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What Credit Cards Does Costco Canada Accept?

Best Costco Credit Cards in Canada for 2024

Cory Santos

By Cory Santos

🗓️

Updated: September 23, 2024

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What credit cards does Costco Canada accept?

Costco is a popular destination for budget and quality-conscious Canadian shoppers. The warehouse-style retailer offers variety, convenience, and low prices in its bulk-sized shopping experience, and its successful retail model has resulted in several new Canadian stores being opened in the past few years.

A Costco membership costs $60 per year for those who want a basic plan for themselves and their spouse, but shopping with a smart, Costco-compatible credit card can easily make up for that membership fee via cash back and/or rewards.

Costco eligibility

What credit cards can you use at Costco?

Costco had a 15-year, exclusive relationship with American Express until 2014, offering co-branded Amex cards for Costco shoppers to use as both their proof of membership and their payment method. But a rift developed between the two companies and they ultimately parted ways, with Mastercard taking over as Costco’s new credit card processor in 2015.

Mastercard’s ongoing credit card partnership with Costco’s Canadian warehouses is exclusive; Amex and Visa credit cards are unfortunately not accepted as a means of payment at Costco warehouse registers.

Costco.ca still accepts Visa credit cards, but for the purposes of this article we’ll be picking Mastercards only, as they’re universally accepted at every Costco point of sale in Canada—warehouses, online, and at gas stations. 

Summary of picks

Best Costco Mastercards for Canadians in 2024

Card Name Rewards Get Started
Rogers Red World Elite® Mastercard®
Best no-fee card with rewards
Apply Now
CIBC Costco Mastercard Best for Costco gas & dining
Apply Now
PC® Mastercard® Best for PC Optimum points
Visit PC Financial
RBC Cash Back Preferred World Elite Mastercard Best for Everyday Purchases
Apply Now
BMO CashBack® World Elite®* Mastercard®* Best for grocery rewards
Apply Now

Expert tip: Get a Costco branded Mastercard with a high earn rate

Costco cards are limited to Mastercard options if you want to shop in-store, but make sure to read the fine print on rewards because despite being the credit card brand of choice, Costco purchases may be excluded from high earn-rate categories. Costco is one of the most popular grocery stores that Canadians shop for. However, many Canadians are often surprised to know that their credit cards don’t work quite the same way at Costco as they do at other grocery stores. Not only does Costco only accept Mastercard branded credit cards in their warehouse stores, but many credit cards with rewards points don’t always work the same way when shopping here either. Shopping at Costco is often an exception to higher-earn categories, specifically when it comes to groceries. Look for a Costo-branded Mastercard to get the most out of your big shops here.

—Hannah Logan, Money.ca credit card, saving and travel expert

Keep in mind that many of Canada’s best cash back credit cards and rewards cards give their highest earn rates for grocery purchases.

But Mastercard’s merchant codes (the system by which stores are sorted into purchase categories) do not recognize Costco as a grocery store, so we’ve generally chosen credit cards that offer favourable flat cash back or rewards rates to customers on all their purchases—Costco included.

Best overall

Best Costco credit card overall

Rogers Red World Elite® Mastercard®

Apply now

4.2

Excellent

Suggested credit score

to receive the latest news, tips and offers by email

Apply now

Pros

  • Lucrative cash back rates on USD and CAD purchases, especially for Rogers, Fido or Shaw customers

  • No annual fee with valuable insurance benefits

  • Competitive against foreign transaction fee cards

  • Convenient cash back redemption options

  • Redemption bonus of 1.5x more cash back every time you redeem for Rogers, Fido or Shaw purchases

  • Travel insurance perks and airport lounge access

Cons

  • High income requirement: $80,000 personal or $150,000 household

  • Foreign transaction fee applies

  • Limited redemption options for statement credits

Eligibility

Recommended Credit Score

Excellent

Required Annual Personal Income

$80,000

Required Annual Household Income

$150,000

Pros

  • Lucrative cash back rates on USD and CAD purchases, especially for Rogers, Fido or Shaw customers

  • No annual fee with valuable insurance benefits

  • Competitive against foreign transaction fee cards

  • Convenient cash back redemption options

  • Redemption bonus of 1.5x more cash back every time you redeem for Rogers, Fido or Shaw purchases

