Visa, Mastercard, or American Express logo and can be used anywhere that network is accepted. Some of these cards do allow you to transfer remaining balance to a bank account, but the option depends entirely on the card issuer and when you set it up.
Check the back of your card or the issuer's website for a "transfer to bank" or "cash out" feature. If the card was issued by a bank (like a gift card from your own bank) or a major payment processor, you may be able to link it to your checking account and initiate a transfer. This process usually takes one to three business days. However, many prepaid card issuers do not offer this feature at all, and some only allow transfers if you registered the card and set up the linked account before a certain date.
If no transfer option exists, you can spend the card down by paying bills online, making purchases at any merchant that accepts the card, or loading it into a digital wallet like Apple Pay or Google Pay. None of these moves the money to your bank account, but they do move it out of the gift card and into your regular spending or bill payments.
Retailer gift cards and spending down the balance
A closed-loop gift card from a single retailer (Target, Walmart, Starbucks, Best Buy, Amazon) cannot be transferred to a bank account. The balance is locked to that retailer's system and has no path to your bank. Your only options are to spend it at that retailer or resell it.
Spending the card down is straightforward: use it to buy items or services at that retailer until the balance reaches zero. If you have a small remaining balance after a purchase, you can use the card again on a future trip. Some retailers allow you to check your balance online or in their app, which helps you plan purchases to use the full amount.
If you do not want to shop at that retailer, reselling is your alternative. Marketplaces like CardCash, Raise, and Decluttr buy unused gift cards at a discount—typically 70 to 95 percent of face value, depending on the retailer and current demand. You list the card, receive an offer, and if you accept, you send the card to the buyer and receive payment via bank transfer, PayPal, or another method. The process takes one to two weeks from listing to payment.
Prepaid cards and linked bank account transfers
Some gift cards are actually prepaid cards—reloadable cards that function like a debit card and may allow transfers to a linked bank account. These are less common than standard gift cards but do exist, particularly from issuers like NetSpend, Green Dot, or Chime. If your card came with account setup instructions or a registration requirement, it may be a prepaid card.
To check whether your card supports transfers, log into the card's online portal or app using the card number and PIN (if you set one up during registration). Look for options labeled "transfer funds," "cash out," "withdraw to bank," or "linked account." If the option exists and you have already linked a bank account, you can initiate a transfer. If you have not linked an account yet, you may still be able to do so, though some issuers require this step to be completed within a certain window after the card was issued.
Transfers from prepaid cards to bank accounts typically clear within one to three business days. However, some issuers charge a fee for this service—usually $1 to $3 per transfer. Check the card's fee schedule before you proceed.
Digital wallets and bill pay as indirect routes
If your gift card cannot be transferred directly, you can move the balance indirectly by loading it into a digital wallet or using it to pay bills. This does not put money into your bank account, but it does move the balance into a form you control.
For open-loop cards (Visa, Mastercard, Amex), you can add the card to Apple Pay, Google Pay, or Samsung Pay. Once linked, you can use the digital wallet to make purchases at any merchant that accepts contactless or mobile payments. The gift card balance depletes with each purchase, and your bank account is not charged. This is useful if you want to spend the card without carrying the physical card.
You can also use an open-loop gift card to pay bills online through your biller's website or app. Many utilities, credit card companies, and loan servicers accept Visa or Mastercard as payment. Enter the gift card number as your payment method, and the bill payment will be deducted from the card's balance. This moves the money out of the gift card and into your bill payments, freeing up your regular bank account balance for other uses.
Reselling gift cards for cash or payment methods you control
Reselling is the most direct way to convert a gift card into money you can move to your bank account, though you will receive less than the card's face value. Marketplaces like CardCash, Raise, Decluttr, and Gameflip buy gift cards from individuals and resell them to other buyers. The process is straightforward: you list the card, receive an offer, accept it, and send the card to the buyer.
Payment methods vary by marketplace. Most offer bank transfer, PayPal, or check. Bank transfers typically arrive within one to two weeks after the buyer confirms receipt of the card. PayPal transfers are faster—usually within a few days. Some marketplaces also offer store credit or gift cards to other retailers as payment, which does not help you reach your bank account but may be useful if you shop elsewhere.
The discount you receive depends on the retailer and current demand. Popular retailers like Amazon, Target, and Walmart typically sell for 80 to 95 percent of face value. Smaller or less popular retailers may sell for 60 to 75 percent. Seasonal demand also affects price—gift cards are worth more during the holiday season and less during slow retail periods.
What does not work: ATMs, cash withdrawals, and balance transfers
Gift cards are not debit cards and do not have the infrastructure to withdraw cash at an ATM or at a store's cash register. Attempting to use a gift card at an ATM will fail because the card has no PIN and is not connected to a bank account. Asking a cashier to withdraw cash from a gift card will also fail—the card's system does not support that function.
You also cannot transfer a gift card balance to another gift card, even if both are from the same retailer or payment network. Each card is a separate account, and the systems do not allow balance transfers between them. If you have multiple gift cards from the same retailer, you must spend each one separately or resell them individually.
Some third-party services claim to convert gift cards to cash instantly or without a discount. These are scams. Legitimate resale takes time because the marketplace must verify the card, list it, find a buyer, and process payment. If a service promises instant cash or claims to pay full face value, it is either fraudulent or will charge you a fee that eliminates any benefit.
Frequently Asked Questions
Can I use a gift card to pay off a credit card balance?
No. Credit card companies do not accept gift cards as payment. However, you can use an open-loop gift card (Visa, Mastercard, Amex) to make a purchase that frees up your regular bank account balance, which you can then use to pay your credit card bill. This is indirect but effective.
What happens to a gift card if I never use it?
Retailer gift cards do not expire in most states, though some issuers charge inactivity fees after a period of non-use. Open-loop prepaid gift cards may expire after three to five years, depending on the issuer and state law. Check your card's terms or the issuer's website to confirm expiration and fee policies.
Can I transfer a gift card balance to someone else's bank account?
No. Gift cards are not transferable to other people's bank accounts. You can resell the card to a marketplace, which will pay you, or you can spend the card and give the recipient cash or a payment in another form. Some retailers allow you to transfer a gift card balance to another person's gift card account with that retailer, but this requires their account information and is not available everywhere.
Is there a fee to transfer a gift card balance to my bank account?
It depends on the card issuer. Some prepaid card issuers charge $1 to $3 per transfer. Reselling a gift card through a marketplace does not charge you a fee, but you receive a discounted price. Check your card issuer's website or app for fee information before you attempt a transfer.
Can I use a gift card to open a bank account?
No. Banks require a deposit from an existing bank account, debit card, or check. A gift card cannot be used to fund a new account. However, once you have a bank account, you can resell a gift card and deposit the proceeds into that account.