Costco accepts only Visa credit cards, Costco Anywhere Visa cards, and debit cards

Costco stopped accepting American Express, Discover, and Mastercard in 2016. Today, the warehouse will take a Visa credit card from any bank, a Costco Anywhere Visa card (which Costco issues through Citi), or a debit card. You cannot use American Express, Mastercard, or Discover at Costco locations or on Costco.com, even if you have an active account with those networks.

This restriction applies to in-warehouse purchases and online orders. If you have a Costco membership but no Visa or Costco Anywhere card, you will need to obtain one before checkout or use a debit card instead.

Key Takeaways

  • Costco accepts any Visa credit card from any issuer, plus the Costco Anywhere Visa card and debit cards.
  • American Express, Mastercard, and Discover are not accepted at Costco warehouses or on Costco.com.
  • The Costco Anywhere Visa card earns 2% cash back on Costco purchases and 1% on all other purchases if you are a member.
  • If you want to use a credit card at Costco, switching to a Visa is your only option; no other network is accepted.

The Costco Anywhere Visa card and its rewards structure

The Costco Anywhere Visa card is issued by Citi and is the card Costco actively promotes to members. It earns 2% cash back on Costco purchases (in-warehouse and online), 1% cash back on gas at any station, and 1% cash back on all other purchases. The card has no annual fee for Costco members.

Cash back is paid as an annual reward certificate that arrives by mail or can be viewed in your Costco account. You can redeem the certificate at the warehouse or use it online. The certificate does not expire, but it can only be used at Costco.

To open a Costco Anywhere Visa card, you must have an active Costco membership. The application is available at the membership desk in any warehouse or online through Costco.com. Approval decisions are usually made within minutes for online applications.

Using a regular Visa card at Costco

Any Visa credit card from any bank—Chase, Bank of America, Capital One, or any other issuer—is accepted at Costco. You do not need to open a Costco-branded card. If you already have a Visa in your wallet, you can use it immediately at checkout.

The trade-off is that a regular Visa card will not earn the 2% cash back on Costco purchases unless the card itself offers that benefit through its own rewards program. Most standard Visa cards earn 1% cash back or points on all purchases, or they earn higher rates only in specific categories like groceries or gas. Check your card's terms to see what you earn at warehouse clubs.

Using a regular Visa also means you are not locked into the Costco Anywhere card's annual reward certificate structure. Your cash back or points go into your regular card account and can be redeemed however that card's issuer allows.

What happens if you try to use a different network

If you attempt to pay with an American Express, Mastercard, or Discover card at a Costco register, the transaction will be declined. The card reader will not process the payment. You will need to provide a different form of payment—a Visa, debit card, or cash.

Online, the checkout page will not accept American Express, Mastercard, or Discover as payment methods. Only Visa cards and debit cards are available as options. If you have only one of these networks, you cannot complete a Costco.com purchase without switching to a different card.

This restriction has been in place since January 2016, when Costco's contract with American Express ended. The warehouse has not accepted American Express since that date and has no plans to do so.

Debit cards and other payment methods at Costco

Costco accepts debit cards from any network—Visa debit, Mastercard debit, Discover debit, and others. A debit card works at checkout just like a credit card and does not require a PIN unless you choose to enter one. You can also pay with cash, checks, or a Costco Cash Card (a prepaid card you load with money at the warehouse).

Debit cards do not earn rewards at Costco unless your bank's debit card program offers cash back or points. Most debit cards do not. If you want to earn rewards on your Costco purchases, a Visa credit card is your only option.

How the Costco Anywhere card affects your account management

The Costco Anywhere Visa card is a separate account from your Costco membership. Your membership number and your card account number are different. You can have a Costco membership without the card, and you can close the card without losing your membership.

If you carry a balance on the Costco Anywhere card, interest accrues at the card's standard purchase APR, which varies by creditworthiness and is set by Citi. The card's terms are available on Citi's website or in the cardholder agreement you receive after opening the account. Payments are made through Citi's online portal or by phone, not through Costco.

If you close the Costco Anywhere card, you lose the ability to earn 2% cash back on Costco purchases, but your membership remains active. You can continue shopping at Costco with any other Visa card or debit card.

Switching from another card network to Visa

If you currently have an American Express, Mastercard, or Discover card as your primary card, you have two options: open a Visa card with your current bank, or open the Costco Anywhere Visa card.

Opening a Visa with your current bank is faster if you already have a relationship with them. Call your bank's customer service line or log into your online account to request a Visa. Most banks can issue a new card within 7 to 10 business days.

Opening the Costco Anywhere card takes minutes if you apply online at Costco.com, and you can use a temporary card number immediately for online purchases. In-warehouse, you will receive a physical card at the membership desk on the same day you open the account.

Frequently Asked Questions

Can I use my American Express at Costco?

No. Costco has not accepted American Express since January 2016. You will need to use a Visa credit card, Costco Anywhere Visa card, or debit card instead.

Does Costco accept Mastercard or Discover?

No. Costco accepts only Visa credit cards and debit cards. Mastercard and Discover are not accepted in warehouses or online.

Can I use a Visa debit card instead of a credit card?

Yes. Visa debit cards are accepted at Costco. However, debit cards typically do not earn rewards unless your bank's debit program offers cash back. A Visa credit card will earn rewards if the card's issuer offers them.

Do I have to get the Costco Anywhere card to shop at Costco?

No. You can shop at Costco with any Visa credit card or debit card. The Costco Anywhere card is optional and is worth opening only if you shop at Costco frequently enough to benefit from the 2% cash back.

What if I close my Costco Anywhere card?

Your Costco membership will remain active. You can continue shopping with any other Visa card or debit card. You will no longer earn 2% cash back on Costco purchases unless your other card offers that benefit.