What credit cards does Costco accept?

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Costco is a members-only warehouse club with a large loyal following of 110 million members. To shop in the store, you will have to pay an annual fee of $60 or $120 to register. Costco members often jokingly remark that they went for a handful of items and walked away with hundreds of dollars worth of items they didn’t know they needed.

Costco is more than just a store for buying food and household items – the warehouse club also sells furniture, sporting goods, clothing, and more. There is a pharmacy and tire sales/installation section as well as a gas station. Home Services such as solar installation and kitchen renovations are also available. And then there’s alcohol. Costco is one of the largest wine retailers

Worldwide, selling affordable bottles of wine as well as premium rare vintages. With all the options and conveniences Costco offers its members, it’s surprising how limited the retailer is when it comes to credit cards. Having a credit card ready to pay for any unexpected finds at the store is a good idea, but you better make sure it’s a Visa — Costco doesn’t accept any other credit cards.

Before Visa was Costco’s accepted card, members could pay exclusively with American Express. However, the two went their separate ways, going their separate ways in March 2016, with Visa stepping in. If you’re a regular Costco shopper, choosing the right Visa credit card could help you earn rewards faster. The following cards would make good company for the Costco membership card in your wallet.

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Costco Anywhere Visa®Card by Citi

The best Visa to use at the Warehouse Club is the Costco Anywhere Visa®By Citi, designed exclusively for members.

Avid Costco shoppers looking for seamless integration between membership, rewards, and spending will appreciate the flexibility of the Costco Anywhere VIsa® Card by Citi. There is no annual fee and the variable APR is 15.24%. However, a Costco membership of at least $60 per year and a good credit rating are required to be approved.

Although it is a branded credit card, you can use it for purchases anywhere, as the name suggests. You will earn rewards regardless of where the purchases come from. You could earn more spending outside of Costco than at the store, especially if you fill up frequently – gas purchases earn the highest rewards. You will win:

• Four percent back on qualifying gas purchases for the first $7,000 in purchases per year
• One percent on all other gas purchases over the $7,000 threshold
• Three percent off eligible dining and travel
• Two percent cash back for Costco warehouse and Costco.com purchases
• One percent back on everything else

Favorable opinion:

• Earn cashback on all your purchases, redeemable at Costco
• No annual fees
• Up to 4% cashback
• Can be used in stores outside of Costco
• Available as personal and business card

To cheat:

• Rewards are only available once a year
• Rewards can only be redeemed in person at Costco

View now at Costco Anywhere Visa®Card by Citi

Chase Freedom Unlimited

You will not reach spending limits to earn rewards when using the Chase Freedom Unlimited®Visa.

Chase has several visas that are accepted at Costco. Frequent shoppers could get the most out of their spending by using the Chase Freedom Unlimited®. There’s no annual fee, which is helpful considering a Costco membership is $60 or $120. Additionally, you can earn 5% on travel (through the Pursue Ultimate Rewards website), 3% on drugstore or restaurant purchases, and 1.5% on all other purchases. Best of all, there’s no limit on the amount of cashback you can earn.

The card has a variable APR of 14.99% to 23.74%, depending on your credit. It comes with some introductory features that make it appealing like no interest on purchases in the first 15 months, a $200 cash back bonus when you spend at least $500 in the first three months, and 5% cashback on grocery purchases in the first year ( except for Walmart and Target) For up to $12,000. The interest-free period will be useful for paying for larger Costco purchases such as furniture, electronics, or appliances.

Favorable opinion:

• No annual fees
• Interest-free introductory period on purchases for the first 15 months
• Earn 1.5% cashback at Costco.
• The $200 sign-up bonus only requires spending $500 in the first three months.

To cheat:

• The Warehouse-Club bonus category does not come up often

See now at Chase Freedom Unlimited

Wells Fargo Active Payment Card

Double the 2% cashback you would earn as a Costco Executive Member when you spend using the Wells Fargo Active Cash℠ Card.

For another Visa option with no annual fee, the Wells Fargo Active Cash℠ card makes earning rewards simple by offering an unlimited rate of 2% on all card purchases. You can redeem the rewards you earn in several ways. Withdraw them in cash at an ATM, use the balance for purchases, buy gift cards, and more.

The Active Cash℠ card is part of the premium Visa Signature program, which offers additional benefits to cardholders. You will have access to benefits at Select Luxury Hotels

. A concierge service is also available 24/7 to help you book travel, entertainment, and restaurants. The card has an APR based on your creditworthiness of 14.99%, 19.99%, or 24.99%. However, a 15-month interest-free sign-up bonus also applies to balance transfers made within the first six months. Additionally, you can earn a $200 bonus after spending $1,000 within the first 120 days of approval. Favorable opinion:

• The 2% rewards bonus applies to all purchases.
• You can match the rewards earnings you would get at Costco as an Executive Member.
• Premium rewards card with no annual fee
• Interest-free introductory period on purchases for the first 15 months
• Pay no interest for 15 months on balance transfers made in the first 120 days.

To cheat:

• No dedicated bonuses or perks available for Costco
• Requires a very good credit rating to qualify

See now at Wells Fargo Active Cash Card

U.S. Bank Cash Visa Signature Card

You can choose two categories to earn 5% cashback every quarter.

US Bank Cash+™Signature Visa®Card lets you choose a few categories each quarter to earn 5%. It’s a great option when you plan to spend more on certain items. Categories Include furniture, electronics, sporting goods, some clothing, and department stores, as well as utilities, streaming, and internet services. Earn 2% cashback on groceries, gas, and dining expenses or 1% on everything else. Using the card at Costco can only earn 1% cashback, but refueling earns you 2%.

