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Student Card Agreement

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Student Card Agreement

Last Update: March 4, 2014


Terms and Conditions/Definitions for the Student Card Agreement

This Student Card Agreement ("Agreement") is a contract outlining the terms and conditions between you and The Bancorp Bank and applies to your use, and the Child's use, of the PayPal Student Debit MasterCard (“Student Card” or “Card”) issued by The Bancorp Bank, Wilmington, Delaware, an FDIC insured member institution. This Agreement applies to you in addition to the PayPal Student Account Agreement and other applicable agreements between you and PayPal. Please read this Agreement carefully and keep it for future reference.

“Issuer” means The Bancorp Bank. “You” and “your” means the Parent or Child who have received the Card and are authorized to use the Card as provided for in this Agreement. “We,” “us,” and “our” mean the Issuer, our successors, affiliates, assignees and our third party service providers. “Card Account” means the records we maintain to account for the value of transactions associated with the Card. All capitalized terms shall have the definitions provided in this Agreement, or if a definition is not provided in this Agreement, the definition in the PayPal User Agreement shall apply. By accepting and using the Student Card, you agree to be bound by the terms and conditions in this Agreement. You agree to sign the back of the Card immediately upon receipt. The expiration date of the Card is identified on the front of your Card. The Card will remain the property of the Issuer and must be surrendered upon demand. The Card is nontransferable and it may be canceled, repossessed, or revoked at any time without prior notice subject to applicable law. We may refuse to process any transaction that we believe may violate the terms of this Agreement. Write down your Card number and the customer service phone number provided in this Agreement on a separate piece of paper in case your Card is lost, stolen, or destroyed.


  1. Obtaining Your Card. The Parent must apply for the Student Card. By creating a Student Account with PayPal you are also requesting a Student Card. The Bancorp Bank and PayPal retain sole discretion to accept or reject any application for a Student Card. The USA PATRIOT Act is a federal law that requires all financial institutions to obtain, verify, and record information that identifies each person who opens a Student Card Account. What this means for you: When you open a Student Card Account, we will ask for your name, address, date of birth, and other information that will allow us to reasonably identify you. We may also ask to see your driver’s license or other identifying documents at any time.
  2. Using the PayPal Student Card.
    1. Purchases and ATM withdrawals.You may use the Card to receive cash at any Maestro/Cirrus ATM for a modest fee as outlined below. If given the option, select "Checking Account" when using an ATM. You may use the Card to purchase goods and services from merchants that accept MasterCard in an amount up to your available Student Account Balance. Purchases and withdrawals should not exceed the amount of the Student Account Balance. Each time you use your Card, you authorize us to reduce the value available in your Student Account by the amount of the transaction and any applicable fees.
    2. Parent suspension. You may suspend the Child's use of the Card by changing the Student Account Permissions.
    3. Split Tender Transactions.Some merchants do not allow cardholders to conduct split transactions where you would use the Card as partial payment for goods and services and pay the remainder of the balance with another form of legal tender. If you wish to conduct a split transaction and it is permitted by the merchant, you must first tell the merchant to charge only the exact amount of funds available in the Student Account. You must then arrange to pay the difference using another payment method. Some merchants may require payment for the remaining balance in cash. If you fail to inform the merchant that you would like to complete a split transaction prior to swiping your Card, your Card transaction is likely to be declined.
    4. Authorization Holds. If you use the Student Card at an automated fuel dispenser (“Pay at the pump”) the merchant may preauthorize the transaction amount up to $100 or more. If the Card is declined, even though there are sufficient funds available, attempt to pay for your purchase inside with the cashier. This hold will be released once merchant submits the transaction for settlement. If you use the Card at a restaurant, a hotel, for a car rental purchase, or for similar purchases, the merchant may preauthorize the transaction amount for the purchase amount plus up to 20% or more to ensure there are sufficient funds available to cover tips or incidental expenses that may be incurred. Any preauthorization amount will place a “hold” on your available funds until the merchant sends us the final payment amount of your purchase. Once the final payment amount is received, the preauthorization amount on hold will be removed.

      It may take up to four (4) days for the hold to be removed. During the hold period, you will not have access to the preauthorized amount.

