Introduction
Costco, the beloved wholesale retailer, is known for its bulk products, competitive prices, and exclusive membership benefits. Understanding Costco's credit card policy is essential for a smooth checkout experience, as the store has specific guidelines regarding which credit cards are accepted.
Credit Card Policy at Costco
Costco's credit card policy is unique due to its exclusive partnership with certain financial institutions. As of now, Costco accepts only Visa credit cards for in-store purchases. This policy was established in 2016 when Costco switched from American Express to Visa as its exclusive credit card network.
Why Only Visa?
The decision to partner exclusively with Visa was primarily driven by the lower transaction fees that Visa offers compared to other credit card networks. This allows Costco to maintain its low pricing strategy, which is a core part of its business model.
Accepted Payment Methods
While Visa is the only credit card network accepted in-store, Costco offers various payment options:
- Visa Credit Cards: The primary credit card option for in-store purchases
- Visa Debit Cards: Accepted for debit transactions
- Costco Anywhere Visa® Card by Citi: Popular among members for its rewards
- Cash: Always accepted
- Personal Checks: Requires membership card and valid ID
- Costco Shop Cards: Reloadable and used like cash
- Mobile Payment: Apple Pay, Google Pay, and Samsung Pay (linked to Visa)
- EBT Cards: Electronic benefit transfer cards
- PIN-based Debit Cards: Most are accepted
Online Shopping Options
For purchases at Costco.com, payment options are more flexible:
- Mastercard
- Discover cards
- Costco Shop Cards
- PayPal
- All Visa cards
The Costco Anywhere Visa® Card Benefits
The Costco Anywhere Visa® Card by Citi offers attractive rewards:
- 4% cash back on eligible gas purchases worldwide (first $7,000 per year, then 1%)
- 3% cash back on restaurant and eligible travel purchases
- 2% cash back on Costco and Costco.com purchases
- 1% cash back on all other purchases
"The Costco Anywhere Visa® Card is particularly valuable for frequent Costco shoppers who also spend significantly on gas and dining out." - Credit Card Insider
International Locations
Payment policies vary at international Costco locations:
| Country | Primary Credit Card Partner |
|---|---|
| Canada | Mastercard |
| Japan | JCB |
| UK | Visa |
Business Center Considerations
Costco Business Centers accept additional payment methods:
- Business checks
- Company purchase orders (with prior approval)
- Electronic funds transfer (EFT)
Tips for Costco Shoppers
- Verify you have a Visa card or another accepted payment method before shopping
- Consider the Costco Anywhere Visa® Card for maximum rewards
- Keep a Costco Shop Card as backup if you prefer non-Visa credit cards
- Remember that membership fees have limited payment options
- Check Costco's official website for current payment policies
For the most up-to-date information about Costco's payment policies, visit their Membership FAQs or consult with your local warehouse.