Costco accepts Visa credit cards, but not American Express, Mastercard, or Discover

Costco's payment policy is straightforward: they take Visa cards and Visa debit cards at all warehouse locations and on their website. They do not take American Express, Mastercard, or Discover, even if you have a Costco membership. This has been Costco's standard since 2016, when they ended their exclusive relationship with American Express.

If you have a Costco Visa card (the co-branded card issued by Citi), that works everywhere Visa is accepted, including at Costco. If you have a regular Visa from another bank, it also works at Costco. The card issuer does not matter—only the Visa network.

This policy applies to in-warehouse purchases, online orders, and the Costco gas stations. You cannot use Mastercard or Discover at any of these locations, regardless of your membership status or the card's credit limit.

Key Takeaways

  • Costco accepts all Visa credit cards and Visa debit cards, but rejects Mastercard, American Express, and Discover at checkout.
  • The Costco Visa card, issued by Citi, earns rewards on Costco purchases and works at all Costco locations.
  • This payment policy applies to warehouse shopping, online orders, and Costco gas stations.
  • If you have a non-Visa card, you can still shop at Costco using cash, a debit card on the Visa network, or an electronic benefits card.

What payment methods Costco accepts besides Visa

Costco takes cash, checks, and debit cards on the Visa network. They also take electronic benefits transfer (EBT) cards for food purchases, and they accept contactless payments like Apple Pay and Google Pay—but only if your underlying card is a Visa.

If you want to use a rewards card at Costco, your only option is the Costco Visa card. You cannot earn rewards with Mastercard, American Express, or Discover at Costco, because Costco does not accept those networks.

The Costco Visa card and how it works

The Costco Visa card is a co-branded credit card issued by Citi. It earns 4% cash back on gas (at Costco and other stations), 3% on restaurants and travel, 2% on Costco purchases, and 1% on everything else. The cash back is paid as an annual reward certificate that you can use at Costco or redeem for a statement credit.

You do not need to be a Costco member to open the Costco Visa card, but you do need a membership to shop at Costco. The card has no annual fee. You can use it anywhere Visa is accepted, not just at Costco.

The Costco Visa card is the only credit card that earns rewards at Costco. If you shop at Costco regularly and want to earn cash back, this is the card to use.

Why Costco switched from American Express to Visa

Costco and American Express ended their exclusive partnership in 2015 and switched to Visa in 2016. The change happened because the two companies could not agree on fees. American Express charges merchants higher processing fees than Visa and Mastercard do, and Costco wanted to lower costs for members.

When the switch happened, Costco stopped accepting all American Express cards, including the Costco American Express card that had existed before. Members who had the old Amex card had to switch to the new Costco Visa card or use a different payment method.

What to do if you have a Mastercard or Discover

If your primary card is Mastercard or Discover, you have three options at Costco: pay with cash, use a debit card on the Visa network, or open a Costco Visa card.

Many people in this situation open the Costco Visa card specifically to shop at Costco and earn rewards. If you do not want another credit card, you can use cash or a Visa debit card instead. Some members keep a Visa debit card on hand just for Costco purchases.

Costco's payment policy is firm—there are no exceptions for high-value purchases, memberships, or special circumstances. If your card is not Visa, it will be declined at the register.

Costco's payment policy at gas stations

Costco gas stations follow the same Visa-only rule as the warehouses. You cannot use Mastercard, American Express, or Discover at the pump or at the gas station counter. You can pay with cash, a Visa debit card, or a Visa credit card.

The Costco Visa card earns 4% cash back on gas purchases, so it is the most rewarding way to pay at Costco's fuel stations if you have one.

Online shopping and Costco.com

Costco.com accepts the same payment methods as the warehouses: Visa credit cards, Visa debit cards, and cash (for in-warehouse pickup orders). You cannot use Mastercard, American Express, or Discover online.

If you order online for warehouse pickup, you can pay with Visa or cash. If you order for home delivery, you must use Visa. Some delivery services may have their own payment rules, but Costco itself only takes Visa for online transactions.

Frequently Asked Questions

Can I use my Mastercard at Costco if I have a membership?

No. Costco does not accept Mastercard at any location, regardless of membership status. Your only credit card option is Visa. You can pay with cash, a Visa debit card, or open a Costco Visa card.

Does Costco accept American Express?

No. Costco stopped accepting American Express in 2016 when they switched to Visa. This includes all American Express cards, including the old Costco American Express card. If you have an Amex, you will need to use cash or a Visa card at Costco.

Can I use Apple Pay or Google Pay at Costco?

Yes, but only if your underlying card is a Visa. Apple Pay and Google Pay are payment methods, not card networks. If your Visa card is linked to Apple Pay or Google Pay, you can use it at Costco. If your Mastercard or Amex is linked, it will not work.

Is the Costco Visa card worth opening?

That depends on how often you shop at Costco. The card earns 2% cash back on Costco purchases and has no annual fee, so it pays for itself quickly if you spend more than $50 a month at Costco. If you rarely shop there, a regular Visa card works just as well.

What if I forgot my Visa card at home?

You can pay with cash or a Visa debit card. Costco does not accept checks at all locations anymore, so cash is your backup option if you do not have a Visa card with you.