      When you use the Card to purchase goods or services or to obtain cash from a merchant, the merchant may attempt to obtain preauthorization from us for the transaction. If the merchant makes such a request, we place a hold on your Student Account for up to four (4) days for the amount of the preauthorization request (which may vary in some cases from the amount of the actual purchase, depending on the merchant) until the merchant settles the actual amount (but in no event longer than 7 days). This hold may affect the availability of funds in your Student Account. We will not be responsible if any transactions are not completed because of the hold. If the preauthorization request varies from the amount of the actual transaction, we will debit the actual transaction amount from your Student Account balance, even if this results in your Student Account balance becoming negative. You will be responsible for any such negative amounts.
    5. Card not Present Transactions. If you use the Card number without presenting the Card in person (such as for a mail order, telephone, or internet purchase), the legal effect will be the same as if you used the Card itself. For security reasons, we may limit the amount or number of transactions you can make on the Card in these scenarios. You may not use your Debit Card for online gambling or any other illegal transaction.
    6. Foreign Transactions. If you obtain your funds or make a purchase in a currency other than the currency in which your Card was issued, the amount deducted from your funds will be converted by MasterCard International Incorporated into an amount in the currency of your Card. The exchange rate between the transaction currency and the billing currency used for processing international transactions is a rate selected by MasterCard International Incorporated from the range of rates available in wholesale currency markets for the applicable central processing date, which may vary from the rate MasterCard International Incorporated itself receives, or the government-mandated rate in effect for the applicable central processing date. If you obtain your funds or make a purchase in a currency other than US currency, The Bancorp Bank may assess a foreign currency conversion fee of 2.5% (as outlined in Section 3 below) of the transaction amount and will retain this amount as compensation for its services.
    7. ATM withdrawal and spending limits. Student Card transactions are subject to a daily limit of $150.00 for ATM withdrawals and cash-like withdrawals (e.g. cash advances and money transfers), a $500.00 daily limit for purchases, and a $2,000 monthly limit for all Card transactions. PayPal retains sole discretion to apply and change these limits.
  3. PayPal Student Card Fees
  4. US ATM Withdrawal (Debit Card ATM Withdrawal From)

    $1.50 Per ATM Withdrawal within US (Plus any amounts charged by the ATM owner.)

    Signature Withdrawal (Debit Card Cash Advance To)

    $3.00 Per Signature Withdrawal if a signature is required to obtain cash.

    Non-US ATM Transaction-Using an ATM that is not in the US (Debit Card ATM Withdrawal From)

    $1.50 Per withdrawal from a non-US ATM. This fee will apply even if the transaction does not require a currency conversion.

    Foreign Transaction Fee (Debit Card Signature Purchase To)

    1%; Per purchase from a non-US merchant or use at a non-US ATM. This fee will apply even if the transaction does not require a currency conversion.

    If you use an ATM for any transaction, including a balance inquiry, you may be charged a fee by the ATM owner even if you do not complete a withdrawal. This ATM fee is a third party fee amount assessed by the individual ATM operator only and is not assessed by us. This ATM fee amount will be charged to your Card.

