Wouldn’t it be great to get perks just for shopping? That’s exactly what you’ll enjoy when you use your Costco Anywhere Visa Card by Citi, a rewards credit card especially designed for Costco members. The Costco Citi Card rewards are in the form of cashback on all eligible purchases made in Costco and anywhere else in the world where Visa is accepted, and has a better APR than any no credit check loan.
What rewards can you expect to receive?
The simple reward scheme of the card is easy to remember:
4% – Cashback on gas bought at Costco and all other eligible gas purchases worldwide; capped at $7000 a year
3% – Cashback on eligible restaurant expenses and travel purchases worldwide; no cap
2% – Cashback on all other purchases made in Costco stores or Costco.com; no cap
1% – Cashback on all other eligible purchases including gas beyond $7000 threshold; no cap
The card can be used internationally, but you don’t pay foreign transaction fees on purchases. You also don’t pay an annual fee for the card as long as you maintain your paid Costco membership. For additional convenience, the card serves as your Costco membership ID. For this reason, it is one of the best rewards credit cards to have.
Other non-cashback benefits that come with the card include worldwide care rental insurance, worldwide travel accident insurance, trip cancellation and interruption protection, roadside assistance dispatch service, travel and emergency assistance, damage and theft purchase protection, extended warranty, and Citi Price Rewind.
When can you use Costco Citi Card rewards?
You’ll receive your Costco Citi Card rewards once a year with your February billing statement. You will be given an annual credit card reward certificate which you can convert to cash or use for shopping at Costco warehouses in the US. Some people want their rewards to be readily available for use whenever they want, so if you’re one of those folks, this arrangement may not be suitable for you. Nevertheless, other people do like getting a lumpsum reward because they plan to use it for a big purchase, or they simply want having something to look forward to. If you belong in this group, the months leading up to the release of the reward certificate will be filled with anticipation, not frustration.
Who should get this card?
Is it worth becoming a Costco member just for the sake of getting the card? It all boils down to your spending habits. Costco membership fees start at $60, whereas you can find other rewards cards with lower annual fees or none at all. Also, this card doesn’t come with a signup bonus, so you’ll have to use it to start earning rewards. But if you don’t shop at Costco, you’d be missing out on the 2% cashback on unlimited purchases. The alternative is to use the card for traveling and dining to earn back the $60.
On the other hand, if you’re already a member of Costco or planning to be one, this card is for you – even more so if you love to travel and dine out. Because there’s no annual fee, keeping the card doesn’t incur an additional expense, which should give you another good reason to get one. You’ll also be getting better value from your Costco membership when you earn back the membership fee and more. If you spend $2500 on Costco items (the average amount members spend annually) and $2000 on gas (the average amount an American family spends annually) in one year, then you’ll get $50 and $80 respectively as part of your rewards.
If you’re not a regular Costco shopper, you may find it difficult to earn a significant level of Costco Citi Card rewards to make the card worth your time. Also, if you prefer several redemption options, want readily available rewards, or expect signup bonuses, you’re better off with another card that suits your needs. But if you’re part of the specific niche it targets, then this card deserves a slot in your wallet.
Here are some other articles you may enjoy:
Cheap Insurance for New Drivers: Your Guide
Keep More of Your Money: The Best Credit Card for Cash Back
Your Guide to Finding the Best Credit Card Rates
What Are the Disadvantages of an Instant Credit Card?