Costco Anywhere Visa® Card by Citi
The Costco Anywhere Visa is a new card that was introduced after Citi acquired the Costco card portfolio from American Express. While Costco Amex cardholders automatically received a revamped card, Citi is also accepting new applicants.
In terms of cashback cards, the Citi Costco card is definitely a solid contender, offering some great bonus categories for earning big cash back from the places you shop at the most. And if you’re a Costco member, the card doesn’t have an annual fee.
The card is definitively geared toward the Costco shopper and not aimed at travelers. The biggest downside to this card is that you can only redeem your rewards once per year and only at Costco. There’s no chance to earn free or discounted travel with this card. However, if you’re a Costco fanatic, keep reading to learn more.
Bonuses and Benefits
Knowing what benefits come with a credit card can help you decide if it’s a good fit for you. Here we cover the bonuses and perks that the Costco Anywhere Visa® Card by Citi offers and the value of the Citi Costco Cash Rewards cashback you earn.
Unlike a lot of credit cards, the Costco card doesn’t come with a sign-up bonus. Additionally, there are no annual bonuses or extra rewards for adding authorized users. The true purpose of this product is to reward the cardholder for spending money at Costco and in other popular bonus categories. As a result, you get an annual bonus check every February for the value of the cash back earned in the past year.
What You Get
- 4% back on up to $7,000 spent at gas stations per year
- 3% back for dining out and travel purchases
- 2% back on all Costco purchases
- 0% APR on purchases for 7 months
The Costco Cashback card earns cash on every purchase all year long, but your rewards are only redeemed once each year for a certificate good at Costco. As long as you remain a Costco member and your card and membership stay in good standing, your rewards won’t expire regardless of how much or how little you use the card. Just remember, you only have until the end of the year in which you received your certificate to cash it in. Lastly, if you cancel either your card or your membership, you’ll forfeit any accumulated cash back.
This cashback card accrues cash back at great rates with common, everyday merchants. At minimum, you’ll get 1 percent back on every purchase. If you shop at Costco (and hopefully you do if you’re considering this card), you’ll get a total of 2 percent back on every item in every purchase. Like to go out to eat? You’ll get 3 percent back at all restaurants ranging from delis to fast food to casual diners to fine dining. You also earn 3 percent back for eligible travel. Last but not least, you’ll earn an amazing 4 percent back on all gas station purchases up to $7,000 each year. If you spend more than that, your earnings will revert back to 1percent, but the remaining bonus categories are not capped.
Your Monthly Charges
Rewards You Will Earn Annually$240cashback
- Brand earn
- All Other Purchases
Bonus Cash Back for Travel
You’ll get 3% back for travel purchases, including airfare, hotels and car rentals
Foreign Transaction Fee
This card does charge a 3% foreign transaction fee, so it’s best not to use it outside of the United States
Earn Elite Status Fast
While this card offers 3 percent back on travel and a handful of travel protections, it will not help you earn elite status with any airline, hotel chain or rental car agency.
Fees: the cost of Having the Card
One of the best features of the Costco Visa credit card is that there’s no annual fee. As a Costco shopper, you do have to pay for your annual membership, but this card does not incur a fee the first, second or any year. Because of that savings, there’s not a certain amount you need to spend each year to cover the annual fee.
- Annual Fee
- Balance Transfer Fee
Either $5 or 3% of the amount of each transfer, whichever is greater
- Foreign Transaction Fee
- 3% of each transaction in U.S. dollars
- Late Payment Fee
- Up to $37
The Costco Anywhere Visa card from Citi is a no-fee card. You do not have to earn a certain amount of rewards in order to cover the cost since it’s free. It’s still good to know roughly how much you’ll be earning, though. We’ve broken out our estimates for the first- and second-year net earnings.
These estimates are based on an annual monthly spend of $2,000
Top 5 Benefits of the Costco Anywhere Visa® Card
There are many great benefits of the Costco Visa cashback card. The card has no annual fee, and you can earn cash back on great bonus categories at amazing rates. Below are our top five benefits of this card.
- Great Earning Potential: You’ll earn an unlimited 3% back on travel and restaurants, 2% back on Costco purchases, and 1% everywhere else with no caps. You also earn 4% back on gas for up to $7,000 a year.
- 0% APR for the First 7 Months: Need to make a big purchase? You can spread out your payments with 0% interest for the first 7 months you have the card. Just be sure to continue making at least the minimum payment and know that interest kicks in on any remaining balance after the introductory period.
- Straightforward Redemption: Redeeming rewards is simple as Citi mails your annual cashback certificate each February. It can be redeemed at Costco for merchandise or cash.