  5. Rewards or Cash back. The Student Card does not have a reward or cash back program.
  6. Personal Identification Number (PIN) / Account History. The PIN number issued with the Student Card is a security code, which has been designed to protect your transaction account against unauthorized use. The PIN provides enhanced security for your Student Account and must be used when making transactions to your Student Account. It is your electronic signature. Since the PIN is for security purposes, you should memorize it and it should not be disclosed to anyone. You should not write or keep your PIN with your Card. When entering your PIN, be sure it cannot be observed by others and do not enter your PIN into any terminal that appears to be modified or suspicious. You can change your PIN at any time, and a temporary hold can be placed on your Account if the PIN has been compromised or if your Card is lost or stolen. Maintaining the security of your PIN and Card is your responsibility. If you believe that anyone has gained unauthorized access to your PIN, you should advise us immediately.
  7. Authorized Users, Third Party Liability. You are responsible for all authorized transactions initiated and fees incurred by the use of the Card. If you permit another person to have access to the Card or Card number, we will treat this as if you have authorized such use and you will be liable for all transactions and fees incurred by those persons.
  8. Documentation of Transfers.
    1. You can get a receipt at the time you make any transfer to or from the Student account using the Card at a Maestro/Cirrus ATM or at a point of sale.
    2. You may access the transaction history and balance by logging into the Student Account on and clicking on the "History" tab. You should do this regularly to verify the activity on your account.
  9. Returns and Refunds. If you are entitled to a refund for any reason for goods or services obtained with your Card, you agree to accept credits to your Card for refunds and agree to the refund policy of the merchant. If you have a problem with a purchase that you made with your Card, or if you have a dispute with the merchant, you must attempt to resolve it directly with the merchant first.
  10. Card Replacement. If you need to replace the Card for any reason, please contact customer service at 866-888-6080 to request a replacement Card. You will be required to provide personal information which may include your Card number, full name, transaction history.
  11. Confidentiality. To read the Privacy Policy governing the confidentiality and disclosure of your Card Account information, go online at and click the link for legal agreements at the bottom of any page. Notwithstanding the Privacy Policy, we may disclose information to third parties about your Card or the transactions you make:
    1. Where it is necessary for completing transactions;
    2. In order to verify the existence and condition of your Card for a third party, such as a merchant;
    3. In order to comply with government agency, court order, or other legal, regulatory or administrative requirements;
    4. If you give us your written permission; or
    5. To our employees, auditors, affiliates, service providers, or attorneys as needed.
  12. Our Liability for Failure to Complete Transactions. If we do not properly complete a transaction from your Card on time or in the correct amount according to our Agreement with you, we will be liable for your losses or damages. However, there are some exceptions. We will not be liable, for instance:
    1. If through no fault of ours, you do not have enough funds available on your Card to complete the transaction;
    2. If a merchant refuses to accept your Card;
    3. If an ATM where you are making a cash withdrawal does not have enough cash;
    4. If an electronic terminal where you are making a transaction does not operate properly, and you knew about the problem when you initiated the transaction;
    5. If access to your Card has been blocked after you reported your Card lost or stolen;
    6. If there is a hold or your funds are subject to legal process or other encumbrance restricting their use;
    7. If we have reason to believe the requested transaction is unauthorized;
    8. If circumstances beyond our control (such as fire, flood, or computer or communication failure) prevent the completion of the transaction, despite reasonable precautions that we have taken; or
    9. Any other exception stated in our Agreement with you.
  13. Your Liability for Unauthorized Transfers.
    1. Contact us at once if you believe your Card has been lost or stolen. Telephoning is the best way to minimize your possible losses. If you believe your Card has been lost or stolen, or that someone has transferred or may transfer money from your Card Account without your permission, call us at 866-888-6080. Under MasterCard Rules, your liability for unauthorized MasterCard transactions on your Card Account is $0.00 if you notify us within two (2) business days and you exercise reasonable care in safeguarding your Card from loss, theft, or unauthorized use. This reduced liability does not apply if a PIN is used as the method of verification for a disputed transaction or you have reported two (2) or more incidents of unauthorized use in the immediately preceding twelve (12) month period. Even if MasterCard zero liability does not apply, if you notify us within two (2) business days learning that your card has been lost or stolen, you can lose no more than $50.00 if someone used your Card without your permission. If you do not notify us within two (2) business days after you learn of the loss or theft of your Card and we can prove that we could have stopped someone from using your Card without your permission if you had promptly notified us, you could lose as much as $500.00.
    2. Also, if you become aware of and/or your statement shows transactions that you did not make, notify us at once following the procedures stated in the paragraph labeled “Information About Your Right to Dispute Errors”. If you do not notify us in writing within sixty (60) days after you become aware of the transaction and/or after the statement was made available to you, you may not get back any value you lost after the sixty (60) days if we can prove that we could have stopped someone from taking the value if you had notified us in time and you are grossly negligent or fraudulent in the handling of your Card. If your Card has been lost or stolen, we will close your Card Account to keep losses down.
  14. Other Terms. Your Card and your obligations under this Agreement may not be assigned. We may transfer our rights under this Agreement. Use of your Card is subject to all applicable rules and customs of any clearinghouse or other association involved in transactions. We do not waive our rights by delaying or failing to exercise them at any time. If any provision of this Agreement shall be determined to be invalid or unenforceable under any rule, law, or regulation of any governmental agency, local, state, or federal, the validity or enforceability of any other provision of this Agreement shall not be affected. This Agreement will be governed by the law of the State of Delaware except to the extent governed by federal law.
  15. Amendment and Cancellation. From time to time, we may amend this Agreement by posting a revised version on the PayPal website. The revised version will be effective at the time we post it. In addition, if the revised version includes a Substantial Change, we will provide you with 30 Days' prior notice of Substantial Change by posting notice on the "Policy Updates" page of the PayPal website. However, if the change is made for security purposes, we can implement such change without prior notice. We may cancel or suspend your Card or this Agreement at any time. You may cancel this Agreement by returning the Card to us. Your termination of this Agreement will not affect any of our rights or your obligations arising under this Agreement prior to termination.
  16. Information About Your Right to Dispute Errors.
    1. 15.1 Protection for Unauthorized Transactions and Other Errors.When an Unauthorized Transaction or Other Error occurs through your Card Account, including Unauthorized Transactions that occur because your Card has been lost or stolen, we will cover you for the full amount of every eligible Unauthorized Transaction or Other Error as long as you follow the procedures discussed below in this section.

      You may request documentation or information regarding your Account or transaction to determine whether an Unauthorized Transaction or Other Error exists by contacting us through the Contact Us link at the bottom of each page of the PayPal website.
    2. 15.2 Notification Requirements.

