Let me clarify some confusion some people may have-
these codes are from the LG Netflix promo
WHat happens is that when you redeem the code, about $94 of credit gets added to your netflix account. So every month, $7.99 will be deducted from that gift credit not your payment method (paypal, credit card, etc.). This gift credit added to your account may be beneficial as it may allow you to not make the 12 month period continuous. If you think you won't be using netflix for the next month you can cancel and then start the membership again and continue using the credit in your account. IM NOT SURE IF THIS IS ACCURATE THOUGH. Im just basing this on logic.
To check your gift credit in your account go to your account page on netflix and then click "change plan" under the streaming section. and then there is small link on that page that says "see plan details" you should then be able to see your gift credit amount. hopefully that clears some stuff up.