- No Annual Fee: You’ll never have to pay anything for this card. That means all the rewards you earn are essentially free. How can you beat that?
- Built-In Protections From Citi: Like Citi’s other credit cards, the Costco Visa comes with purchase protection, Citi Price Rewind and some travel protections like rental car insurance.
Like to shop at Costco? Then this is definitely a card you should keep in your wallet. Not only do you earn 2 percent back on every Costco purchase, but you can earn cash back for gas, dining out, travel and more. And since there’s no annual fee, all the rewards you earn are yours. You may not want this to be your only card, though, because you will incur foreign transaction fees if you use it outside the United States or if you make purchases in non-U.S. dollars.
If you don’t live near a Costco, you can still use this card for online purchases (assuming you’re a member), but you may not get as much value as those who can get to a nearby store. Also, if you like to have more flexibility with your rewards, this may not be the card for you. And if travel rewards are what you seek, the Costco Visa should not be your first choice.
Need more info? Check out our frequently asked questions. If you have other questions, please click on “Ask Now” below.
Absolutely. The old Costco card was offered through American Express and the new Citi version is totally different. Your eligibility won’t depend on your prior or current relationship with American Express.
For card members that had the Amex version at the time of conversion, they were issued new Citi cards automatically. But if you’re applying for a new Citi Costco account, you’ll need to qualify with Citi’s credit card guidelines in order to be approved.
One nice benefit of the Costco Visa card is that it doubles as your membership card, and it can get you through the door. There’s no need to carry both cards in your wallet as presenting the credit card will work just fine. Remember that if you forget your Costco credit card at home, it doesn’t work the other way around. You cannot use your Costco membership card to pay for purchases.
If you like shopping on Costco’s website, you’re in luck. The 2 percent back at Costco stores also applies to purchases made online. It doesn’t matter what your preference is, you’ll earn the same cash back.
Also, as more and more consumers book their travel online, don’t forget that if you can book your vacation through your favorite online travel agency and earn 3 percent back. But before you get too excited, if you use Costco’s website to book your travel, you won’t get a combined bonus for shopping at Costco and buying travel simultaneously.
You might hold other great Citi rewards cards, but you can’t combine rewards from the Costco card with any other programs, like ThankYou. Since this card is a co-branded with Costco, its reward program is totally separate.
No. One of the great things about Citi is that they don’t have a hard limit for the number of credit cards they’ll issue you. That’s great news if you already have a few of their cards and you’re looking to get the Costco credit card.
Keep in mind, however, that they may limit how much total credit they’ll extend you. As with all their cards, you may need to move around some credit lines in order to get approved if you already have a lot of unsecured credit with the issuer.
One of the downsides of the Costco Visa is the lack of flexibility when it comes to redeeming your rewards. Unlike a lot of other cashback cards on the market, you don’t have the ability to choose when you redeem your rewards and how much of your balance you want to cash in. Instead, Costco issues your annual redemption certificate in February each year, and you can take that to your local store to redeem for merchandise or cash.
Compare Costco Anywhere Cards
There are only two Costco credit cards on the market, and they’re both issued by Visa. One is geared toward the everyday consumer and the other is intended for small business owners. Both cards are extremely similar with their earnings rate at 4 percent at gas stations (up to $7,000 per year), 3 percent for travel and restaurants, 2 percent at Costco and 1 percent everywhere else. Neither card has an annual fee.
Other Costco cards
APR On Purchases
|16.24% Variable±||16.24% Variable±|
Second Year Value
The differences between the Costco personal and Costco business credit cards are few. The personal version comes with Citi Price Rewind, but that feature is not offered with the business version. Also in the personal card’s favor is the Trip Cancelation and Interruption coverage which the business card lacks.
Other than these minor differences, the two cards are exactly the same. So which one should you choose? If you have a small business and can write off expenses you would normally put on this card (like gas needed to drive for work), then the business version would make sense for you. Otherwise, there’s no real advantage, and since neither card has a sign-up bonus, there’s no benefit to getting both versions.
The only other benefit of the business version is that it can help you build your business credit history. Keep in mind that your personal credit report is still proved to be approved, but the credit history will sit on your business credit report.
Compare Costco Anywhere Visa® Card to Other Cards
When it comes to cashback cards, it’s good to see how they stack up against each other. In our comparison below, none of these cards carry an annual fee, and they all earn 1 percent back as a minimum.
The biggest difference between the Costco card and its competitors is how you redeem your cash rewards. For the Costco card, you can only redeem your cash once each year at Costco, but all the other cards give you more flexibility when cashing out. The cards also earn cash at different rates.
