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The Best Credit Cards to Use at Costco in 2023

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By: Yapay Yazar

Created: 2 weeks ago

Top credit cards for Costco shopping in 2023

5 min Read

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    If you're a frequent shopper at Costco, having the right credit card can help you maximize your savings and earn valuable rewards. In this article, we will discuss the best credit cards to use at Costco in 2023. Whether you're looking for cash back, travel rewards, or just a card with no annual fee, we've got you covered. Let's dive in and explore the top credit cards that can enhance your shopping experience at Costco.

    Benefits of Using Credit Cards at Costco

    Before we jump into the specific credit card recommendations, let's quickly review the benefits of using credit cards at Costco. Here are some advantages to consider:

    1. Rewards and Cash Back: Many credit cards offer rewards or cash back on purchases, including those made at Costco. By using a credit card, you can earn valuable points or cash back that can be redeemed for travel, merchandise, or statement credits.

    2. Extended Warranty: Certain credit cards provide an extended warranty on eligible purchases. This can be particularly beneficial when buying electronic devices, appliances, or other expensive items at Costco.

    3. Purchase Protection: Credit cards often offer purchase protection, which can safeguard your purchases against damage, theft, or loss. This additional layer of protection can give you peace of mind when shopping at Costco.

    4. Convenient Payment Method: Using a credit card at Costco eliminates the need for carrying cash or writing checks. It offers a quick and convenient way to pay for your purchases, both in-store and online.

    With these advantages in mind, let's explore the best credit cards to use at Costco in 2023:

    1. Citi Costco Anywhere Visa® Card

    The Citi Costco Anywhere Visa® Card is exclusively designed for Costco members. It offers excellent rewards on everyday purchases, making it an ideal choice for frequent Costco shoppers. Here are the key features of this credit card:

    • Rewards Program: Earn 4% cash back on eligible gas purchases worldwide, including gas at Costco; 3% cash back on restaurant and eligible travel purchases; 2% cash back on all other Costco purchases; and 1% cash back on all other purchases.

    • No Annual Fee: Unlike many other rewards credit cards, the Citi Costco Anywhere Visa® Card does not charge an annual fee. This makes it a cost-effective choice for Costco members who want to earn rewards without extra fees.

    • Travel Benefits: This card provides travel benefits such as travel accident insurance, car rental insurance, and 24/7 travel and emergency assistance. These perks can be useful if you frequently travel for business or leisure.

    • Extended Warranty: With the Citi Costco Anywhere Visa® Card, eligible purchases made at Costco will receive an additional 24-month warranty. This can provide valuable peace of mind when purchasing electronics or other high-value items.

    2. Chase Freedom Flex(SM) Card

    The Chase Freedom Flex(SM) Card is a versatile credit card that offers cash back rewards and various benefits. While not specific to Costco, it can still be a valuable card to use for your Costco purchases. Here are the notable features of this card:

    • Cash Back Rewards: Earn 5% cash back on up to $1,500 in combined purchases in rotating bonus categories each quarter. Plus, earn 5% cash back on travel purchased through Chase Ultimate Rewards®, 3% cash back on dining, including takeout and eligible delivery services, 3% cash back on drugstore purchases, and 1% cash back on all other purchases.

    • Introductory Offers: Chase often offers attractive introductory offers for new cardholders. These may include bonus cash back or a 0% APR period, which can further enhance the value of using the card.

    • Flexible Redemption Options: The cash back earned with the Chase Freedom Flex(SM) Card can be redeemed for statement credits, gift cards, travel, or even transferred to Ultimate Rewards® program if you also hold a Chase Sapphire Preferred® Card or Chase Sapphire Reserve® Card.

    • No Annual Fee: This card does not charge an annual fee, making it an affordable option for Costco shoppers who want to earn rewards.

    3. American Express® Gold Card

    The American Express® Gold Card is an upscale card that provides excellent rewards, particularly in the dining and grocery categories. While not specifically tailored to Costco, it can still be a valuable card to use for your Costco purchases. Here are the main highlights of this card:

    • Rewards Program: Earn 4X Membership Rewards® points at restaurants worldwide and supermarkets in the U.S., up to $25,000 in purchases per calendar year, then 1X. Additionally, earn 3X Membership Rewards® points on flights booked directly with airlines or on amextravel.com.

    • Welcome Bonus: American Express often offers a generous welcome bonus for new cardholders. This bonus can provide a significant boost to your rewards balance when you meet the required spending threshold.

    • Travel Benefits: This card offers various travel benefits such as baggage insurance, car rental loss and damage insurance, and access to The Hotel Collection and The Global Lounge Collection®. These perks can enhance your travel experience when visiting Costco warehouses worldwide.

    • Luxury Dining Benefits: American Express Gold Cardholders enjoy a $120 annual dining credit, which can be redeemed at select restaurants and food delivery services. This credit can offset a portion of the dining expenses incurred during your Costco shopping trips.

    Comparison Chart - The Best Credit Cards to Use at Costco in 2023

    Credit Card Rewards Annual Fee Additional Benefits
    Citi Costco Anywhere Visa® 4% on gas, 3% on dining $0 Extended warranty, travel benefits
    Chase Freedom Flex(SM) 5% on rotating categories, 3% on dining $0 Introductory offers, flexible redemption options
    American Express® Gold Card 4X points on dining, 4X on U.S. supermarkets $250 Welcome bonus, travel and dining benefits

    Please note that these suggestions are based on the information available as of 2023. Credit card offers and rewards can change over time, so make sure to check the latest terms and conditions before applying for a credit card.

    Conclusion

    Choosing the best credit card to use at Costco in 2023 depends on your spending habits and preferences. The Citi Costco Anywhere Visa® Card is an excellent choice for Costco loyalists who want to earn substantial cash back on their purchases. If you prefer more flexibility, the Chase Freedom Flex(SM) Card offers rotating bonus categories and versatile redemption options. For frequent diners and grocery shoppers, the American Express® Gold Card provides generous rewards in those categories and valuable travel benefits.

    Consider your shopping habits, budget, and desired rewards when deciding which card is the best fit for you. Remember to always use credit cards responsibly and pay your balances in full each month to avoid interest charges. Happy shopping at Costco with your new credit card!

    Frequently Asked Questions (FAQs)

    What credit cards can I use at Costco?

    You can use any Visa credit card at Costco warehouses. Additionally, Costco also accepts cash, checks, debit cards, EBT cards, and Costco Cash Cards.

    Are there any specific credit cards that offer additional benefits at Costco?

    Yes, there are certain credit cards that offer additional benefits when used at Costco. Some of the best credit cards to use at Costco include the Costco Anywhere Visa Card by Citi and the Chase Freedom Unlimited Card, both of which offer cash back rewards on purchases at Costco.

    Do I need a membership to use a credit card at Costco?

    Yes, you need a valid Costco membership to shop at Costco or use any credit card at their warehouses.

    Is it worth getting a credit card just to use at Costco?

    It depends on your shopping habits and preferences. If you frequently shop at Costco and can take advantage of the additional benefits offered by certain credit cards, it may be worth getting a credit card specifically for Costco purchases. However, make sure to consider the annual fees and interest rates associated with the credit card before making a decision.

    Can I use a credit card for online purchases at Costco?

    Yes, you can use a Visa credit card for online purchases at Costco's website. Other payment methods, such as Costco Cash Cards, are also accepted for online transactions.

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