  • Travel insurance perks and airport lounge access

Cons

  • High income requirement: $80,000 personal or $150,000 household

  • Foreign transaction fee applies

  • Limited redemption options for statement credits

Eligibility

Recommended Credit Score

Excellent

Required Annual Personal Income

$80,000

Required Annual Household Income

$150,000

Earn 3% unlimited cash back on purchases made in US dollars

3%

Earn 2% unlimited cash back on all eligible non-US dollar purchases if you have 1 qualifying service with Rogers, Fido or Shaw

2%

Earn 1.5% unlimited cash back on everything else

1.5%

Get 1.5x more cash back every time you redeem for Rogers, Fido or Shaw purchases

1.5x Cash Back

Purchase APR

20.99%

Balance Transfer Rate

22.99%

Cash Advance APR

22.99%

Annual Fee

$0

Foreign Transaction Fee

2.5%

A Rogers card catering to both Costco fans and travel junkies is the Rogers Red World Elite® Mastercard®. 

It grants 1.5% cash back for all purchases made in Canadian dollars. That’s almost double Costco’s own Mastercard, plus cardholders will also earn 3% back on all eligible purchases made in U.S. dollars. (net 0.5% after the foreign transaction fee).

And, if you're a Rogers customer, get 2% back on all eligible non-U.S. dollar purchases (with 1 eligible Rogers service).

As a World Elite card, it also provides insurance for out-of-province medical needs, car rentals, trip interruption and cancellation, and protection for new items bought with the card. There’s $0 annual fee, but you’ll have to demonstrate $80,000 in annual personal income to be eligible.

*Terms and conditions apply.

Best co-branded

CIBC Costco®† Mastercard®

Apply now

4.1

up to 3% back

Welcome offer

Good

Suggested credit score

Earn up to 3% cash back on eligible purchases everywhere Mastercard is accepted.

Apply now

Pros

  • No annual fee

  • No fee for additional cards

  • Earn up to 3% cash back

  • Can double as your Costco membership card (though you’ll still have to pay the Costco membership fee)

  • Mobile device insurance

Cons

  • Exclusive to Costco members

  • Low cash back rate of 1% for purchases at Costco

  • High interest rate of 20.75%

  • Cash back can only be redeemed at Costco

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$15,000

Pros

  • No annual fee

  • No fee for additional cards

  • Earn up to 3% cash back

  • Can double as your Costco membership card (though you’ll still have to pay the Costco membership fee)

  • Mobile device insurance

Cons

  • Exclusive to Costco members

  • Low cash back rate of 1% for purchases at Costco

  • High interest rate of 20.75%

  • Cash back can only be redeemed at Costco

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$15,000

cash back at restaurants and at Costco gas

3%

cash back at other gas stations and at Costco.ca

2%

cash back on all other purchases including at Costco

1%

Purchase APR

20.75%

Balance Transfer Rate

22.49%

Cash Advance APR

22.49%

Annual Fee

$0

Foreign Transaction Fee

2.5%

When looking at Costco credit cards, many people will consider the CIBC Costco Mastercard since it’s Costco's official co-branded credit card.

With this card, you’ll earn 3% cash back at restaurants and at Costco gas†; 2% cash back at other gas stations and at Costco.ca†; and 1% cash back on all other purchases†.

While the earning rate is respectable, there’s no increased offer on in-store Costco purchases. That means when you shop at Costco warehouses and pay with your CIBC Costco Mastercard, you’ll only earn 1% cash back.

There are a few additional benefits with the CIBC Costco Mastercard. Your card doubles as your Costco membership, so you don’t need to worry about bringing your membership card with you. You also get mobile device insurance, purchase security, and extended warranty on purchases charged to your card.

You must have a Costco membership to apply for the card, but there’s no annual fee ($0). Up to 3 additional cardholders for $0. The only other requirement is a minimum annual income of $15,000.

If you have a minimum personal income of $60,000 or a household income of $100,000, you may qualify for the CIBC Costco World Mastercard. The two cards are the same, but the World version has a few extra benefits, such as car rental insurance. 

