Costco has reached an agreement with Citi to implement a new co-branded credit card program, shortly after ending a similar deal with American Express.
Costco says it will accept Visa (V) cards instead of American Express at its U.S. locations beginning April 1, 2016. Currently, the retailer only accepts debit and Amex cards for purchases made at its stores. or gas stations, although it also accepts Visa and MasterCard for purchases made online.
Most retailers that accept Visa also accept MasterCard, but Costco will be an exception to that rule. The only credit cards that it will accept for purchases made at its stores and gas stations will be Visa.
Details about the benefits and terms of the new card will soon be available to members. The Costco Amex card offered cardholders 3% cash back on gas, 2% on restaurants and travel, and 1% on everything else, and there was no annual fee as long as the user was a Costco member.
The agreement provides for the purchase of Citi’s existing portfolio of Costco Amex co-branded cards.
Citi is the largest issuer of consumer credit cards and co-brands cards with other retailers, including Sears, for which it has issued a Sears MasterCard.
Can I use American Express at Costco?
Since Costco contracts with Visa, shoppers cannot use credit cards backed by the other three major networks, American Express, Mastercard or Discover, at Costco stores. However, you can pay with Mastercard and Discover cards for purchases made on Costco.com and the Costco app.
Why did Costco stop accepting Amex?
Costco switched to Visa primarily for business reasons. Although they enjoyed an exclusive 17-year relationship with American Express, they were eventually unable to negotiate a contract renewal on the terms they wanted.
What is the American Express surcharge?
How much is a credit card surcharge? American Express credit cards: 1.5% to 2% EFTPOS: generally less than 0.5% Visa and Mastercard debit cards: 0.5% to 1%
Did Costco stop accepting American Express?
But that changed when Costco and American Express decided to end their relationship in 2016. You can only use a Visa if you pay by credit card at Costco. If you want a co-branded credit card with the Costco logo, you can now only get it through Citi.
When did Costco switch from Amex to Visa?
Costco will stop accepting American Express and start accepting only Visa credit cards on June 20. All Visa cards, not just the new Costco Anywhere Visa, will be accepted at Costco stores after June 20. After June 19, the existing Costco American Express card will no longer be accepted anywhere.
How do I avoid the AmEx surcharge?
1. Cash. The most obvious option to avoid card surcharges is to use old cash. For small purchases like coffee or snacks, consider withdrawing a small amount of cash each week from an ATM to avoid credit card fees (and to avoid overspending!).
Do AmEx rates have GST?
All rates are exclusive of GST. a) Any notice we send to you under these Terms will be deemed to have been received seven (7) days after we send it, unless you actually receive it sooner.
What payment methods are accepted at Costco?
- All Visa Cards.
- The Costco Anywhere Visa Card from Citi.
- Most PIN-based debit/ATM cards.
- Costco Store Cards
- Money.
- Personal checks from current Costco members.
- Business checks from current Costco business members.
- Travelers checks.
What stores accept American Express?
It’s worth noting that stores that accept American Express credit cards generally also accept American Express prepaid gift cards. Note: The linked store names will direct you to our earlier research on each company’s payment options. Dillard’s [4] Kohl’s [8] Macy’s [9] Neiman Marcus [11] Nordstrom [12] Nordstrom Rack [13] Saks Fifth Avenue [14]
Does Costco accept all American Express cards?
Yes, for in-store purchases, Costco will only accept American Express credit cards. However, the key word is credit card because they also accept debit cards. However, if you shop on the Costco website, they accept all major credit cards.
Is American Express a good credit card company?
Amex (a WalletHub partner) has built this leadership on a reputation for strong customer service and attractive rewards. It is also one of the few credit card companies that offer charge cards. But an American Express credit card is not for everyone. For starters, you need good or excellent credit to get one.
Can I still use my American Express at Costco?
American Express is the only credit card accepted at Costco. You can use this credit card anywhere American Express is accepted. You will receive two reward checks, one from American Express and one from Costco. Use your card to buy gasoline.
