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On Tuesday, Blockbuster declared that they’re grouping up with PayPal. This will grant Blockbuster users a new mode of payment on buying stuff from its site. Blockbuster is considered to be world leaders in providing rental home entertainment. On the other hand, PayPal provides an easy and safe way to make transaction online i.e. either pay or get paid.

Under the agreement, users will be able to use their PayPal accounts in order to make payment for online movie rental subscriptions. Blockbuster is expected to launch their downloading service for movie rentals and purchases later this summer. It will allow users to download rentable stuff but I think it won’t be that successful as downloading is a time taking and (in some cases) a hectic job.

Ultimately Blockbuster look forward to make PayPal vacant for use, to buy other stuff from the website, from gift cards to new/used DVDs. To make this all successful, Blockbuster is offering a $10 cash back into the PayPal account of those customers who will sign up for its new online rental subscription. Now this is a smart move and I think its going to work.