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If you have a Costco membership, the Costco Anywhere Visa® Card by Citi, an advertising partner with The Ascent, can earn you cash back on your spending at the warehouse giant. To make it even better, the card also earns bonus cash back in a variety of spending categories, giving you plenty of chances to rack up more rewards. Check out this full Costco Anywhere Visa® Card by Citi review to decide if it deserves a place in your wallet.
Excellent (740-850)
Intro APR
Purchases: N/A
Balance Transfers: N/A
Regular APR
20.49% (Variable)
Rewards 4% back on gas and EV charging ($7,000 annual spending cap), 3% back on restaurants and travel, 2% back on Costco purchases, 1% back on other purchases
1% - 4% back
Annual Fee
$0 for Costco members
Welcome Offer
N/A
Hard to beat for Costco shoppers with the lucrative rewards program and no annual fee for members. The cash back rates on gas and EV charging are among the highest you'll find.
This credit card is a good fit for: Costco shoppers who have high spending at the warehouse store and on gas.
You don't need to pay anything extra for the Costco Anywhere Visa® Card by Citi, as it has no annual fee. It probably comes as no surprise that this card earns extra cash back at Costco, but that's not the only place where it's a big earner.
The main benefit of the Costco credit card is the cash back. It earns:
If most of your spending is at Costco, going out to eat, filling up your car, and the occasional vacation, this will be one of the best credit cards you can find. And if it's a long drive to your nearest Costco warehouse, knowing you'll get 4% back on gas is a nice consolation.
That also happens to be the highest cash back rate I've seen on gas and EV charging. So if you have a long commute to work, or you just spend a lot of time on the road, you're probably going to earn lots of cash back with this card.
It's always exciting to unbox something you've been looking forward to, whether that's a new laptop, TV, or a pair of AirPods (Apple always nails the presentation). And if you're anything like me, you might immediately start worrying about dropping it and seeing all that money you spent go down the drain.
That's why I always make sure to pay for important items with a card that has purchase protection. With this Costco card, eligible purchases are covered for damage or theft for the first 120 days (90 days if you live in New York). The coverage limit is $1,000 per item and $50,000 per calendar year.
This card can also come in handy when you book travel, and not just because you'll earn 3% back. It also has a few useful travel protections:
A lot of cash back cards are better off left behind when you travel abroad, for one reason: Foreign transaction fees. The standard amount is 3%, meaning for every $1,000 you spend outside the United States, your card issuer charges you an extra $30.
Thankfully, the Costco Anywhere Visa® Card by Citi isn't one of them. It has no foreign transaction fee, so you can take it along on all your family's overseas adventures.
Just so you know, if you're a frequent traveler, you might want to get a travel credit card instead. The Costco credit card works fine, but it's not really a travel card. There are other options that could be better if you take several trips a year.
We recommend comparing options to ensure the card you're selecting is the best fit for you. To make your search easier, here's a short list of standout credit cards.
Offer | Our Rating | Welcome Offer | Rewards Program | APR | Learn More |
---|---|---|---|---|---|
Rating image, 5.00 out of 5 stars.
5.00/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best = Excellent = Good = Fair = Poor |
Discover will match all the cash back you’ve earned at the end of your first year. N/A | 1% - 5% Cashback Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases—automatically. |
Intro: Purchases: 0%, 15 months Balance Transfers: 0%, 15 months Regular: 17.24% - 28.24% Variable APR |
||
Rating image, 5.00 out of 5 stars.
5.00/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best = Excellent = Good = Fair = Poor |
Up to $300 cash back Earn an extra 1.5% on everything you buy (on up to $20,000 spent in the first year) — worth up to $300 cash back. That's 6.5% on travel purchased through Chase Travel, 4.5% on dining and drugstores, and 3% on all other purchases. | 1.5% - 5% cash back Enjoy 5% cash back on travel purchased through Chase Travel, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 1.5% on all other purchases |
Intro: 0% Intro APR on Purchases and Balance Transfers for 15 months Purchases: 0% Intro APR on Purchases, 15 months Balance Transfers: 0% Intro APR on Balance Transfers, 15 months Regular: 20.49% - 29.24% Variable |
Apply Now for Chase Freedom Unlimited®
On Chase's Secure Website. |
|
Apply Now for Chase Sapphire Preferred® Card
On Chase's Secure Website. |
Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best = Excellent = Good = Fair = Poor |
60,000 bonus points Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Travel℠. | 5x on travel purchased through Chase Travel℠, 3x on dining and 2x on all other travel purchases Enjoy benefits such as 5x on travel purchased through Chase Travel℠, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, 1x on all other purchases, $50 Annual Chase Travel Hotel Credit, plus more. |
Intro: N/A Purchases: N/A Balance Transfers: N/A Regular: 21.49%-28.49% Variable |
Apply Now for Chase Sapphire Preferred® Card
On Chase's Secure Website. |
The Costco Anywhere Visa® Card by Citi can certainly help you save money. It earns cash back and has no annual fee, after all. But there are some disappointing downsides with this card, including important perks that it doesn't offer.
