Costco accepts most credit cards, but not all of them
Costco takes Visa, Mastercard, American Express, and Discover at the warehouse and online. It does not take Diners Club or any store-branded credit cards. The one exception is the Costco Anywhere Visa card, which is Costco's own card and works everywhere Visa is accepted — including at Costco.
This matters because Costco used to accept only American Express. That changed in 2016. If you have an older American Express card from before that year, it still works at Costco, but newer American Express cards issued after 2016 do not work there unless they are the Costco Anywhere Visa card.
Costco also accepts cash, debit cards, checks, and EBT (food stamps) at the warehouse. Online, you can pay with credit card, debit card, or PayPal. Mobile wallet payments like Apple Pay and Google Pay work at the warehouse if your card is linked to one of the accepted networks.
Key Takeaways
- Visa, Mastercard, American Express, and Discover all work at Costco warehouses and online.
- Diners Club and store credit cards are not accepted, even if they carry a Visa or Mastercard logo.
- The Costco Anywhere Visa card is the only Costco-branded card accepted, and it earns rewards on Costco purchases.
- At the warehouse, you can also pay with cash, debit, checks, or EBT; online you can use PayPal in addition to credit and debit cards.
Why Costco limits which cards it takes
Costco negotiates directly with card networks rather than accepting every card that exists. This lets Costco control which fees it pays and what rewards cardholders earn on Costco purchases. When Costco switched from American Express to Visa in 2016, it was partly because Visa offered better terms for the warehouse.
The Costco Anywhere Visa card is different because Costco issues it itself through a bank partner. Costco controls the rewards structure and the fees, so it benefits directly when members use this card. That is why Costco pushes it — the card earns 2% cash back on Costco purchases (and gas at Costco pumps), 1% on other purchases, and Costco keeps a portion of the revenue.
Store credit cards and Diners Club do not fit Costco's payment strategy. Diners Club has a smaller network and higher fees. Store cards are issued by third-party lenders and Costco does not want to manage that relationship at checkout.
What happens if you try to use a card Costco doesn't accept
Your card will be declined at the register or during online checkout. The cashier or system will tell you it is not accepted. You will need to use a different payment method — another credit card, debit card, cash, or check.
This is different from a card being declined because of fraud or insufficient funds. A Costco decline happens because the card network itself is not in Costco's system. There is no way around it except to use a different card.
The Costco Anywhere Visa card and rewards
The Costco Anywhere Visa card earns 2% cash back on Costco purchases and gas at Costco pumps, 1% on all other purchases, and 1% on travel booked through Costco Travel. You need a Costco membership to get the card, and the card itself has no annual fee.
The cash back is paid as an annual reward certificate that you can use at Costco or redeem for a deposit to your bank account. The certificate arrives in the mail once a year, usually in February or March. You have one year to use it or it expires.
If you do not have a Costco membership, you cannot get this card. If you have a membership but do not want the card, any Visa card works at Costco — you just will not earn the 2% reward.
Debit cards and other payment methods at Costco
Costco accepts debit cards from any bank, as long as they carry a Visa or Mastercard logo. Debit cards without a network logo (some small credit unions issue these) will not work. If you are unsure whether your debit card has a logo, check the front or ask your bank.
At the warehouse, you can also pay with cash, personal checks, or EBT cards for may be able to access food items. Costco does not accept checks online. If you pay by check at the warehouse, bring a valid ID — Costco will write the check number on your receipt.
Mobile wallets like Apple Pay, Google Pay, and Samsung Pay work at Costco if the card linked to them is one Costco accepts. For example, if you link a Visa to Apple Pay, you can use Apple Pay at Costco. If you link an American Express issued after 2016, it will be declined even through Apple Pay.
International cards and traveling with Costco
If you are traveling outside the United States, check with your bank before you go. Most Visa and Mastercard debit and credit cards issued by U.S. banks work at Costco warehouses in other countries, but some banks block international transactions by default. A quick call to your bank can turn it on.
Costco warehouses exist in Canada, Mexico, Japan, South Korea, Taiwan, the United Kingdom, and Iceland. The payment rules are the same — Visa, Mastercard, American Express, and Discover work. The Costco Anywhere Visa card works internationally because it is a Visa.
If you are a Costco member in another country, you may have a different co-branded card. For example, Costco Canada members can get a Mastercard. Check your local Costco website to see what card options are available in your country.
Frequently Asked Questions
Can I use an American Express card at Costco?
Only if it is the Costco Anywhere Visa card or an older American Express issued before 2016. American Express cards issued after 2016 are not accepted. If you have an older Amex and want to keep using it at Costco, it will continue to work, but Costco no longer issues new American Express cards.
Does Costco take Discover?
Yes. Discover cards work at Costco warehouses and online. You do not earn extra rewards through Costco for using Discover, but your Discover card's own rewards program still applies to the purchase.
What if my credit card has a Visa logo but Costco won't take it?
Some cards carry a Visa logo but are not Visa credit cards — they might be store cards or cards from outside the U.S. that Costco's system does not recognize. Call your card issuer to confirm it is a standard Visa card. If it is, contact Costco customer service to report the problem.
Can I use PayPal at Costco warehouse locations?
PayPal works online at Costco.com, but not at warehouse checkout. At the warehouse, you must use a credit card, debit card, cash, check, or EBT. Mobile wallets like Apple Pay work if your linked card is accepted.
Do I need a Costco membership to use the Costco Anywhere Visa card?
Yes. You must have an active Costco membership to open the card. If your membership expires, you can keep the card and use it outside Costco, but you cannot use it at Costco warehouses until you renew your membership.