How Costco’s New Visa Anywhere Card Stacks up With Other Bonus Cards
Earlier this summer, Costco switched to Visa from American Express , which means they now only accept Visa in their stores. Naturally, they also issued a new bonus Visa card. Here’s a rundown of the benefits so you can decide if it’s worth registering.
The good news is that there is no annual fee for the card unless you consider your Costco membership to be part of the commission (the card is only available to Costco members). You might think the rewards for purchases at Costco would be top-notch, but they are roughly average. You get 2% cashback on anything you buy at Costco, and as NerdWallet points out, this is the standard rate for many other bonus cards.
However, this card is beneficial when buying fuel, travel and restaurants. NerdWallet writes:
The Costco Anywhere Visa card, by contrast, pays 4% on gas purchases from Costco and most gas stations for up to $ 7,000 per year, but not including gas purchased from other warehouse clubs. It turns out that the monthly gas costs are $ 583.
When it comes to travel and dining, you get 3% cashback on your purchases and there is no cap.
Unfortunately, there are also disadvantages. First, they charge a foreign transaction fee (3%). Plus, buyback options are not very attractive. You can exchange them for cash at the store, or get a Costco reward coupon mailed to you every February. You can also trade them for goods, but this is rarely a good option to use your rewards.
All in all, this is not a bad card if you are already a Costco member and spend a lot on restaurants or traveling. Please read the small print, however, because they indicate what counts as restaurant and travel expenses. However, this applies to any card. Check out the links below for more details.
Costco Anywhere Visa | Costco.com via NerdWallet