Costco accepts Visa cards, and almost nothing else
Costco takes Visa credit cards and Visa debit cards. That is the rule. American Express, Mastercard, and Discover cards will not work at Costco warehouses or on Costco.com, even if you have a membership.
This was not always the case. Costco switched from American Express to Visa in 2016 after their contract ended. The change affected every Costco location worldwide. If you have an older Costco American Express card in a drawer, it stopped working that year.
The one exception is the Costco Anywhere Visa card, which Costco issues itself through Citi. If you hold this card, you earn rewards on Costco purchases and can use it anywhere Visa is accepted. But you do not have to own this card to shop at Costco — a regular Visa from any bank works just as well inside the warehouse.
Key Takeaways
- Costco warehouses and Costco.com accept Visa credit and debit cards only; American Express, Mastercard, and Discover will not work.
- The Costco Anywhere Visa card earns rewards on Costco purchases and can be used outside Costco, but it is optional — any Visa card works inside the warehouse.
- Costco accepts cash, checks, and debit cards at the register, so you do not need a credit card to shop there.
- Gas stations at Costco locations accept only Visa cards and the Costco Anywhere card, with the same restrictions as the warehouse.
What payment methods work at Costco besides Visa
You can pay with cash or a personal check at any Costco warehouse. Debit cards work if they carry the Visa logo. PIN pads at checkout accept both credit and debit transactions, so you can run a Visa debit card as credit if you prefer.
Costco does not accept payment through Apple Pay, Google Pay, or other digital wallets, even if your phone is linked to a Visa card. You must present a physical card or cash. This applies to both warehouse shopping and online orders.
For online orders on Costco.com, you can use any Visa card — credit or debit — or pay by bank transfer if you set up an account. You cannot use a digital wallet for online purchases either.
The Costco Anywhere Visa card and its rewards structure
The Costco Anywhere Visa card is issued by Citi and earns cash back on Costco purchases. The current rate is 2% back on Costco warehouse purchases and Costco.com orders, 1% back on gas at Costco, and 1% back on all other purchases. These rates can change, so check Citi's website for the current offer.
There is an annual membership fee to hold this card — currently $59 for the standard version and $119 for the Executive version. The Executive version earns higher rewards on Costco purchases and includes additional benefits like travel insurance. You do not need the card to have a Costco membership; the card fee is separate from your warehouse membership fee.
The card works anywhere Visa is accepted, not just at Costco. This makes it useful if you want a single card that earns rewards at Costco and functions as a regular credit card elsewhere. However, if you rarely shop at Costco or do not want to pay the annual fee, a regular Visa from your bank works identically inside the warehouse.
Why Costco switched from American Express to Visa
Costco and American Express ended their exclusive partnership in 2016 because the two companies could not agree on contract terms. American Express wanted higher fees from Costco; Costco wanted lower costs. Rather than pay more, Costco chose to accept Visa instead.
The switch happened over a few months. Costco gave members time to use up their American Express cards before the cutoff date. After the transition, American Express cards stopped working at Costco entirely, though Costco members who held American Express could still use other payment methods like cash or checks.
This kind of exclusive card agreement is common in retail. Stores negotiate with card networks to offer their own branded card in exchange for accepting that network's cards. When contracts end, the store can switch networks or open up to multiple card types. Costco chose to stick with Visa alone rather than accept multiple networks.
Costco gas stations and their payment rules
Costco gas stations accept only Visa cards and the Costco Anywhere Visa card. The same Visa-only rule applies whether you are paying at the pump or inside the station. American Express, Mastercard, and Discover will not work at the pump or at the register.
You can still pay with cash inside the station if you need to. Some Costco locations have outdoor card readers at the pump that accept only Visa, so if you do not have a Visa card, you will need to go inside and pay with cash or a Visa card.
If you are a Costco member without a Visa card, this is one reason to consider getting one before you visit. Many members use Costco gas because the prices are lower than nearby stations, and having a Visa card removes friction at the pump.
What to do if you do not have a Visa card
If you do not own a Visa card and want to shop at Costco, bring cash or a personal check. Both work at every warehouse location. You do not need a credit card at all to be a Costco member or to make purchases.
If you shop at Costco regularly and want the convenience of a card, you have two options. You can open a Visa card with your bank — most banks offer at least one Visa option, often with no annual fee. Or you can explore for the Costco Anywhere Visa card through Citi, which earns rewards on your Costco purchases but charges an annual fee.
For online shopping on Costco.com, you will need either a Visa card or a bank account set up for transfers. You cannot complete an order with cash or check online.
Frequently Asked Questions
Can I use my Mastercard or Discover card at Costco?
No. Costco accepts Visa cards only. Mastercard and Discover will not work at the warehouse, gas station, or on Costco.com. You can pay with cash, check, or a Visa card instead.
Does the Costco Anywhere Visa card cost extra if I already have a Costco membership?
Yes. The card has its own annual fee separate from your warehouse membership fee. You pay for both the membership and the card if you want the card. The card is optional — a regular Visa works just as well inside Costco.
Can I use Apple Pay or Google Pay with my Visa card at Costco?
No. Costco does not accept digital wallets, even if your phone is linked to a Visa card. You must present a physical Visa card, cash, or check at checkout.
What happens if I try to use an American Express card at Costco now?
It will be declined. Costco stopped accepting American Express in 2016. If you have an old Costco American Express card, it no longer works. You can use cash, check, or a Visa card instead.
Do I need the Costco Anywhere Visa card to earn rewards at Costco?
No. You earn rewards through your Costco membership itself — members get an annual rebate based on spending. The Costco Anywhere Visa card earns additional cash back on top of that, but it costs an annual fee. Whether it is worth it depends on how much you spend at Costco.