Which Credit Cards Work at Costco and Why Some Don't
Costco only takes Visa credit cards, plus their own Costco Anywhere Visa card
Costco does not accept American Express, Mastercard, or Discover credit cards at their warehouse locations or on their website. If you show up with a different card, the register will decline it. The only credit cards that work are Visa cards — whether from your bank or a credit union — and the Costco Anywhere Visa Card, which is Costco's own branded card.
This restriction has been in place since 2016, when Costco ended their partnership with American Express. Before that, Amex was the only card Costco took. The switch to Visa happened because Costco wanted lower processing fees and the ability to offer their own card with rewards tied to Costco purchases.
Debit cards, prepaid cards, and cash still work at Costco. So do Costco Cash gift cards. The Visa-only rule applies only to credit cards.
Key Takeaways
- Any Visa credit card from any bank or credit union will work at Costco, both in the warehouse and online.
- The Costco Anywhere Visa Card is Costco's own card and earns rewards on Costco purchases, but you must be a Costco member to get it.
- American Express, Mastercard, and Discover credit cards are not accepted at Costco, even if you have been a member for years.
- If you have only a non-Visa credit card, you can still shop at Costco using a debit card, prepaid card, or cash.
How a regular Visa credit card works at Costco
Any Visa card issued by any bank works at Costco. You do not need to do anything special — just bring your card and use it like you would anywhere else. The card is processed the same way, and you earn whatever rewards your bank offers with that card.
If your bank's Visa card earns cash back on all purchases, you get that cash back on Costco purchases. If it earns bonus rewards on groceries or gas, those rewards apply at Costco too. Costco does not interfere with how your bank's rewards work.
This is the simplest option if you already have a Visa card. You do not need to open a new account or switch anything.
The Costco Anywhere Visa Card and its rewards
The Costco Anywhere Visa Card is a credit card issued by Citi Bank that is branded with the Costco logo. It is designed specifically for Costco members and earns rewards on Costco purchases. You must have an active Costco membership to get this card.
The card earns 4% cash back on gas purchases at Costco gas stations (up to $110 per year, then 1% after that), 3% cash back on Costco restaurant and travel purchases, 2% cash back on all other Costco purchases, and 1% cash back on all other purchases outside Costco. There is an annual fee, which varies depending on the membership level you have.
The rewards are paid as an annual rebate that appears as a credit on your Costco membership account. You cannot redeem the rewards as cash or transfer them elsewhere — they stay within Costco.
What happens if you try to use a non-Visa card
If you attempt to pay with an American Express, Mastercard, or Discover card, the register will decline the transaction. The cashier cannot override this — it is a system-wide restriction, not a judgment call. You will need to provide a different payment method.
This happens at the warehouse register, at the gas station, and on the Costco website. There is no exception for members who have been shopping at Costco for decades or for cards with high credit limits.
If you discover you have only a non-Visa credit card when you reach the register, you can ask to use a debit card, prepaid card, or cash instead. Costco also accepts their own Costco Cash gift cards if you have one.
Comparing Visa options for Costco shopping
| Card Type | Annual Fee | Rewards at Costco | Rewards Outside Costco | Who Should Use It |
|---|---|---|---|---|
| Regular Visa from your bank | Varies by bank (often $0) | Depends on your bank's rewards | Depends on your bank's rewards | Anyone who already has a Visa and wants simplicity |
| Costco Anywhere Visa Card | Yes (amount depends on membership tier) | 2–4% cash back depending on category | 1% cash back | Costco members who shop frequently and want rewards tied to Costco |
When to switch to a Visa card if you do not have one
If you shop at Costco regularly and your current credit card is not Visa, you have two paths. The simpler one is to open a basic Visa card from your bank or credit union. Most banks offer Visa cards with no annual fee, and you can use it anywhere, not just Costco. This takes a few days to a week.
The second path is to get the Costco Anywhere Visa Card if you are a Costco member. This card is worth considering only if you shop at Costco frequently enough that the 2% to 4% rewards offset the annual fee. For occasional shoppers, a regular Visa card with no annual fee makes more sense.
If you shop at Costco infrequently, you can also continue using debit, cash, or prepaid cards. There is no requirement to have a credit card at all.
Frequently Asked Questions
Can I use my American Express card at Costco if I call ahead?
No. Costco's payment system does not accept American Express under any circumstances. Calling ahead, having a manager override, or being a long-time member will not change this. You will need to bring a Visa card, debit card, or cash.
Does the Costco Anywhere Visa Card work outside of Costco?
Yes, it is a regular Visa card and works anywhere Visa is accepted. Outside Costco, it earns 1% cash back on all purchases. The higher rewards (2% to 4%) only apply to Costco purchases.
What if I have a Visa debit card instead of a credit card?
Visa debit cards work at Costco just like Visa credit cards do. The payment process is the same. The only difference is that the money comes directly from your bank account rather than being charged to a credit line.
Can I use a Costco Cash gift card if I do not have a Visa card?
Yes. Costco Cash gift cards are accepted at all Costco locations and online, regardless of what other payment methods you have. They work like a prepaid card and do not require a credit card.
Will Costco ever accept other credit cards again?
Costco has not announced any plans to accept other card types. The Visa agreement has been in place since 2016 and appears to be their standard going forward. If this changes, Costco will announce it publicly.