Costco accepts only Visa cards, plus their own Costco Anywhere Visa card
Costco stopped accepting American Express, Discover, and Mastercard in 2016. Today, the warehouse will take any Visa card — whether issued by your bank, a credit union, or another lender. Costco also issues its own branded card, the Costco Anywhere Visa Card by Citi, which works at Costco locations and online, plus everywhere else Visa is accepted.
If you hold a non-Visa card and shop at Costco, you can still pay with that card online at Costco.com, but not in the warehouse. At the warehouse, you must use Visa or debit. This restriction applies to all Costco locations in the United States, Canada, and the UK.
Key Takeaways
- Costco warehouses accept only Visa credit cards and Costco Anywhere Visa cards; Mastercard, American Express, and Discover are not accepted in-store.
- Costco.com accepts all major credit cards, including Mastercard, American Express, and Discover, so online shopping has no card restriction.
- The Costco Anywhere Visa Card earns 4% cash back on gas, 3% on travel, and 2% on Costco purchases, with an annual fee of $65 or $130 depending on the tier.
- Debit cards, including Visa debit, work at Costco warehouses and do not require a Visa logo if they are linked to your Costco membership account.
- Costco membership is separate from payment method — you need a valid membership card to enter the warehouse, regardless of which Visa card you use to pay.
How the Visa-only policy works in the warehouse
When you check out at a Costco warehouse, the cashier or self-checkout terminal will accept Visa credit cards, Visa debit cards, and the Costco Anywhere Visa card. No other card brand will process. If you attempt to use Mastercard, American Express, or Discover, the terminal will decline the transaction.
This policy has been in place since September 2016, when Costco's contract with American Express expired. Costco negotiated a new agreement with Citi to issue a co-branded Visa card instead. The shift was designed to lower Costco's payment processing costs and to give the warehouse more control over the rewards structure.
If you do not have a Visa card, you can pay with cash, a debit card (Visa or non-Visa), or a check. You can also use your Costco membership account to pay with a stored payment method if you have added one during online checkout.
The Costco Anywhere Visa Card and its rewards
The Costco Anywhere Visa Card by Citi is a co-branded card issued by Citibank and branded with the Costco logo. It comes in two versions: the standard card with a $65 annual fee and the Executive version with a $130 annual fee. Both versions earn cash back on purchases, but the Executive card earns at a higher rate.
The standard Costco Anywhere Visa Card earns 4% cash back on gas (up to $7,500 per year, then 1%), 3% on travel, 2% on Costco purchases, and 1% on all other purchases. The Executive version earns the same rates but adds an extra 0.5% cash back on Costco purchases (2.5% instead of 2%) and 0.5% on other purchases (1.5% instead of 1%). Cash back is issued as an annual reward certificate that you can use at Costco or redeem for a statement credit.
The card also includes benefits such as extended warranty protection, travel accident insurance, and emergency medical and dental coverage when you are traveling more than 100 miles from home. There is no foreign transaction fee, which makes it useful for international travel.
Online shopping at Costco.com has no card restrictions
Costco.com operates under different payment rules than the warehouse. When you shop online, you can use Visa, Mastercard, American Express, Discover, or PayPal. You can also pay with a debit card or prepaid card that carries one of those logos.
This difference exists because online payment processing uses a different system than in-warehouse terminals. Costco negotiated the Visa-only warehouse agreement with Citi, but the online platform accepts all major card networks to reduce friction for customers who do not carry Visa.
If you prefer to use a non-Visa card, shopping online is the only way to use it at Costco. You still need a valid Costco membership to place an order, and the membership fee is the same whether you shop in-warehouse or online.
Debit cards and other payment methods at Costco
Costco accepts debit cards at all warehouse locations, regardless of whether they carry a Visa logo. A Mastercard debit card, Discover debit card, or any other debit card will work at the checkout terminal. The warehouse does not restrict debit cards the way it restricts credit cards.
You can also pay with cash or a personal check. Costco requires a valid ID to accept a check, and the check must be written for the exact amount of the purchase (no cash back). Some locations may have stopped accepting checks, so ask at the customer service desk if you plan to pay this way.
If you have stored a payment method in your Costco membership account online, you can use that method to pay at the warehouse by linking it to your membership number. This option is less common but available if you set it up in advance.
What happens if you try to use a non-Visa credit card
If you attempt to pay with a Mastercard, American Express, or Discover card at a Costco warehouse, the payment terminal will decline the transaction. The cashier cannot override this — the decline is automatic and built into the payment system.
When this happens, you have three options: use a different Visa card if you have one, switch to a debit card or cash, or leave the purchase and return another time with a Visa card. Some customers keep a basic Visa card on hand specifically for Costco, even if they earn rewards on other cards elsewhere.
If you use a non-Visa card frequently and want to shop at Costco, opening a Costco Anywhere Visa Card may make sense. The card earns cash back on Costco purchases, which can offset the annual fee over time if you shop regularly.
Comparing Costco card rewards to other Visa options
The Costco Anywhere Visa Card is not the only Visa card that works at Costco. You can use any Visa card issued by any bank — a basic Visa, a rewards Visa, a travel Visa, or a cash-back Visa. The difference is that only the Costco Anywhere card earns rewards specifically tied to Costco purchases.
If you already hold a Visa card that earns 2% or higher cash back on all purchases, using that card at Costco may be more valuable than switching to the Costco Anywhere card, especially if you do not want to pay the annual fee. However, if you shop at Costco frequently and spend on gas, the 4% gas reward on the Costco card can add up quickly.
The trade-off is the annual fee. The standard Costco Anywhere card costs $65 per year. To break even, you need to earn at least $65 in cash back annually. At 2% cash back on Costco purchases, that means spending $3,250 per year at Costco, or about $270 per month. If you spend less, a no-fee Visa card may be the better choice.
Frequently Asked Questions
Can I use my Mastercard or American Express at Costco if I have a membership?
No. Costco membership and payment method are separate. You need a membership to enter the warehouse, but you must pay with Visa, a debit card, or cash. Mastercard and American Express will not be accepted at the checkout terminal, even with a valid membership.
Does the Costco Anywhere Visa Card work outside of Costco?
Yes. The Costco Anywhere Visa Card is a standard Visa card and works anywhere Visa is accepted — at restaurants, gas stations, online retailers, and other merchants. You earn 1% cash back on non-Costco purchases, and 3% on travel purchases like hotels and airfare.
What if I have a Visa debit card instead of a credit card?
Visa debit cards work at Costco warehouses the same way Visa credit cards do. You can use a Visa debit card to pay for your purchase. Non-Visa debit cards also work at Costco, so you are not limited to Visa if you are paying with debit.
Can I use multiple payment methods to pay for one purchase at Costco?
Costco allows split payments in most cases. You can pay part of your purchase with one card and the remainder with another card, cash, or check. Ask the cashier before you begin checkout so they can process the transaction correctly.
Is the Costco Anywhere Visa Card worth the annual fee?
That depends on how much you spend at Costco and on gas. If you spend at least $3,250 per year at Costco, the 2% cash back will cover the $65 annual fee. If you also buy gas regularly, the 4% gas reward makes the card more valuable. If you spend less than $3,250 annually, a no-fee Visa card may save you money.