Last updated on August 11th, 2023
Buying your home essentials and groceries in bulk can save you money in the long run. For this reason, you may opt to shop at a wholesale club like Costco. Consider using these credit cards to maximize your savings when you shop at Costco Wholesale Club.
At a Glance
Things To Know Before Costco Shopping
Costco is known for its wholesale inventory of home essentials, including groceries, home electronics, and more. The idea of shopping at wholesale clubs is that buying bulk gets your items at discounted prices. In contrast, the same items at a regular retail store might cost extra when purchased individually.
Grocery Stores & Credit Card Payments
Before taking off with just any old credit card to shop at Costco, there are a few things to consider. To begin with, only Visa credit cards are accepted in-store at Costco. Costco online shopping offers more flexibility with credit card payment network options. Online, the wholesale giant accepts Visa, Mastercard, and Discover card payments.
Next, you should know Costco is not considered a grocery store. Costco does not code their products under groceries. Why should it matter? It matters when it comes to credit card rewards. As you may already know, there are many credit cards with cash back categories for grocery shopping. For example, the Citi Custom Cash℠Card has nine different 5% cash back categories, one of which is for grocery stores. However, your Costco groceries would not qualify for 5% back on groceries because 1 – Costco doesn’t use merchant codes that grocery stores use, and 2 – The Citi Custom Cash Card is a Mastercard.
Now, just because Costco doesn’t use grocery store merchant codes and only accepts in-store Visa card payments, it doesn’t mean you can’t earn cash back. There are plenty of Visa credit cards out there that offer cash back rewards and can be used at Costco stores. These are our picks for the best credit cards to use at Costco.
Costco Anywhere Visa® Card by Citi
Costco Anywhere Visa® Card by Citi
Costco Anywhere Visa® Card by Citi
- 20.24% (Variable) Regular Purchase APR
- 20.24% (Variable) Balance Transfer APR
- 29.99% (Variable) Cash Advance APR
At a Glance
If you’re a Costco member and want to start earning some serious cash back rewards, the bonuses available via the Costco Anywhere Visa® Card by Citi – including 4% on gas and EV charging and 2% on your Costco purchases – may be just what you’re looking for.
- Best Benefits
- Rates & Fees
- Why Should You Apply?
- Discover one of Citi’s best cash back rewards cards designed exclusively for Costco members
- 4% cash back on eligible gas and EV charging purchases for the first $7,000 per year and then 1% thereafter
- 3% cash back on restaurants and eligible travel purchases
- 2% cash back on all other purchases from Costco and Costco.com
- 1% cash back on all other purchases
- No annual fee with your paid Costco membership and enjoy no foreign transaction fees on purchases
- Receive an annual credit card reward certificate, which is redeemable for cash or merchandise at U.S. Costco warehouses, including Puerto Rico
- Regular Purchase APR: 20.24% (Variable)
- Balance Transfer APR: 20.24% (Variable)
- Balance Transfer Transaction Fee: 5% of each balance transfer; $5 minimum.
- Cash Advance APR: 29.99% (Variable)
- Cash Advance Transaction Fee: 5% of each cash advance; $10 minimum
- Penalty APR: Up to 29.99% variable based on your creditworthiness and the Prime Rate
- Annual Fee: $0 with Costco Membership
- Late Payment Penalty Fee: Up to $41
- Return Payment Penalty Fee: Up to $41
- You’re a Costco member and want to earn 2% cash back on purchases at their physical and online stores, as well as 4% cash back on gas and EV charging purchases – including gas sold at Costco
- You enjoy earning cash back on everyday purchases such as dining and travel
- You seek a versatile rewards credit card with numerous travel protection perks, no foreign transaction fees, and no annual fees as a Costco member
It’s in the name. The Costco Anywhere Visa® Card by Citi was made for Costco shoppers. It is a rewards credit card with the potential to earn up to 4% cash back on purchases. Starting from the top rewards category cardholders can earn 4% cash back on eligible gas and EV charging purchases for the first $7,000 per year and then 1% after.
Next, cardholders earn 3% cash back on restaurants and eligible travel purchases. And finally, what we are all here for, this credit card earns 2% cash back on all purchases from Costco (in-store) and Costco.com. If you already have a paid Costco Membership there is no annual fee and no foreign transaction fees.Â
Chase Freedom Unlimited
Chase Freedom Unlimited
Chase Freedom Unlimited
- 20.49% to 29.24% variable based on creditworthiness and the Prime Rate Regular Purchase APR
- 20.49% to 29.24% variable based on creditworthiness and the Prime Rate Balance Transfer APR
- 29.99% variable based on the Prime Rate Cash Advance APR
- 0% for 15 months from account opening date Intro Purchase APR
At a Glance
The Chase Freedom Unlimited® credit card is a reliable option for customers looking to pair an attractive cash back rewards program with generous introductory interest rates. Cardholders can redeem for cash, travel, and more.
