New Costco Card Offers Better Cash Back Rewards

Anna Müller · 2026-06-10

Costco fans, listen up. There's a new card in town that could seriously boost your cash back rewards. And honestly, who doesn't love getting more money back on their shopping trips? If you're a regular at Costco, you already know the value of a good deal. But this new credit card option might just change the game for how you save. Let's break down what it means for you. ### What's This New Card All About? So here's the scoop. Costco has introduced a fresh credit card that promises better cash back rates than before. We're talking about real savings that add up fast. The card is designed to reward loyal shoppers with higher percentages on everyday purchases. Think about it. Every dollar you spend could earn you more back. That's not just a nice perk, it's a smart way to stretch your budget further. And in today's economy, every little bit helps. ### How Does It Compare to the Old Card? You might be wondering how this stacks up against the previous Costco credit card. Great question. The new card offers increased cash back in key categories: - **Gas stations**: Up to 4% cash back on eligible gas purchases - **Restaurants**: 3% back on dining out - **Travel**: 3% back on flights, hotels, and rental cars - **Costco purchases**: 2% back on everything you buy at Costco - **Everywhere else**: 1% back on all other purchases Those numbers are solid. The old card gave 2% at Costco and 1% elsewhere, but these new rates really sweeten the deal. Especially if you drive a lot or enjoy eating out. ### Who Should Get This Card? Honestly, this card makes sense for most Costco members. If you spend at least $100 per month at Costco, you'll easily cover the annual fee. And the gas savings alone can be worth it. But here's the thing: it's not just for big spenders. Even if you shop light, the cash back adds up over time. Plus, there's no foreign transaction fees, which is huge if you travel. > "The best rewards card is the one you actually use. And if you're already shopping at Costco, this card fits right into your routine." ### What About the Fine Print? No card is perfect, so let's talk drawbacks. The cash back is issued once a year as a certificate you redeem at Costco. That means you can't get your rewards as a statement credit or direct deposit. It's a bit old school. Also, the card has no introductory APR offer. So if you carry a balance, the interest could eat into your rewards. Always pay off your balance each month to get the most value. ### How to Get Started Ready to upgrade your savings? You can apply online or at any Costco warehouse. Just make sure you're a Costco member first. The card is issued by Citi, so you'll go through their application process. Once approved, you'll get your card in the mail within 7 to 10 business days. Then you can start earning right away. It's that simple. ### Final Thoughts This new Costco card is a genuine upgrade for anyone who shops there regularly. The higher cash back rates make it one of the best store cards out there. And with no annual fee beyond your Costco membership, it's a no-brainer. So next time you're at Costco, think about how much more you could be earning. This card could turn your everyday shopping into serious savings. And who doesn't want that?