  • “The information for the CIBC Costco Mastercard has been collected independently by Money.ca. The card details on this page have not been reviewed or provided by the card issuer.”
  • †Terms and Conditions Apply. This offer is not available for residents of Quebec.
Best RBC card

RBC Cash Back Preferred World Elite Mastercard

Apply now

3.6

Good

Suggested credit score

to receive the latest news, tips and offers by email

Apply now

Pros

  • High flat cash back rate

  • No annual fee for additional cardholders

  • No limit to cash back earned²

  • Access to Mastercard World Elite Benefits

  • Save 3₵ per litre on Gas at Petro-Canada and Earn 20% More Petro-Points⁷

  • Redeem cash back anytime once you hit $25

  • Complimentary access to Boingo‡ Public Wi-Fi

  • Auto Rental Collision/Loss Damage⁴, Purchase and Extended Warranty Insurance³

Cons

  • High minimum income requirements

  • $25,000 Cap on 1.5% Cash Back (but earn 1% Cash Back after $25,000)¹

  • No medical, travel or accidental death insurance

  • No welcome bonus or introductory rates

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$80,000

Required Annual Household Income

$150,000

Pros

  • High flat cash back rate

  • No annual fee for additional cardholders

  • No limit to cash back earned²

  • Access to Mastercard World Elite Benefits

  • Save 3₵ per litre on Gas at Petro-Canada and Earn 20% More Petro-Points⁷

  • Redeem cash back anytime once you hit $25

  • Complimentary access to Boingo‡ Public Wi-Fi

  • Auto Rental Collision/Loss Damage⁴, Purchase and Extended Warranty Insurance³

Cons

  • High minimum income requirements

  • $25,000 Cap on 1.5% Cash Back (but earn 1% Cash Back after $25,000)¹

  • No medical, travel or accidental death insurance

  • No welcome bonus or introductory rates

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$80,000

Required Annual Household Income

$150,000

Earn up to 1.5% cash back on your spending without limit.

1.5%

Link your card and instantly save 3¢/L on fuel and get 20% more Petro-Points

$0.03

Get 50 Be Well points for every $1 spent on eligible products at Rexall

50

Purchase APR

20.99%

Balance Transfer Rate

22.99%

Cash Advance APR

22.99%

Annual Fee

$99

Foreign Transaction Fee

2.5%

When it comes to navigating Costco runs in Canada, the RBC Preferred World Elite Mastercard offers you a seamless shopping experience.

Accepted at Costco locations across the country, this card ensures you can stock up on your essentials with ease. Say goodbye to carrying cash or multiple cards—simply swipe your RBC Preferred World Elite Mastercard and enjoy the convenience of a single payment method at Costco.

A minimum personal income of $80,000 or a minimum household income of $150,000 is required to qualify for this card. It also has a annual fee.

If you're comfortable with the annual fee, the perks don't stop there. With the RBC Preferred World Elite Mastercard, you unlock a host of benefits designed to enhance your everyday transactions and lifestyle.

Enjoy up to 1.5% back on all purchases (without limit), allowing you to earn while you spend. Whether you're stocking up on groceries at Costco, dining out with friends, or making online purchases, every transaction earns you valuable cash back rewards, putting money back in your pocket with every swipe.

In addition to cash back rewards, the RBC Preferred World Elite Mastercard offers premium perks tailored to elevate your overall experience.

From convenient insurance coverage for car rentals to Mastercard airport experiences provided by DragonPass, this card ensures you're well taken care of wherever you go. Plus, stay connected with its complimentary Boingo‡ Wi-Fi account and access over 1 million hotspots worldwide. And benefit from instant-fuel savings at Petro-Canada or maximize your Be Well points at Rexall with your RBC Preferred card. Get a 12-month complimentary DashPass subscription18 – a value of almost $120. Enjoy unlimited deliveries with $0 delivery fees on orders of $15 or more when you pay with your eligible RBC credit card

*This post contains affiliate links. Please read disclaimer for more info.

