Does Tesco Accept PayPal? (What To Use Instead)

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Tesco is the UK’s biggest supermarket. Whether it’s the neighborhood Tesco Express on the corner or a large out-of-town Tesco superstore, many of us buy all manner of items from the grocery giant.

You name it, Tesco stocks it. From clothing or electrical to books and toys, Tesco can be a great place to shop for everyday essentials, treats, and big ticket items.

If you have some PayPal funds in your account, then you may be wondering – does Tesco accept PayPal payments? And if they do, does this apply online only or also in-store?

So does Tesco accept PayPal? No, they don’t. Despite accepting most debit and credit cards as well as smartphone payment methods like Apple Pay or Google Pay, the supermarket doesn’t take PayPal. This is because of PayPal processing fees, which tend to be higher than with other methods of payment.

A large supermarket with the word Tesco sign above the entrance and parking lot with cars at the front

If you wanted to pay with PayPal at Tesco, then it’s bad news. You’ll have to find another payment method.

However, the good news is that there are plenty of other payment options for Tesco customers.

Read on to find out all about how you can make payments when shopping online or within Tesco stores!

How to Pay At Tesco: 8 Ways

Tesco accepts payment in a number of forms. Here’s a brief, quick reference list of payment means you can use when online shopping or at a Tesco store.

This list comes from the Tesco website FAQs section.

  • Cash – stores only
  • Visa – excluding Electron cards
  • Mastercard – including Maestro cards
  • American Express
  • Clubcard Plus
  • Tesco bank cards
  • Apple Pay
  • Google Pay

Does Tesco Accept PayPal – And Other FAQs

Image showing different payment methods such as e-wallet, coins, credit cards beside a laptop

Here are the answers to some frequently asked questions around the topic of whether Tesco accepts PayPal and other payment forms.

This applies to online shopping as well as within stores unless otherwise stated.

Does Tesco Accept Cash?

You can always pay your Tesco bill in good old pounds sterling! Though clearly, you cannot make cash payments when shopping online rather than in-store.

Does Tesco Accept PayPal?

Tesco does not accept PayPal, either online or in-store. This is because PayPal charges them higher fees than the average debit or credit card company.

Does Tesco Accept Amex?

Historically, supermarkets like Tesco often refused to take Amex as a payment method.

That’s mostly changed now, and Tesco does indeed accept the American Express credit card online or in the stores.

Does Tesco accept Mastercard?

A Mastercard debit card or credit card can be used in-store for contactless payments, or via card insertion for higher amounts.

Does Tesco accept Apple Pay?

Tesco accepts payments made via Apple Pay. This means you can pay in their shops on your mobile phone.

Does Tesco Accept Google Pay?

Google Pay is also accepted at Tesco. Using your phone in this way means you may not even need to carry a card around with you!

Does Tesco Accept £20 Coins?

Tesco made the headlines in 2021 when a man won a legal battle against the company. This happened after he was not permitted to pay using a £100 commemorative coin at a Tesco Extra fuel station.

Though commemorative coins are legal tender, staff may not recognise them and may therefore suspect they are counterfeit.

Due to this issue, it’s best to change such coins for more recognised forms of payment at a bank before trying to buy something in a store.

Do Supermarkets Accept PayPal?

Supermarkets in the UK don’t generally accept PayPal at their checkouts in-store, or when paying online. This is often because PayPal’s merchant fees tend to be high.

Can I Use PayPal at Shops in the UK?

Though PayPal itself may not be accepted when online shopping or in stores in many cases, there is a way to pay with PayPal when shopping. If you have a PayPal balance, you can simply apply for a PayPal debit card.

This uses Mastercard, so should be accepted anywhere you can pay with a Mastercard debit or credit card. Find out more on the PayPal website here.

Another Way to Pay With PayPal

An image showing a laptop with the word paypal on monitor, some coins floating toward a brown wallet in blue background

In addition to the PayPal card, there is another hack that can be used when you want to spend your PayPal balance on goods.

Many people with a regular PayPal account don’t realise that it’s easy to transfer funds from that to your bank account via their website.

Once you’ve done that, you can then use your regular bank card to pay, as usual, drawing on those PayPal funds you’ve transferred in.

What’s great is that within the UK there are currently no fees involved in doing this!

Discover more about transferring money from your PayPal account here.

Tesco Payment Methods – Final Thoughts

If you want to make payments to Tesco, there are a number of methods open to you including cash, bank cards, and smartphone payments.

When you want to use your PayPal balance for purchases, you can do one of two things. Either apply for a PayPal Mastercard debit card or transfer your PayPal funds into your bank account.

Whichever you choose, you can purchase whatever you want with that PayPal money once you’ve set up one of those two simple hacks!

Image showing a structure with word Tesco above it and text overlay that reads Tesco Payment Methods

About Tracy

Tracy is a mum from Bournemouth who loves to save money so she can travel with her daughter.