Why is iTunes asking me to provide payment information?

About a month ago, I did have to enter a credit card number in order to purchase more storage for iCloud, but never deleted my iTunes gift card (I prefer to only use iTunes gift cards to purchase apps/music). Now, I am trying to purchase music and it asks me to update my credit card information, even though I took off the Credit card that I had to use to buy more storage. Now, I do not have any payment option selected (master card, discover, etc.). Is my iTunes gift card gone? If so, does that mean that the balance that I had on there is gone too, as it won't let me purchase anything and brings up a window that says a Credit Card will be charged?

You can't delete an gift card from an account, it can only be used - it's possible that it was used up by your iCloud purchase. My account's balance shows at the top left of the store's page on my computer's iTunes, and by logging in to view my account via the Store > View Account menu option - if your balance is 0 then you might not see a balance shown.
If you want to download paid-for content then you will either need a balance or a credit card on your account.

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