Costco accepts credit cards, but only certain ones — and the rules depend on whether you shop in-warehouse or online
Costco takes Visa, Mastercard, American Express, and Discover at warehouse locations and online. Diners Club is also accepted at some warehouses. The catch: Costco has a long-standing agreement with Visa that gives Visa cardholders certain protections, and historically Costco has limited which cards it accepts. If you hold an American Express card, you can use it at Costco, but Costco does not issue its own American Express card anymore — that partnership ended in 2015.
Cash, debit cards, and Costco's own Costco Cash card (a prepaid card you load with money) also work everywhere. If you want to use a credit card and earn rewards, your best option is a Visa card, since Costco's own rewards program — the Costco Anywhere Visa Card — is Visa-only.
Key Takeaways
- Costco warehouses accept Visa, Mastercard, American Express, and Discover; online shopping accepts all four plus Diners Club at some locations.
- The Costco Anywhere Visa Card is Costco's branded rewards card and earns cash back on Costco purchases, but you must have a Costco membership to use it.
- Costco does not accept American Express as its co-branded card anymore, though you can still use a personal American Express card to pay.
- If you do not have a credit card accepted at Costco, you can pay with cash, a debit card, or a Costco Cash prepaid card.
What credit cards Costco accepts at the warehouse
At Costco warehouse locations, you can use Visa, Mastercard, American Express, and Discover. Diners Club is accepted at some warehouses but not all. Costco does not accept store credit cards from other retailers, and it does not accept PayPal or other digital wallets at the register — though some Costco locations may accept mobile payments through Apple Pay or Google Pay if they are linked to an accepted card.
The warehouse also accepts cash and debit cards (including PIN debit and signature debit). If you have a Costco membership, you can load money onto a Costco Cash card and use that instead. Costco does not accept personal checks anymore.
Credit cards that work online at Costco.com
Costco's website accepts Visa, Mastercard, American Express, and Discover. Some regions also accept Diners Club online. You can also pay with a debit card, Costco Cash card, or a gift card.
Online orders require a valid Costco membership. If you are a member, you can save payment methods to your account so you do not have to enter card details every time. Costco does not store full card numbers — it uses tokenization, which means your card information is replaced with a find code.
The Costco Anywhere Visa Card and how it earns rewards
The Costco Anywhere Visa Card is Costco's branded credit card and is issued by Citi. It earns cash back on Costco purchases: 4% on gas (up to $7,000 per year, then 1%), 3% on travel booked through Costco Travel, 2% on Costco purchases, and 1% on all other purchases. You do not pay an annual fee.
To get this card, you must have an active Costco membership. The card itself is a Visa, so it works anywhere Visa is accepted, not just at Costco. If your membership lapses, you can still use the card outside Costco, but you lose the rewards rates and the card will eventually expire.
Costco used to issue an American Express card, but that partnership ended in 2015. If you have an older Costco American Express card, it no longer works at Costco warehouses, though you may still be able to use it elsewhere if the card itself has not expired.
Why Costco limits which cards it accepts
Costco has a long-standing agreement with Visa that shapes which cards the warehouse accepts. This agreement gives Visa cardholders certain fraud protections and dispute resolution rights. In exchange, Costco limits acceptance of other card networks in ways that favor Visa.
Costco's reasoning is partly about cost: credit card processing fees vary by card type and network. By narrowing the cards it accepts, Costco can negotiate lower fees with the networks it does accept. Those savings are passed along to members through lower prices and better rewards on the Costco Visa card.
What to do if your credit card is not accepted at Costco
If you have a credit card that Costco does not accept — for example, a store card from another retailer or a regional card — you have several options. You can pay with cash, a debit card, or a Costco Cash prepaid card. You can also open a Costco Anywhere Visa Card if you have a membership.
If you shop at Costco regularly and want to earn rewards, the Costco Visa card is the only rewards card Costco offers. Other Visa cards may earn rewards at Costco, but they will not earn as much as the Costco Anywhere Visa Card does on Costco purchases.
Costco Cash cards and other payment methods
A Costco Cash card is a prepaid card you load with money at the warehouse or online. You can use it anywhere Costco accepts payment. It does not earn rewards and does not require a credit check. If you prefer not to use a credit card or do not have one, Costco Cash is a straightforward alternative.
Costco also accepts Costco gift cards, which work the same way as Costco Cash but are typically given as gifts. Both can be used at the warehouse and online. If you lose a Costco Cash or gift card, Costco can replace it if you have the receipt or if the card is registered to your membership account.
Frequently Asked Questions
Can I use my American Express card at Costco?
Yes, you can use a personal American Express card to pay at Costco warehouses and online. Costco no longer issues its own American Express card — that ended in 2015 — but it still accepts American Express as a payment method. If you want rewards on Costco purchases, the Costco Anywhere Visa Card earns more cash back than most American Express cards.
Do I need a Costco membership to use a credit card there?
Yes, you need an active Costco membership to shop at the warehouse and use any payment method, including credit cards. Online shopping at Costco.com also requires a membership. The membership fee varies by membership tier and location.
Can I use Apple Pay or Google Pay at Costco?
Some Costco locations accept Apple Pay and Google Pay if they are linked to an accepted card (Visa, Mastercard, American Express, or Discover). However, not all warehouses have this capability yet. Call your local Costco or check the Costco website to see if your warehouse accepts mobile payments.
What happens if I try to use a card Costco does not accept?
The card will be declined at the register. You will need to pay with a different method: cash, a debit card, Costco Cash, a gift card, or an accepted credit card. There is no way to override a declined card at Costco.
Does the Costco Visa card work outside of Costco?
Yes, the Costco Anywhere Visa Card is a Visa card and works anywhere Visa is accepted. However, you only earn the higher rewards rates (4% on gas, 3% on travel, 2% on Costco purchases) when you use it at Costco or Costco Travel. Outside Costco, you earn 1% cash back on all purchases.