Due to the new update, PayPal has now been added as a feature to XBL. With paypal you can With Paypal on Xbox you can buy the following Microsoft Points Xbox Live Gold Membership Downloadable content for different games Avatar Items To Use paypal on the Xbox, first your going to want to go to Spoiler http://www.xbox.com/paypal It should take you to your account payment options like so now your going to go to "Pay with Paypal" Next, your going to want to check off this circle Now, in the agreement box type in your first name, and "Account" after like so Sign into your paypal, and if your afraid of what's going to happen here is Paypals instructions Now you can click agree and it should direct you to Xbox.com again. Review your billing agreements and what not, and click next Now you are done, congratulations you have added Paypal to your payment options Now, when you go to buy something on XBL you can choose "Pay with paypal account" to pay for your content