There is no annual fee to carry the Cash™And you can receive $150 in bonus rewards if you spend $500 within 90 days of approval. Additionally, balance transfers get an introductory APR of 0% for the first 12 months, which will revert to the standard variable APR of 13.99% to 23.99%.

Favorable opinion:

• Accelerate your rewards earning potential with 5% cashback on two categories of your choice each quarter.
• Gas purchases at Costco and other gas stations earn a 2% reward.
• $150 bonus cash
• No annual fees
• Interest-free balance transfers for the first 12 months

To cheat:

• Costco spends only returns 1% to 2%
• Redemption limited to statement credits, wire transfer, or rewards card

View now at US Bank

Bank of America Premium Rewards Credit Card

Earn unlimited rewards that can be redeemed for travel or cash with no expiration date.

The Bank of America® Premium Rewards® Credit Card may be one of the most flexible Rewards Visa Cards available. You can earn two points for every dollar spent on travel or dining. Plus, cardholders can earn 2X on grocery purchases through the end of the year. All other purchases accumulate at 1.5 points for every dollar spent. If you are approved for the card, you can receive 50,000 bonus points worth $500 after spending $3,000 within the first 90 days of approval.

There is a $95 annual fee for cardholders. However, the annual fee can be offset by the $100 in credits you’ll receive each year for travel-related purchases. Plus, you’ll get an additional $100 every four years for TSA Pre✓® or Global Entry application fees. Interest ranges between 15.99% and 22.99% APR with no introductory rate available to new cardholders. Cash-out your rewards by applying the amount you choose to a statement balance, transferring to a Bank of America checking or savings account, choosing a gift card, or redeeming for travel through the Bank of America Travel Center.

Favorable opinion:

• Redeem points for travel or cashback
• 2X rewards on travel, dining, and groceries, 1.5X rewards on all other purchases
• $100 annual travel credit

To cheat: 

• Annual fee is $95
• Travel must be booked through the Bank of America Travel Center
• No April presentation

See now at Bank of America

How did we choose these products?

For starters, Costco only accepts Visa as a credit card payment method. The policy excludes all MasterCard, Discover, and American Express cards. To select the best Visa credit cards, we looked at more than two dozen options and compared fees, available rewards, and special features.

The selected cards provided the best combination of factors. Some of the larger credit card providers such as Chase offer several rewards cards, all of which come with attractive features. To give you a variety of options from different financial institutions, we’ve chosen the “best” credit card by issuing a bank based on the highest potential for earning rewards.

Which is right for you?

When deciding which type of Visa would best complete your checkout journey at Costco, there are several things to consider. Credit rating plays a big role in the type of card you would be approved for. Premium Visa credit cards with travel benefits and concierge service often require very good to excellent credit. However, some rewards cards allow you to earn miles and cash rewards with fair credit.

Think about the expenses you plan to incur at Costco (and in general). Is an annual fee worth it? Unless you plan to regularly use the associated rewards, such as free travel redemptions, choosing a card with no annual fee may be the wisest choice. Otherwise, rewards earnings could be eaten up by annual fees.

Finally, if you’re looking for a credit card just to make payments at Costco, you might want to apply for the Costco Anywhere® Visa By Citi. It’s the only branded Costco card, integrated with warehouse club purchases. Rewards can be redeemed exclusively at Costco and you’ll earn 2% cashback for in-store purchases plus 4% cashback for gas (up to $7,000).

However, keep in mind that this card is best for the Costco long-hauler. It’s only available if you’re a Costco member, which requires paying an annual fee of $60 or $120. Although you can still use the card for purchases if you cancel your membership, you would lose rewards because they can only be redeemed for in-store Costco purchases.

Are there other options to consider?

Costco accepts various forms of payment in addition to a Visa credit card. If you’d rather avoid credit, you can always use cash or buy the Costco Store Card, a prepaid gift card available for amounts between $25 and $2,000. Store cards are reloadable and don’t expire, so you can use them for gas, food court, and shopping whenever you need them.

Non-members use Costco Shop Cards as a hack to bypass the annual fee. If you know someone who is a Costco member, they can purchase a Costco Shop card on your behalf for a selected amount. Costco warehouses allow non-members to shop at the club and pay for items using the Shop Card – without having a membership.

If you don’t have a Visa credit card, you can also use a Visa debit card to pay for purchases and gas at the warehouse. Other ways to pay at Costco are:

• Cash
• Checks (personal and business checks are accepted)
• EBT Cards
• Mobile payments (Apple Pay, Google Pay, and Samsung Pay with a Visa)
• Traveler’s checks

Can anyone shop at Costco?

Only warehouse members can shop at Costco. However, non-members can enter the warehouse if accompanied by someone with a membership card. A possible workaround for accessing Costco without a membership is to purchase with a Costco Shop Card, the equivalent of a branded gift card. While only members can purchase store cards, someone who has one can enter the store and purchase merchandise with it.

How much does a Costco membership cost?

There are two types of Costco subscriptions available. Gold Star is the basic membership for $60 per year. Gold Star Executive for $120 per year is also available. Once a year, Gold Star Executive members receive 2% cashback on their annual spending in the form of a rebate check that can be used to renew their membership or pay for merchandise.

Do you need to be a Costco member to get the Costco Anywhere visa?

The Costco Anywhere® Visa Card rewards can only be redeemed in person at a Costco store. You will first need to be a member before you can qualify. The card can be used for purchases anywhere, even if you have canceled your Costco membership. However, any rewards you have earned must be redeemed in person at Costco. Therefore, the credit card is not worth having if you are not a member if you plan to cash out the earned rewards.

What credit cards does Costco accept online?

Costco is more flexible online than in-store. You may only be allowed to use a Visa at the warehouse, but you can pay with Visa, Mastercard, or Discover at Costco.com.