This card has no sign-up bonus and no 0% intro APR offer. The lack of a 0% intro APR isn't the worst thing in the world, to be honest. Those sometimes do more harm than good by encouraging people to spend more. Still, lots of store credit cards have zero-interest offers, so it's worth mentioning.
But when a rewards credit card doesn't have a sign-up bonus, it's a red flag. Not quite as bad as someone on a dating app asking you to wire them money, but it's not a good sign.
That's because there are plenty of cards out there that give new cardholders the opportunity to earn sign-up bonuses. Even on no annual fee cards, you can find bonuses worth $200 that only require you to spend $500 to $1,000 in the first three months.
With a Costco credit card, it could take a long time to earn $200 back. You'd need to spend $10,000 at Costco to earn the same amount that some cards include as a sign-up bonus.
RELATED: The Ascent's Picks for the Best Credit Card Sign-Up Bonuses
Here's the elephant in the room with the Costco credit card: It doesn't actually earn that much at Costco. A rate of 2% on other purchases from Costco and Costco.com at its own store is the bare minimum for a store credit card. Amazon offers 5% back on Amazon spending with its Prime Visa, to give you an example of a store card that does a better job of rewarding loyal customers.
There are also other cash back cards that earn just as much at Costco. So even if you shop there often, it doesn't necessarily mean this card is the best choice.
Before you decide, check out some other credit card reviews (you'll find two good alternatives further below). See if there's another card with a cash back program that's a better fit. That could be a card with different bonus categories. Or, if you want a more all-purpose option, there are cards that earn 2% back on all your purchases.
This card's process for redeeming cash back feels like it comes out of the 1990s. You'll get your cash back once a year. After your February billing statement closes, Costco will send you a reward certificate with all the cash back you earned for the previous year. Citi and Costco may pick another way to issue your cash back if it's over $10,000.
Some cardholders like getting their cash back in a big lump sum, instead of redeeming $15 to $20 here and there. But you can do that with other cash back cards, if you want. They just also give you the option of using your cash back without needing to wait a year first.
What makes this even worse is that you lose all your cash back if your card is canceled before Costco sends you the reward certificate. Even if you aren't using your Costco credit card anymore, you need to keep it open until you at at least receive your cash back.
TIP
You can earn 2% back on purchases by becoming a Gold Star Executive Costco member. You'll still earn the 2% base rate this card offers, meaning a total of 4% back on regular purchases and 5% back on Costco Travel.
Compare credit card rewards, fees, APRs, and more using our side-by-side comparison tool.
The recommended credit score to apply for the Costco Anywhere Visa® Card by Citi is 720 or higher. This credit card is intended for shoppers with excellent credit. You will also need to be a Costco member and provide your membership number when you apply.
You do most of your shopping at Costco or if you drive often and spend a lot of money on gas/EV charging. It can be especially valuable for those families who ring up big Costco bills and want to start getting rewarded for it. And if you have a Costco Executive membership, you should absolutely get the Costco Anywhere Visa® Card by Citi to boost your cash back.
If you shop at a variety of different retailers or if you want cash back you can redeem any time, then you're better off checking out these top cash back cards.
At The Motley Fool Ascent, we rate credit cards on a five-star scale (1 = poor, 5 = best). Our rating criteria includes rewards rates, welcome bonuses, fees, and perks like travel credits and 0% intro APR offers to evaluate our ratings.
We combine these factors with an evaluation of brand reputation and customer satisfaction to ensure you're getting the best card recommendations. Learn more about how The Ascent rates credit cards.
The minimum credit limit for the Costco Anywhere Visa® Card by Citi is $500, but it's possible to receive a much higher limit depending on your creditworthiness. Some cardholders have reported limits of more than $25,000 with this credit card.
You can use the Costco Anywhere Visa® Card by Citi anywhere Visa is accepted.
Yes, the Costco Anywhere Visa® Card by Citi can help you build credit. Citi, the card issuer, reports card activity to all three consumer credit bureaus. When you use the card regularly -- and consistently pay the bill on time -- it can boost your credit score.
Our Credit Cards Experts
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.
The Motley Fool owns shares of and recommends Visa.