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Jun 13, 2013 6:30 AM in response to kimmy999by norm123,Hey Kimmy,
Yes, the gift card balanced is used first before the card associated with the Apple ID.
iTunes Store: How iTunes Store purchases are billed
http://support.apple.com/kb/HT5582
Order of iTunes billing methods
When making purchases, content credits are used first, followed by Gift Certificate, iTunes Card, or Allowance Account credits; your credit card or PayPal account is then charged for any remaining balance.
Thanks for using Apple Support Communities.
Regards,
-Norm G.