- Best Benefits
- Rates & Fees
- Why Should You Apply?
- Earn 5% on travel purchased through Chase Ultimate Rewards
- Earn 3% on dining at restaurants, including takeout and eligible delivery services
- Earn 3% on drugstore purchases
- Earn 1.5% on all other purchases
- No annual fee
- Earn a $200 bonus after you spend $500 on purchases in the first 3 months from account opening
- Earn 5% Cash back on gas station purchases on up to $6,000 spent in the first year
- Enjoy 0% Intro APR for 15 months from account opening on purchases and balance transfers, then a variable APR
- Intro Purchase APR: 0% for 15 months from account opening date
- Regular Purchase APR: 20.49% to 29.24% variable based on creditworthiness and the Prime Rate
- Intro Balance Transfer APR: 0% for 15 months from account opening date
- Balance Transfer APR: 20.49% to 29.24% variable based on creditworthiness and the Prime Rate
- Balance Transfer Transaction Fee: Intro fee of either $5 or 3% of the amount of each transfer, whichever is greater, on transfers made within 60 days of account opening. After that: Either $5 or 5% of the amount of each transfer, whichever is greater.
- Cash Advance APR: 29.99% variable based on the Prime Rate
- Cash Advance Transaction Fee: Either $10 or 5% of the amount of each transaction, whichever is greater
- Penalty APR: Up to 29.99% variable based on the Prime Rate
- Foreign Transaction Fee: 3% of the transaction amount in U.S. dollars
- Late Payment Penalty Fee: Up to $40
- Return Payment Penalty Fee: Up to $40
- You are looking for a low-rate credit card to perform a balance transfer
- You prefer straightforward rewards earnings rather than quarterly categories requiring activation
- You’ll make at least $500 in purchases in the first 90 days
- You do’t want to pay an annual fee
Second, on our list is Chase Freedom Unlimited. This card has the potential to earn up to 5% cash back on things like travel, dining, and more. It features no annual fee, a low intro APR offer, and a bonus offer. With Chase Freedom Unlimited, cardholders get 5% on travel purchased through Chase Ultimate Rewards. You also get 3% cash back on dining, which includes takeout and eligible delivery services, for those times when you just want to dine in.
You will also earn 3% cash back on drugstore purchases and 1.5% on all other purchases. In other words, you can get 1.5% cash back on your purchases when you shop at Costco. If you have good to excellent credit you may qualify for Chase Freedom Unlimited.Â
Revvi Card
Revvi Card
Revvi Card
- 35.99%* Regular Purchase APR
- 35.99%* Cash Advance APR
At a Glance
Revvi is a full-fledged Visa® credit card that can help you improve your credit score with on-time payments and responsible use. The Revvi Card features a quick and easy application and doesn’t require perfect credit. Not only that, but Revvi also offers 1% Cash Back Rewards^^ with on-time payments. The card also features an initial credit line of $300, with the chance of a credit limit increase after year one.
- Best Benefits
- Rates & Fees
- Why Should You Apply?
- Earn 1% cash back rewards^^ on payments made to your Revvi Credit Card • Perfect credit not required • $300 credit limit (subject to available credit) • Checking account required • Opportunity to request credit limit increase after twelve months, fee applies • *See Rates, Fees, Costs & Limitations for complete offer details • ^^See Revvi Rewards Programs Terms & Conditions for details
- Regular Purchase APR: 35.99%*
- Cash Advance APR: 35.99%*
- Cash Advance Transaction Fee: Either $10, or 3% of the amount of the Cash Advance, whichever is greater
- Annual Fee: $75 1st year, $48 after*
- Late Payment Penalty Fee: Up to $41*
- Return Payment Penalty Fee: Up to $41*
- You want to improve your credit score by making on-time payments and keeping credit use low
- You want Visa® protections, like Zero Fraud Liability coverage
- You’re seeking manageable monthly payments
- You want to earn 1% Cash Back Rewards^^, on payments made to the card
Next up on your pick of the best credit cards to use at Costco is the Revvi Card. This one is an excellent option for anyone working on repairing their credit but would still like to earn credit card rewards. The Revvi Card is an unsecured credit card that earns 1% cash back rewards on payments to the card. As mentioned previously, perfect credit is not required to apply, however, keep in mind the card does have an annual fee. Use the Revvi Card to build your credit score and earn cash back while you’re at it.
Upgrade Cash Rewards Visa®
Upgrade Cash Rewards Visa®
Upgrade Cash Rewards Visa®
- 14.99%-29.99% variable based on creditworthiness and the Prime Rate Regular Purchase APR
- 14.99% to 29.99% Balance Transfer APR
At a Glance
The Upgrade Cash Rewards Visa® offers no fees, low rates, cash back, and credit lines from $500 to $25,000 in one unique package. The card provides consumers the flexibility and predictability to quickly pay down balances and get debt-free. The Upgrade credit card is one of the lowest regular APR credit cards on the market for those with excellent credit scores, putting it firmly on any list of the best balance transfer credit card deals – or any list of the best credit cards in the U.S.
