The best credit cards for Costco shopping of 2022
This post contains links to products from our advertisers, and we may be compensated when you click on these links. Our recommendations and advice are ours alone, and have not been reviewed by any issuers listed. Terms apply to offers listed on this page. Read our editorial standards.
The best credit cards for shopping at Costco
When you need a really good deal on everyday grocery items like bulk frozen food, a massive bag of baby spinach, and almond milk — or larger purchases like car tires, a 600-bottle wine cellar, or funeral caskets, Costco is the place to go. You can even fill up your gas tank on the way out at prices strikingly lower than nearby gas stations.
Costco is a mecca of savings, and just by shopping there, you're taking a huge cut out of your expenses. With the right membership, you'll even earn 2% back on all your purchases. But with the right credit cards, there are ways to save even more.
Here are the best credit cards for Costco shopping. You'd be surprised to know that Costco credit cards aren't the best option.
Read more: Is a Costco membership worth it?
Best personal Costco credit card: Costco Anywhere Visa® Card by Citi
Costco has one personal credit card, and this is it. It's been well-optimized for Costco customers — though as you'll see, there are better options available.
The
- 4% cash back on eligible gas worldwide on up to $7,000 in spending each year (then 1%)
- 3% cash back on restaurants and eligible travel purchases worldwide
- 2% cash back on all other purchases from Costco and Costco.com
- 1% cash back on all other eligible purchases
As you can see, the card overperforms at gas stations. A 4% return is one of the best in the business, and you aren't even relegated to Costco pumps.
Read more: Costco Anywhere Visa Card review
Aside from the card's return rates, its only real benefits are purchase protection and that it doesn't charge foreign transaction fees.
The
Best Costco credit card for travel and purchase insurance: Costco Anywhere Visa® Business Card by Citi
The
- 4% cash back on eligible gas worldwide on up to $7,000 in spending each year (then 1%)
- 3% cash back on restaurants and eligible travel purchases worldwide
- 2% cash back on all other purchases from Costco and Costco.com
- 1% cash back on all other eligible purchases
Read more: Costco Anywhere Visa Business Card review
However, this card comes with useful travel and purchase benefits you won't find on the personal Costco credit card:
- Extended warranty protection
- Worldwide travel accident insurance
- Worldwide rental car insurance
Perks like extended warranty protection and damage/theft protection make this card a good option for expensive Costco purchases such as electronics or appliances.
Best all-around credit card for Costco shopping: Bank of America® Customized Cash Rewards Credit Card
Often the best credit cards for a specific store aren't the ones branded with the store's name. The
- 3% cash back in the category of your choice: Gas, online shopping, dining, travel, drug stores, or home improvement/furnishings*
- 2% cash back at grocery stores and wholesale clubs*
- 1% cash back on all other eligible purchases
*Bonus cash is only eligible for the first $2,500 in combined choice category/grocery store/wholesale club purchases each quarter. After that, you'll earn 1%.
In short, you'll get 2% on purchases when you shop in-store, and 3% when you shop at Costco.com if you choose online shopping as your 3% cash back category. Pretty great for a
The
Plus, if you're a Preferred Rewards member, you can earn up to 75% more cash back. Here's how you qualify:
- 25% bonus — You must have between $20,000 and $49,999 in combined balances in your BOA deposit and/or Merrill investment accounts
- 50% bonus — You must have between $50,000 and $99,999 in combined balances in your BOA deposit and/or Merrill investment accounts
- 75% bonus — You must have $100,000+ in combined balances in your BOA deposit and/or Merrill investment accounts
Imagine earning 5.25% when shopping online or 3.5% for shopping in-warehouse.
Best Chase Ultimate Rewards card for shopping at Costco: Chase Freedom Unlimited®
The
Read more: Chase Freedom Unlimited review
Here are the card's ongoing earning rates:
- 5% cash back (5x points) on travel purchased through Chase Ultimate Rewards
- 3% cash back (3x points) on dining and drugstore purchases
- 1.5% cash back (1.5x points) on all other eligible purchases
Unfortunately, Costco doesn't count as a grocery store with this card. But the ability to earn 1.5% cash back is better than it seems. That's because the
Chase Sapphire Preferred® Card Chase Sapphire Reserve® Ink Business Preferred® Credit Card
By transferring the rewards you earn on the
Other card benefits include:
- Purchase protection
- Extended warranty
Chase Freedom Unlimited® (thenChase Freedom Unlimited® )
The intro APR is generous and extremely valuable if you intend to make a large purchase for which you'll need to temporarily carry a balance.
Best travel credit card for shopping at Costco: Capital One Venture X Rewards Credit Card
The
Read more: Capital One Venture X review
Insider estimates Capital One miles are worth an average of 1.7 cents each when you transfer them to airline and hotel partners like Air Canada, Turkish Airlines, Wyndham, and more. If you agree with our valuations, earning 2 miles per dollar is equivalent to a 3.4% return.
The card charges a
- Up to $300 per year in statement credits toward Capital One Travel bookings
- Priority Pass and Capital One airport lounge access (worth at least $429 per year)
- 10,000-mile bonus each account anniversary (worth at least $100 in travel)
- Global Entry or TSA PreCheck application fee credit
- High-grade travel insurances
- Return protection
- Extended warranty
- Cell phone protection
Again, it's great to use a card with return protection and extended warranty protection when making sizable purchases from Costco.
This card also comes with
Bottom line
Costco credit cards are great if you spend a lot at Costco — but they're not the best. If you want pure cash back, the
Remember, the rewards you earn with any of the above credit cards are in addition to the potential 2% back you'll earn if you've got a Gold Star Executive membership. Stack this with a credit card like the