The Citi Double Cash card earns 1percent back on every purchase and an additional 1percent back on the balance you pay each month. Essentially, this is a 2 percent cashback card if you pay your balance in full each month.
Meanwhile, the Quicksilver card by Capital One earns a flat 1.5 percent cash back on every single purchase. It also comes with a sign-up bonus of $150 after spending $500 within the first three months of opening your account.
Next, the Discover it card has rotating bonus categories where you can earn 5 percent back with certain merchants for up to $1,500 in spending each quarter. And while this card doesn’t have a sign-up bonus, Discover will double all the cash back you earn in your first year of having the card. This is a tremendous benefit, but it’s only offered the first year you have the card.
As we’ve examined, the Costco card earns cash back in set categories throughout the year and only gas station spending is capped. While the other cards have their pros and cons, Costco earns a consistently high rate on travel and dining. The Discover it card, for instance, may or may not offer these bonus categories each year, and they’ll be capped.
While the Quicksilver offers a flat 1.5 percent on all purchases and the Double Cash card earns 2 percent back (assuming you pay off the card each month), you may come out ahead if you can maximize the bonus categories with the Discover it card. That’s especially in the first year you have your card due to the double cash back bonus. But if you’re a heavy spender in the Costco card’s bonus categories and don’t mind the once per year redemption, the Costco card is the winner.
Whenever you apply for a credit card make sure you read the terms and conditions of the card and the rewards program to find out about minimum spend requirements and any restrictions to ensure you can successfully obtain the card and earn the rewards it offers.
Excellent credit score
Pay with pointsNo
Loyalty ProgramCostco Cash Rewards
Flights TypeDomestic and International
AllianceNot a member
Card Terms and Conditions
While it's easy to focus on the rewards offered by the Costco Anywhere Visa card, it's worth taking a closer look at the terms and conditions. There's a lot to consider as you think about how you're going to use the card. Will you carry a balance, get a cash advance or maybe make a big purchase? Below is a rundown of the various interest rates, purchase protections, security features and mobile banking options that come with this Visa card.
- Minimum Grace Period:
- 23 days
- Intro APR for balance transfers:
- See Terms and Conditions
- Ongoing APR:
- 16.24% Variable±
- Intro APR:
- 0% introductory APR for 7 months from date of account opening
- Extended Warranty Protection:
- When making certain purchases, this card adds up to a year on your warranty of five years or less so you can shop confidently. You may be covered for up to $10,000 per calendar year.
- Purchase Protection:
- This card offers a maximum of $10,000 per loss and a total of $50,000 per cardholder account per year if purchases made with your Citi card are damaged or stolen within 90 days of purchase.
Cash Advance Features
- Ongoing APR:
- 26.24% Variable±
- Cash Advance Fee:
- Either $10 or 5% of the amount of each cash advance, whichever is greater
Security and Protections
Like all Citi cards, there are certain built-in security features to give you peace of mind. Whether you’re at home or traversing the country, there are several great security benefits, like account alerts, chip technology and credit score monitoring.
- Account alerts:
- You can customize alerts so you’re notified of large purchases, unauthorized activity or when your payment is due.
- Banking On The Go:
- Use Citi’s mobile app to easily keep track of your account activity.
- Emv Chip Technology:
- Whether in the U.S. or abroad, your card will be accepted at more merchants and your payments are more secure using chip enabled terminals.
Smartphones make banking easy no matter where you are. You can use Citi’s app for Apple or Android to monitor your account when your computer isn’t readily available. Best of all, it’s easy and free.
- Mobile App:
- Don’t forget to download the free Citibank app to monitor all your Citi accounts in one place.
- Mobile Wallet:
- Apple Pay, Android Pay and Samsung Pay all work with your Citi card for easy on-the-go payments.
Additional Cardholder Benefits
All Costco cards from Citi are issued as Visas. There are some built-in benefits, but other travel cards typically offer more protections. Here are a few travel benefits offered with this card.
Visa Signature Travel Benefits
- Auto Rental Collision Damage Waiver:
- Coverage for theft and collision for most rentals in the U.S. and abroad. Coverage is secondary to your personal insurance.
- Travel And Emergency Assistance Services:
- Legal and medical referrals, and other travel and emergency assistance is available any time of day. Service charges apply.
- Trip Cancelation And Interruption Protection:
- You may be reimbursed for certain nonrefundable expenses if your vacation gets canceled or interrupted when you pay for your trip entirely using your Citi Costco card.
- Worldwide Travel Accident Insurance:
- Get the financial assistance you need in the event of an accident involving you or a family member while on your trip.