Refer to RBC page for up to date offer terms and conditions

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Best newcomers card

Best for no annual fee

PC® Mastercard®

Apply now

3.2

10 pts per $1

Welcome offer

Good

Suggested credit score

Earn 10 points per $1 spent at PC grocery stores

Apply now

Pros

  • No annual fee, ideal for budget-conscious shoppers

  • Earn 10 points per $1 spent everywhere

  • Accelerated points at Esso, Shoppers Drug Mart, and PC Travel

  • Points redeemable at over 2,500 stores nationwide

  • Purchase insurance and extended warranties for added protection

Cons

  • Middle-of-the-road rewards compared to other no-fee cards

  • Limited redemption options compared to some competitors

  • Lacks introductory benefits like bonus points

  • Requires spending at specific stores for maximum benefits

  • Point value may seem low initially, despite earning potential

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$15,000

Pros

  • No annual fee, ideal for budget-conscious shoppers

  • Earn 10 points per $1 spent everywhere

  • Accelerated points at Esso, Shoppers Drug Mart, and PC Travel

  • Points redeemable at over 2,500 stores nationwide

  • Purchase insurance and extended warranties for added protection

Cons

  • Middle-of-the-road rewards compared to other no-fee cards

  • Limited redemption options compared to some competitors

  • Lacks introductory benefits like bonus points

  • Requires spending at specific stores for maximum benefits

  • Point value may seem low initially, despite earning potential

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$15,000

Earn 10 points per $1 spent everywhere

10 points

Earn 2c per litre in PC Optimum points at Esso and Mobil

2 cents

Earn 30 points per $1 when purchasing travel through President’s Choice

30 points

Earn 25 points per $1 at Shoppers Drug Mart and Pharmaprix

25 points

Purchase APR

21.99%

Balance Transfer Rate

22.97%

Cash Advance APR

22.97%

Annual Fee

$0

With the PC Financial Mastercard, you’ll earn 10 PC Optimum points per dollar you spend while shopping at  Costco. This is a great option for your Costco purchases because, chances are, you do your regular grocery shopping elsewhere. If you choose a Loblaw’s branded store, points you earn at Costco can help offset your regular grocery bill.

Shoppers Drug Mart often has bonus redemption events to further boost the value of your PC Optimum points. That’s where you can redeem a set number of points for more than they’re usually worth. Earn 25 points per $1 at Shoppers Drug Mart and Pharmaprix. For example, you could redeem 200,000 PC Optimum points for $300 off. The regular value is $200, so that’s a 50% increase.

This card is also appealing because it’s relatively easy to be approved for. You only need an annual income of $15,000 and you don't need to have outstanding credit to be considered. Other factors may apply when determining your eligibility, but this card has fewer restrictions than other rewards cards.

  • Sponsored advertising. President’s Choice Financial® Mastercard® is provided by President’s Choice Bank. The PC Optimum™ program is provided by President's Choice Services Inc. President’s Choice Bank is not responsible for the contents of this site, including any editorials or reviews that may appear on this site. For complete information regarding the PC® Mastercard®, PC® World Mastercard®, or PC® World Elite Mastercard®, please click on the “Apply Now” or other applicable button.
Best for grocery rewards

Best Costco card with grocery rewards

BMO CashBack® World Elite®* Mastercard®*

Apply now

4.9

up to 10%

Welcome offer

Excellent

Suggested credit score

Get up to 10% cash back in your first 3 months and the $120 annual fee waived in the first anniversary*.

Expires

Nov 30, 2024

Apply now

Pros

  • Valuable sign-up bonus

  • High 5% cash back rate on groceries

  • Free roadside assistance

  • Excellent extended warranty and purchase protection terms

Cons

  • Restrictive spending limits for most cash back categories

  • Sign-up bonus structure is head-scratchingly complicated

  • High minimum income requirements

Eligibility

Recommended Credit Score

Excellent

Required Annual Personal Income

$80,000

Required Annual Household Income

$150,000

Pros

  • Valuable sign-up bonus

  • High 5% cash back rate on groceries

  • Free roadside assistance

  • Excellent extended warranty and purchase protection terms

Cons

  • Restrictive spending limits for most cash back categories

  • Sign-up bonus structure is head-scratchingly complicated

  • High minimum income requirements

Eligibility

Recommended Credit Score

Excellent

Required Annual Personal Income

$80,000

Required Annual Household Income

$150,000

Groceries: 5% cash back up to $500 spent per month ($25 in cash back)*

5%

Transit: 4% cash back up to $300 spent per month ($12 in cash back)*

4%

Gas: 3% cash back up to $300 spent per month ($9 in cash back)*

3%

Recurring Bills: 2% cash back up to $500 spent per month ($10 in cash back)*

2%

Everything Else: 1% cash back, unlimited*

1%

Purchase APR

20.99%

Balance Transfer Rate

23.99%

Cash Advance APR

23.99%

Annual Fee

$120

Foreign Transaction Fee

2.5%

One of the best cash back credit cards in Canada is the BMO CashBack® World Elite®* Mastercard®*.

It’s a great card overall since you’ll earn 5% in cash back on groceries; 4% on transit, 3% on gas; 2% on recurring bills; and 1% on everything else (including Costco). While these earning rates are fantastic, there are billing cycle caps of $500 on groceries; $300 on transit; $300 on gas; and $500 on recurring bill payments. If you exceed those amounts, you’ll earn 1% cash back.

