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I am using USA App Store and when I created my Apple Id last year, I chose the "None" Payment option and since then there was no problem when downloading new apps.

Recently, I purchased a gift card to buy a non-free app. I did redeem the gift card and my balance increased properly but when I went to download the app to pay for it, a pop-up message said "Verification Required" and forced me to choose payment method. The only methods available are Credit/Debit Card and Paypal. There is no "None" option to choose and I got stuck here and cannot download my desired app.

I have no overdue payments, no subscriptions, and do not use Family Sharing.

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Apple has decided that when certain requirements are met, they do not offer the "none" option. Apparently these are at least the following points:

  1. Family Sharing
  2. payments are due
  3. using services with subscriptions fee
  4. When you use iTunes or App Store for the first time, you must provide a payment method, that you can later remove
  5. When you change your country/region
  6. You location does not match your details

So in quite some cases you will have to provide a payment method as e.g. credit card details.

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