Try to use in the cart(shopping bag) screen, not in the payment screens. I had to do a few times, but got to work. Also stacked with free shipping over $75
A few weeks ago I purchased some personalized blankets for about 50% off with free shipping. The discount code wasn't working so I used the chat feature to speak with customer service. She said that they were having trouble and she had to correct the price manually.
If the code isn't working just give them a call or use the online chat.
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