Is Costco's Credit Card Worth It? Here's What Members Say

There's many benefits to shopping at Costco. And if you're already a proper card-carrying Costco member, you may have considered the Costco Anywhere Citi Bank credit card. It doesn't have an annual fee, and it's another way to save money while shopping at Costco through cash back. If you're on the fence about it, members have some valuable insights that could help you with the decision.

On Reddit, one satisfied member shares: "'I've had one for almost 10 years. It's a nice card. Very simple. The dining and travel 3% multipliers are nice in addition to the 4/5% gas." Some members considered it a "no-brainer" if you go to Costco often; one reported spending $200 to $400 at the retailer every month, and the card felt worth it for the cash back they received. Another said that living within 2 miles from a Costco and getting 5% on gas justified the card alone.

Not everyone is convinced by the card. Members who are a bit more critical about the card point out that the card's rewards can only be redeemed once annually through Costco in-stores. As one Reddit user wrote, "Big nay. You have to wait a year for your cash back and then take an ancient relic paper check into Costco to get your cash." For more serious credit card strategists who maximize point-based spending, they consider the Costco credit card "mid."

While there isn't an annual fee for the credit card (unlike many others), it does require a Costco membership to apply. A standard membership costs $65 a year, so if you are already a Costco member, then there is no need to consider any sort of sign-up fee or additional costs. If you're not a Costco member yet, consider the pros and cons before signing up. Costco membership doesn't guarantee you'll be approved for the credit card — you still have to apply.

The credit card works anywhere that Visa cards are accepted, and outside the U.S., there are no foreign transaction fees (which are normally around 3%). As customers cited, the 5% back is one of the biggest perks — however, this is just for Costco gas. All other gas (plus EV charging) gets a rate of 4% back. This is the rate for up to $7,000 on these categories; purchases after this amount only receive 1% cash back. Travel and restaurants get 3% cashback, and interestingly, Costco purchases are at a lower rate of only 2% back. All other miscellaneous purchases are 1% back.

Overall, the card tends to be most valuable for shoppers who are already Costco members and already spend regularly here, especially if they buy a significant amount of gas. For those who may not primarily shop at Costco, or are interested in spending cash back or points somewhere other than the warehouse retailer, another no-annual-fee cashback card will be a better fit.