Another appealing aspect of this card is that you can redeem your cash back for as little as $1. That means no waiting for monthly or annual payouts like other cards. In addition, you can apply your cash back as a statement credit, have it deposited to your BMO account, or even invest it with BMO InvestorLine. 

Since this is a World Elite Mastercard, the annual personal income of $80,000 or household income of $150,000 does apply.

You also get the standard World Elite benefits such as free Boingo Wi-Fi, and a free membership in Mastercard Travel Pass provided by DragonPass (no free passes). The welcome bonus: Get up to 10% cash back in your first 3 months and the $120 annual fee waived in the first anniversary*

  • *Terms and conditions apply.
  • BMO is not responsible for maintaining the content on this site. Please click on the Apply now link for the most up to date information.

Costco online

Which Costco credit cards can you use online?

To compete with other dominant retailers (we’re looking at you, Amazon), Costco has brought online ordering and home delivery to Canadians. It’s already available in most of Canada, leading us to ask: Which card is best for ordering online at Costco.ca? While any of the above Mastercards will more than suffice, Costco has also invited Visa cardholders to use their cards as well—but only for online shopping (not useable for shopping in Costco warehouses). Check out our list of the best Visa cards in Canada if you do most of your Costco shopping online and haven’t found a Mastercard in this article to your taste.

Costco groceries

Can you earn grocery rewards at Costco?

Grocery rewards are highly sought after by the average Canadian, as they offer significant value. However, if you're specifically looking for a Costco grocery card, I'm sorry to inform you that Costco is not categorized as a grocery store according to Mastercard's merchant code system. This means that even if your credit card offers bonus rewards for grocery purchases, you won't earn any additional points or cash back when using your card at Costco. 

Why Mastercard?

Why is Mastercard the only credit card accepted at Costco?

Although it’s never been officially disclosed, Costco likely only accepts Mastercard in Canada because they’ve negotiated an exclusive deal with the payment network. Whenever a Costco customer pays with their credit card, Mastercard gets a small percentage since they’re the host payment network. By agreeing to an exclusive deal with Mastercard, Costco can pass on any savings to the consumer.

It’s worth noting that Mastercard wasn’t always the only credit card accepted by Costco. There used to be an exclusive agreement with American Express, but that deal ended in 2014. The official Costco credit card can change at any time. Right now, the partnership is with CIBC, but previously, Capital One was the provider.

Costco payments

Payment methods and credit cards accepted at Costco Canada

There are four main payment methods available at Costco warehouses:

  • Credit cards (only Mastercard)
  • Cash
  • Debit
  • Costco gift cards

You’re allowed to make your payment with any combination of the three. 

FAQs

FAQs

  • Does Costco take American Express?

    +

    American Express cards are not accepted at Costco warehouses or online at Costco.ca. That said, you can indirectly use your American Express credit card for Costco purchases. To do this, you would find a grocery store that accepts American Express and sells Costco gift cards. You would purchase those gift cards with your American Express credit card. Then, when you’re shopping at Costco, you pay with your gift cards.

    This strategy can benefit people who don’t have a Mastercard or prefer to earn points with their American Express credit card.

  • What credit cards does Costco Canada accept?

    +

    Costco warehouses and Costco business centres accept any Mastercard. This includes any prepaid card that uses the Mastercard network. Some financial institutions that offer Mastercards include RBC, BMO, Rogers Bank, PC Financial, Brim Financial, Tangerine, CIBC, and Neo.

  • Does Costco Canada accept Visa?

    +

    Visa is not accepted at Costco warehouses or Costco business centres in Canada. However, Visa can be used for purchases made at Costco.ca.

  • What’s the best Costco credit card?

    +

    The best Costco credit card depends on your needs. Someone that shops a lot at Costco.ca should consider the CIBC Costco Mastercard since it gives you an increased earning rate.

    Those looking to maximize their return should consider the Rogers Red World Elite® Mastercard® since they give you a solid flat cash back in rewards.

Cory Santos Finance editor

Cory Santos is a finance writer, editor and credit card expert with nearly a decade of experience in personal finance. Cory joined Wise Publishing from BestCards, with bylines in numerous print and digital publications across North America, including the Miami Herald, St. Louis Post-Dispatch, Debt.ca, AOL, MSN and Medium as well as financial podcasts like KOFE Talk.

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