Costco Anywhere Visa Cardholders Enjoy 5% Cash Back on Gas Purchases

Costco has quietly enhanced gas rewards for holders of its branded credit card, providing an exciting opportunity for members to maximize their savings.

Members using the Costco Anywhere Visa Card, issued by Citi, can now earn a generous 5% cash back at Costco gas stations, an increase from the previous 4%. This change is significant for frequent Costco shoppers who rely on the warehouse’s gas stations for their fuel needs.

It’s important to note that this enhanced reward rate applies exclusively to gas purchases made at Costco locations. Purchases made at other gas stations or for electric vehicle (EV) charging do not qualify for the 5% cash back. However, members can still earn 4% cash back on eligible gas purchases made outside of Costco and for EV charging.

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Customers line up at the Costco membership and customer service counter in Florida. (Lindsey Nicholson/UCG/Universal Images Group via Getty Images / Getty Images)

Both the 5% and 4% cash back rates apply to the first $7,000 in a member’s annual purchases, allowing members to earn up to $350 instead of the previous maximum of $280. After reaching this annual spending cap, the cash back rate drops to 1% for the remainder of the year.

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Customers line up at a Costco gas station in Concord, California, on Wednesday, June 22, 2022. (David Paul Morris/Bloomberg / Getty Images)

“If you’re a Costco member, you may be able to earn Costco Cash Back Rewards on gas purchases with the Costco Anywhere Visa Card,” Citi stated. “It offers great cash back rewards on fuel as well as other purchases, allowing you to save money.”

This strategic move effectively encourages Costco’s more than 80 million paid members to consider upgrading to the co-branded credit card. This not only boosts profitability but also fosters greater loyalty among its already devoted customer base.

A Costco store in Alhambra, California, on Thursday, June 27, 2024. (Eric Thayer/Bloomberg via Getty Images / Getty Images)

Costco has consistently highlighted that maintaining a high renewal rate is a top priority, with rates hovering around 90% over the years.

Other rewards associated with the card remain unchanged. Cardholders will continue to earn 3% cash back on restaurants and eligible travel, including Costco Travel, 2% on purchases made at Costco, and 1% on all other purchases.

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The Costco Anywhere Visa Card, which offers benefits such as no foreign transaction fees and comprehensive travel protections, carries no annual fee but requires an active Costco membership. Rewards are issued annually as a certificate, typically after the February billing cycle, and can be redeemed for cash or merchandise at Costco warehouses.

FOX Business reached out to Costco for further information.

Costco has quietly enhanced gas rewards for holders of its branded credit card, providing an exciting opportunity for members to maximize their savings.

Members using the Costco Anywhere Visa Card, issued by Citi, can now earn a generous 5% cash back at Costco gas stations, an increase from the previous 4%. This change is significant for frequent Costco shoppers who rely on the warehouse’s gas stations for their fuel needs.

It’s important to note that this enhanced reward rate applies exclusively to gas purchases made at Costco locations. Purchases made at other gas stations or for electric vehicle (EV) charging do not qualify for the 5% cash back. However, members can still earn 4% cash back on eligible gas purchases made outside of Costco and for EV charging.

COSTCO TO OPEN NEW WAREHOUSE UNDER AFFORDABLE HOUSING DEVELOPMENT IN SOUTH LOS ANGELES

Customers line up at the Costco membership and customer service counter in Florida. (Lindsey Nicholson/UCG/Universal Images Group via Getty Images / Getty Images)

Both the 5% and 4% cash back rates apply to the first $7,000 in a member’s annual purchases, allowing members to earn up to $350 instead of the previous maximum of $280. After reaching this annual spending cap, the cash back rate drops to 1% for the remainder of the year.

COSTCO SHATTERS RECORDS WITH MASSIVE PIZZA AND PIE SALES DURING HOLIDAY SEASON

Customers line up at a Costco gas station in Concord, California, on Wednesday, June 22, 2022. (David Paul Morris/Bloomberg / Getty Images)

“If you’re a Costco member, you may be able to earn Costco Cash Back Rewards on gas purchases with the Costco Anywhere Visa Card,” Citi stated. “It offers great cash back rewards on fuel as well as other purchases, allowing you to save money.”

This strategic move effectively encourages Costco’s more than 80 million paid members to consider upgrading to the co-branded credit card. This not only boosts profitability but also fosters greater loyalty among its already devoted customer base.

A Costco store in Alhambra, California, on Thursday, June 27, 2024. (Eric Thayer/Bloomberg via Getty Images / Getty Images)

Costco has consistently highlighted that maintaining a high renewal rate is a top priority, with rates hovering around 90% over the years.

Other rewards associated with the card remain unchanged. Cardholders will continue to earn 3% cash back on restaurants and eligible travel, including Costco Travel, 2% on purchases made at Costco, and 1% on all other purchases.

CLICK HERE TO GET FOX BUSINESS ON THE GO

The Costco Anywhere Visa Card, which offers benefits such as no foreign transaction fees and comprehensive travel protections, carries no annual fee but requires an active Costco membership. Rewards are issued annually as a certificate, typically after the February billing cycle, and can be redeemed for cash or merchandise at Costco warehouses.

FOX Business reached out to Costco for further information.