The Costco credit card is a rewards card that gives you cash back on Costco purchases and everyday spending, but it requires a Costco membership to use
Costco offers two versions of its credit card through Visa: the Costco Anywhere Visa Card for Costco members, and the Costco Anywhere Visa Card for non-members. The member version gives you higher cash back rates on Costco purchases and gas, while the non-member version offers lower rewards but no membership requirement. Both cards charge an annual fee, and both earn cash back that posts as an annual reward certificate you can spend at Costco or redeem for a statement credit.
The card is issued by Citi, not Costco directly. You explore through Citi's website or in-warehouse, and approval decisions come back within minutes for most applicants. The card works like any other Visa outside Costco, but inside the warehouse it's the only credit card Costco accepts — the warehouse does not take American Express, Discover, or Mastercard.
Key Takeaways
- The Costco member card earns 2% cash back on Costco purchases and gas, 1% everywhere else, and costs $65 per year (or $130 for the premium version with higher limits).
- Cash back arrives as an annual certificate mailed to you, not as points you can redeem anytime — you must spend it at Costco or convert it to a statement credit.
- You must have an active Costco membership to hold the member version of the card; if your membership lapses, Citi may close the card.
- The card's main advantage is that it's the only credit card accepted at Costco warehouses, so if you want to use a rewards card there, this is your only option.
- The annual fee is charged on your first statement and every 12 months after, regardless of how much you spend.
Rewards structure and how cash back works
The Costco Anywhere Visa Card for members earns 2% cash back on all Costco purchases (in-warehouse and online), 2% on gas at any station for the first $50 per month (then 1%), and 1% on all other purchases. The premium version, called the Costco Anywhere Visa Card for members Executive, earns the same rates but comes with a higher annual fee and higher credit limits.
Cash back does not accumulate in a points account. Instead, Citi calculates your total rewards once per year and mails you a certificate good for that amount. You can spend the certificate at any Costco warehouse or on Costco.com, or you can call Citi to convert it to a statement credit on your card. The certificate is valid for one year from the date issued. If you do not use it within that year, it expires and you lose the value.
Because the reward comes once yearly rather than in real time, you cannot track your balance the way you would with a points-based card. You receive one statement showing your annual total, and that is your only notification of how much you earned.
Annual fees and whether the card pays for itself
The standard Costco Anywhere Visa Card costs $65 per year. The Executive version costs $130 per year. Both fees are charged to your card on your first statement and then annually on the anniversary of your account opening. You pay the fee even if you never use the card.
To break even on the $65 annual fee with the standard card, you need to earn $65 in cash back per year. At 2% on Costco purchases, that means spending $3,250 at Costco annually, or about $270 per month. At 1% on other purchases, you would need $6,500 in non-Costco spending. Most households that shop at Costco regularly hit the $3,250 threshold, which is why the card often makes financial sense for members who already pay for a Costco membership.
The Executive version's $130 fee is harder to justify unless you spend significantly more. You would need roughly $6,500 in annual Costco spending to earn $130 back, or $13,000 in other spending. The Executive card also comes with a $60 annual Costco Shop Card (a certificate), which reduces the net cost to $70, but you still need higher spending to come out ahead.
Costco membership requirement and card restrictions
You must have an active Costco Gold Star membership (the standard tier) or higher to hold the member version of the card. If your membership expires and you do not renew it, Citi may close your card account. This is different from most credit cards, which do not depend on membership in any organization.
The card can only be used at Costco warehouses and on Costco.com. You cannot use it at other retailers. Outside Costco, the card functions as a regular Visa and works everywhere Visa is accepted, but Costco does not accept it in their pharmacies, gas stations, or tire centers if those are operated as separate entities in your warehouse.
Costco limits the number of cards you can hold. You can have one primary cardholder and up to two supplementary cardholders (household members), but you cannot open multiple accounts. Each supplementary cardholder receives their own card and their own rewards are combined into one annual certificate.
How the Costco card compares to other warehouse rewards cards
Sam's Club offers a Mastercard that earns 5% cash back on gas and 2% at Sam's Club, but it requires a Sam's Club membership and costs $110 per year. BJ's Wholesale offers a Mastercard with 5% cash back on gas and 2% at BJ's, costing $55 per year. Neither of these cards is required to shop at their warehouse — they are optional add-ons.
The Costco card is unique because it is the only credit card accepted at Costco warehouses. If you want to use a rewards credit card at Costco, you have no other choice. This makes the card's value less about comparing rewards rates and more about whether the 2% cash back on Costco purchases justifies the $65 annual fee for you personally.
Outside Costco, the 1% cash back on other purchases is lower than many general-purpose rewards cards, which offer 1.5% to 2% on all purchases. The Costco card is best used primarily for Costco shopping, not as your everyday card.
Credit requirements and approval process
Citi does not publish a minimum credit score for the Costco card, but approval typically requires good to excellent credit (usually 670 or higher). You can explore online at Citi's website, through Costco's website, or in-warehouse at a membership desk. Online applications usually receive a decision within minutes.
If you are approved, your card arrives by mail within 7 to 10 business days. You can request expedited shipping in some cases. If you are denied, Citi will mail you a notice explaining the reason. You can call Citi's reconsideration line to discuss a denial, though this does not may provide approval.
The card pull a hard inquiry on your credit report, which temporarily lowers your credit score by a few points. This inquiry stays on your report for about 12 months but stops affecting your score after a few months.
Frequently Asked Questions
What happens to my cash back if I cancel the card?
Your annual reward certificate is mailed to you once per year, regardless of whether you keep the card open. If you cancel before your certificate arrives, you will still receive it by mail. If you cancel after receiving it, the certificate remains valid for one year from the issue date.
Can I use the card outside the United States?
Yes, the Costco Anywhere Visa Card works internationally wherever Visa is accepted. Citi charges a 3% foreign transaction fee on purchases made outside the US. You can use the card at Costco warehouses in Canada and Mexico, though rewards rates may differ.
Do I have to renew my Costco membership to keep the card?
Yes. If your Costco membership expires, Citi may close your card account. You should renew your membership before it lapses if you want to keep the card active. Renewing your membership does not automatically renew your card — they are separate accounts.
Can I get the card without a Costco membership?
Costco offers a non-member version of the Anywhere Visa Card that earns 1% cash back on all purchases and costs $99 per year. This version works outside Costco like any other Visa, but you cannot use it inside Costco warehouses unless you also buy a membership.
How do I convert my reward certificate to a statement credit?
Call Citi's customer service number on the back of your card and request a statement credit. Citi will convert your certificate balance to a credit on your account. This is useful if you do not shop at Costco frequently enough to spend the full certificate before it expires.