      To be eligible for 100% protection for Unauthorized Transactions or Other Errors in your Card Account, you must notify us within 60 Days after any Unauthorized Transaction or Other Error first appears in your Account statement. We will extend the 60 Day time period if a good reason, such as a hospital stay, kept you from notifying us within 60 Days.

      You should regularly log into your Account and review your Card transactions to ensure that there has not been an Unauthorized Transaction or Other Error. PayPal will also send an email to the primary email address you have provided in order to notify you of each transaction from your Account. You should also review these transaction confirmations to ensure that each transaction was authorized and is accurate.

      For Unauthorized Transactions or Other Errors involving your Card, notify us as follows: (1) Log into your Account, go to the "Account Overview" page, select the transaction details for the transaction you wish to dispute and then follow the directions. Please print and sign the completed form, then mail it to us (PayPal, Attn: PayPal Debit Card Department, P.O. Box 45950, Omaha, NE 68145-0950) or send it by fax to (303) 395-2855; or (2) Telephone PayPal Customer Service at (402) 935-7733.

      When you notify us, provide us with all of the following information: (1) Your name and email address registered to your Account; (2) A description of any suspected Unauthorized Transaction or Other Error and an explanation as to why you believe it is incorrect or why you need more information to identify the transaction; and (3) The dollar amount of any suspected Unauthorized Transaction or Other Error.

      If you notify us orally, we may require that you send us your complaint or question in writing within 10 Business Days. During the course of our investigation, we may request additional information from you.
    3. 15.3 PayPal Actions after Receipt of Your Notification. Once you notify us of any suspected Unauthorized Transaction or Other Error, or we otherwise learn of one, we will do the following:

      We will conduct an investigation to determine whether there has been an Unauthorized Transaction or Other Error that is eligible for protection. We will complete our investigation within 10 Business Days of the date we received your notification of the suspected Unauthorized Transaction or Other Error. If your Account is new (the first transaction from your Account was less than 30 Business Days from the date you notify us), we may take up to 20 Business Days to complete this investigation. If we need more time, we may take up to 45 Days to complete our investigation (or up to 90 Days for new Accounts, or if your transaction was at a point of sale where you were physically present, or a foreign initiated transaction).

      If we decide that we need more time to complete our investigation, we will provisionally credit your Account for the amount of the suspected error. You will receive the provisional credit within 10 Business Days of the date we received your notice (or 20 Business Days for new Accounts). This will allow you to have use of the money until we complete the investigation. We will notify you of the provisional credit within 2 Business Days of the crediting. If we ask you to put your complaint or question in writing and we do not receive it within 10 Business Days (or 20 Business Days for new Accounts), we will not provisionally credit your Account. We will inform you of our decision within 3 Business Days after completing our investigation.

      If we determine that there was an error, we will promptly credit the full amount of the error into your Account within 1 Business Day of our determination. Or, if you have already received a provisional credit, you will be allowed to retain those amounts.

      If we decide that there was not an error, we will include an explanation of our decision in our email to you. If you received a provisional credit, we will remove it from your Account and notify you of the date and amount of the debit. You may request copies of the documents that we used in our investigation.
    4. 15.4 Processing Errors. We will rectify any processing error that we discover. If the error results in your receipt of less than the correct amount to which you are entitled, PayPal will credit your Account for the difference. If the error results in your receipt of more than the correct amount to which you are entitled, PayPal will debit the extra funds from your Account. If the error resulted in our not completing a transaction on time or in the correct amount, we will be liable for your losses or damages directly caused by this failure, unless: (a) through no fault of ours, you did not have enough available funds to complete the transaction, (b) our system was not working properly and you knew about the breakdown when you started the transaction, or (c) circumstances beyond our control (such as fire, flood or loss of Internet connection) prevented the transaction, despite our reasonable precautions. You should immediately notify PayPal if you believe:
      1. there has been an Unauthorized Transaction or unauthorized access to your Card Account;
      2. there is an error in your Card Account statement (you can access your Card Account statement by logging into your Account and clicking on the “Statements” tab ) or your transaction confirmation sent to you by email;
      3. your password has been compromised;
      4. your Card has been lost, stolen or deactivated; or
      5. you need more information about a transaction listed on the statement or transaction confirmation.
  17. English Language Controls. Any translation of this Agreement is provided for your convenience. The meanings of terms, conditions and representations herein are subject to definitions and interpretations in the English language. Any translation provided may not accurately represent the information in the original English.
  18. Customer Service. For customer service or additional information regarding your Card, please contact us at:

    PayPal Debit Card Program
    PO Box 45950
    Omaha NE 68145-0950

    This Cardholder Agreement is effective (03/2014)