- Best Benefits
- Rates & Fees
- Why Should You Apply?
- $200 bonus after opening a Rewards Checking Plus account and making 3 debit card transactions*
- Earn 1.5% unlimited cash back on card purchases every time you make a payment
- Combine the flexibility of a credit card with the predictability of a personal loan
- No annual fee
- No touch payments with contactless technology built in
- See if you qualify in minutes without hurting your credit score
- Great for large purchases with predictable payments you can budget for
- Mobile app to access your account anytime, anywhere
- Enjoy peace of mind with $0 Fraud liability
- *To qualify for the welcome bonus, you must open and fund a new Rewards Checking account and make 3 qualifying debit card transactions from your Rewards Checking account within 60 days of the date the Upgrade Card account is opened. To qualify, debit card transactions must have settled and exclude ATM transactions. Please refer to the applicable Upgrade VISA® Debit Card Agreement and Disclosures for more information. Your Upgrade Card and Rewards Checking account must be open and in good standing to receive a bonus. If you have previously opened a Rewards Checking account or do not open one as part of this application process, you are not eligible for this welcome bonus offer. Welcome bonus offers cannot be combined, substituted, or applied retroactively. The bonus will be applied to your Rewards Checking account as a one-time payout credit within 60 days after the 3rd qualifying card purchase.
- Regular Purchase APR: 14.99%-29.99% variable based on creditworthiness and the Prime Rate
- Balance Transfer APR: 14.99% to 29.99%
- Balance Transfer Transaction Fee: Up to 5%
- Foreign Transaction Fee: Up to 3%
- You struggle to pay off your credit card balances
- You want a structured repayment plan
- You can reliably pay off your statement balances to earn cash back for your purchases
- You have a desire to get debt-free quickly
- You hate penalty or other hidden fees
The Upgrade Cash Rewards Visa is another contender for Costco shoppers. The rewards credit card earns unlimited 1.5% cash back every time you make a purchase, including purchases at Costco. It’s comparable to Chase Freedom Unlimited, which also earns 1.5% cash back outside its other rewards categories. However, the Upgrade card requires fair credit or better and the Freedom Unlimited requires good credit or better. Other notable features of the Upgrade Cash Rewards Visa® include its $0 annual fee, $0 activation fees, and $0 foreign transaction fees.
Costco Anywhere Visa® Business Card by Citi
Costco Anywhere Visa® Business Card by Citi
Costco Anywhere Visa® Business Card by Citi
- 20.24% (Variable) Regular Purchase APR
- 29.99% (Variable) Cash Advance APR
At a Glance
Costco members who want to capitalize on their bulk buys will benefit from the Costco Anywhere Visa® Business Card by Citi’s cash back rewards on gas and EV charging, travel, dining, and their purchases from Costco and Costco.com.
- Best Benefits
- Rates & Fees
- Why Should You Apply?
- Discover the only business credit card designed exclusively for Costco members
- 4% cash back on eligible gas and EV charging purchases for the first $7,000 per year and then 1% thereafter
- 3% cash back on restaurants and eligible travel purchases
- 2% cash back on all other purchases from Costco and Costco.com
- 1% cash back on all other purchases
- No annual fee with your paid Costco membership and enjoy no foreign transaction fees on purchases
- Whether you’re traveling for business or pleasure, enjoy no foreign transaction fees on purchases
- Receive an annual credit card reward certificate, which is redeemable for cash or merchandise at U.S. Costco warehouses, including Puerto Rico
- Regular Purchase APR: 20.24% (Variable)
- Cash Advance APR: 29.99% (Variable)
- Cash Advance Transaction Fee: 5% of each cash advance; $10 minimum.
- Penalty APR: Up to 29.99% variable based on your creditworthiness and the Prime Rate
- Annual Fee: $0 with Costco membership
- Late Payment Penalty Fee: $41
- Return Payment Penalty Fee: $41
- You have a Costco membership and want to earn cash back on your purchases at their warehouses and online storefront
- You want to earn cashback on common purchases like gas and EV charging, dining, and travel
- You do not enjoy paying annual fees or foreign transaction fees
If you got a small business and you buy bulk at Costco for it, then the Costco Anywhere Visa® Business Card by Citi is for you. Excellent credit is needed for approval on this business credit card. If your credit is not at its best, consider these subprime business credit cards instead. The card shares the same rewards benefits as the Costco Anywhere Visa® Card by Citi. Earn 4% cash back on gas and EV charging, 3% cash back on restaurants and eligible travel, 2% cash back on all Costco purchases, and 1% cash back on all other purchases.
Related Article: The Best Cash Back Credit Cards of 2022
Featured photo by Syda Productions/ Canva
