For many shoppers, Costco is a go-to destination for bulk purchases, competitive pricing, and exclusive membership benefits. However, when it comes to payment options, customers often ask: Does Costco accept American Express? If you’re wondering whether you can use your Amex card at Costco, here’s the definitive answer.
Does Costco Accept American Express?
The short answer is no. Costco does not accept American Express credit cards at its warehouse locations in the United States. This policy has been in place since June 20, 2016, when Costco ended its long-standing partnership with American Express and transitioned to an exclusive deal with Visa.
Before this change, American Express was the only credit card brand accepted at Costco warehouses. However, after the agreement between the two companies ended, Costco shifted its exclusive credit card acceptance to Visa, meaning that only Visa credit cards are usable for purchases made in-store.
Why Doesn’t Costco Accept American Express?
There are several reasons behind Costco’s decision to no longer accept American Express cards:
- Exclusive Agreements: Costco usually works with a single credit card network to secure lower transaction fees. The retailer previously had an exclusive deal with American Express, but after negotiations failed, Costco partnered with Visa instead.
- Lower Processing Fees: Visa likely offered Costco lower merchant processing fees compared to American Express. By working exclusively with Visa, Costco can keep costs down and pass on savings to customers.
- Wider Acceptance: Visa is more widely accepted globally compared to American Express, making it a more convenient option for many customers.
Which Credit Cards Does Costco Accept?
While American Express is not accepted, Costco in the U.S. does accept the following payment methods:
- Visa Credit Cards – Any Visa-branded credit card is accepted at Costco warehouses and gas stations.
- Costco Anywhere Visa® Card by Citi – This Visa-branded card, designed specifically for Costco members, offers cashback rewards on Costco purchases and other spending categories.
- Visa Debit Cards – These are also accepted for in-store and online purchases.
- Cash, Checks, and EBT – Costco continues to accept traditional forms of payment for in-store purchases.
- Mobile Payment Methods – Apple Pay, Google Pay, and Samsung Pay are accepted when linked to a Visa card.
Can You Use American Express at Costco Online?
Although American Express cards are not accepted at warehouse locations, they can be used for purchases on Costco.com. Unlike physical stores, Costco’s website accepts Visa, Mastercard, and Discover in addition to American Express.
How Can American Express Cardholders Shop at Costco?
If you are an American Express cardholder and still want to shop at Costco, you have a few options:
- Use a Different Credit Card: If you have a Visa credit card, use it for your Costco purchases.
- Rely on Debit Cards: A Visa debit card works just as well for making purchases.
- Use Cash or Other Payment Methods: Costco accepts cash and checks if you prefer not to use a Visa card.
- Shop Online: American Express is accepted for purchases made on Costco’s website.
Conclusion
While Costco no longer accepts American Express at its U.S. warehouse locations, customers still have several secure and convenient payment options. The retailer currently works exclusively with Visa for credit card transactions, meaning that only Visa credit and debit cards are accepted in-store and at Costco gas stations. However, for those who prefer to use American Express, shopping on Costco.com remains an option.
By understanding Costco’s credit card policies, shoppers can better prepare for their trips to the warehouse and maximize their payment options for convenience and rewards.
