If you spend regular money at warehouse clubs, you've likely looked at the co-branded plastic in your wallet. The Costco Anywhere Visa Card by Citi functions as both a membership perk and an independent cash-back tool. It promises solid returns on gas, dining, and travel, but it operates under unique rules that catch many shoppers off guard. You don't get your rewards deposited monthly, and you must maintain an active warehouse membership to keep the account open.
We'll break down the true mechanics of this card so you can decide if it earns a permanent spot in your wallet or if you're better off looking elsewhere.
Rewards Structure and Earning Categories
The card splits your spending into distinct tiers. Understanding these percentages helps you map out where to swipe.
- Gas and EV Charging: You earn 5% back on gas at Costco locations worldwide. You also get 4% back on eligible gas and electric vehicle charging at non-Costco stations, though this higher rate applies only to the first $7,000 in combined spending per year, dropping to 1% after that threshold.
- Dining and Travel: The card yields 3% back on restaurants and eligible travel purchases, which includes flights, hotels, car rentals, and trips booked through Costco Travel.
- Warehouse Purchases: You net 2% back on all purchases made inside Costco warehouses and on Costco.com.
- Everything Else: All other general purchases earn a flat 1% back.
The Annual Payout Trap
Most cash-back cards let you redeem your earnings as statement credits or bank deposits whenever you want. This card works differently. Citi issues your rewards just once a year.
Your cash back accumulates over the course of the year and arrives as an annual reward certificate attached to your February billing statement. You can redeem that certificate for merchandise or actual cash at any U.S. Costco warehouse. If you close your account before that February statement closes, you forfeit those accumulated rewards entirely.
Fees and Financial Terms
Before you submit an application, look closely at the cost of ownership and borrowing rates.
- Annual Fee: There is no separate annual fee for the credit card itself, but you must maintain a paid Costco membership. A standard Gold Star membership starts at $65 per year.
- Foreign Transaction Fees: The card charges 0% for international purchases, making it a reliable companion if you travel abroad.
- APR: Variable purchase APRs run on the higher side, so carrying a monthly balance will quickly wipe out any cash-back gains.
Common Mistakes Cardholders Make
Shoppers often run into trouble by misunderstanding how specific retail categories code under Citi's system.
For example, dining out at a restaurant located inside a hotel or a department store might code as general merchandise rather than a restaurant, dropping your reward from 3% down to 1%. Similarly, purchases made at internal warehouse bakeries or food counters sometimes trigger unexpected merchant category codes.
Another frequent miscalculation involves the 2% warehouse rate. While the card is branded for Costco, you can find other no-annual-fee cards on the market that offer a flat 2% back on everything everywhere, without forcing you to wait until February to collect your earnings.
Frequently Asked Questions
Can I use the Costco Visa card anywhere?
Yes. Outside of the warehouse, it functions as a standard Visa card and is accepted globally wherever Visa is processed.
What happens to my cash back if I cancel my Costco membership?
Your credit card account requires an active, paid warehouse membership to remain in good standing. If your membership lapses or you cancel it, Citi will typically close your credit card account, and you will lose any unissued cash-back rewards.
Is there a welcome bonus for new applicants?
The card rarely offers an upfront sign-up bonus or introductory 0% APR period for purchases. You rely purely on ongoing category spending for your returns.
Can I deposit my rewards directly into my bank account?
You cannot transfer the annual reward certificate directly to a personal bank account online. You have to take the certificate to a physical Costco warehouse register to redeem it for cash or merchandise.
