The official date for the switch over is June 20. What does that mean for Costco shoppers?
Costco cardholders make the switch
On June 20, you will be able to use the new Costco Anywhere Visa Card by Citi that you may have gotten in the mail. They are sending them out through June. You will also receive a new account number.
June 19 is the absolute last day you will be able to use your TrueEarning Card from Costco. However, it will also be the last day you can use any other American Express credit card as well.
Will it hurt your credit?
Many Costco customers are worried that switching to a new credit card will ding their credit. However, Costco has assured everyone that their credit history will not be pulled in order to receive a Costco-Visa card. TrueEarnings customers are simply being transferred over to Visa.
Your rewards (cash back bonuses) will also be transferred to your Visa account. However, AmEx Membership Rewards points will be forfeited unless you open a new account with AmEx. You will have to re-apply for an American Express card for those points to transfer.
You won’t be able to use your AmEx anywhere
After June 19, your TrueEarning Costco and American Express card will be absolutely useless. However, the new co-branded cards will be usable at stores other than Costco.
You’ll be paying Citi
Once the switch is made, all of your payments will go to Citi. As of June 20, Citi is inheriting all of the accounts and debts owed to AmEx through the TrueEarnings Costco Card.
It will double as a membership card
If you had a co-branded Costco and American Express card you know that it doubled as your membership card. Citi-Visa will be continuing this practice with no annual fee (only your $55 Costco membership).
The rewards for the Visa are attractive
With the Costco-Visa card, you will earn 4 percent cash back on gas purchases up to $7,000 during the year. You will also get 3 percent cash back at restaurants and eligible travel expenses, 2 percent back on purchases at Costco and Costco.com and 1 percent back on all other purchases. Costco expects its customers will be impressed with additional bonuses offered by Visa.
You don’t have to use it
If you got a Citi card in the mail and you don’t want it, you don’t have to use it to shop at Costco. Costco will be accepting any Visa card now. However, be sure to keep your card in a safe place because it is still your membership card for the wholesale club.
Do you have more questions about the Costco-Visa switch? We may have the answers. Comment below and let us know your thoughts, questions and concerns about Costco’s switch to Visa.
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For more info on Costco check out these articles.
You can check out our articles for Target as well.
Photo: Flickr: Mike Mozart