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Review: Costco Anywhere Visa Business Card by Citi Card
September 06, 2019
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Review: Costco Anywhere Visa Business Card by Citi Card

Costco is a popular supplier for small businesses. In fact, Costco has opened 17 Business Centers nationwide, and offers a business credit card in conjunction with Citibank.

Of course, there are many business credit cards out there, so you should weigh all your financing options. In this blog post, we’ll review the Costco Anywhere Visa Business Card by Citi so that you can determine if it’s the right fit for your company.

Overview: The Costco Anywhere Visa Business Card by Citi

The Costco Anywhere Visa is offered by Citi, one of the largest banks in the United States. While there are certain benefits when using the card to pay for merchandise at US Costco stores (which we’ll review later in this post), it can be used anywhere Visa is accepted. However, you’ll only be able to use the accumulated rewards at Costco.

This card has a respectable APR rate of 16.99 percent, but the APR goes up to 26.99 percent for cash advances. Further, late payments will result in a variable penalty APR of up to 29.99 percent.

To apply, simply log onto Citi’s website and complete the application form. However, before applying you should consider the benefits and drawbacks of the Costco business credit card. We’ll detail the pros and cons of the Costco business credit card below!

What Are the Benefits of the Costco Anywhere Visa Business Card?

Cash Back and Rewards Programs:

The Costco Business Credit Card has no annual fee and offers generous rewards. With your card, you’ll receive an annual credit card reward certificate that’s redeemable for cash or merchandise at Costco. As previously mentioned, not only can you use the Costco business card anywhere that accepts Visa, you’ll also accumulate rewards based on these purchases:

  • 4 percent cash back on the first $7,000 per year spent on gas purchases.
  • 3 percent cash back on travel and restaurants.
  • 2 percent cash back at Costco and Costco.com.
  • 1 percent cash back on everything else.

If you frequently travel for business, the Costco business credit card is a great choice. Also, the eligible gas rewards can add up quite quickly, and if you max out that reward, you’ll get $280, redeemable for cash back. Add in the 3 percent cash back on eligible travel and restaurant purchases, and your business trips could help you gain significant rewards.

The Costco Business Card is also a Visa Signature Business credit card, and offers excellent travel perks, including:

  • Rental car insurance
  • Roadside assistance
  • Reimbursement for lost luggage
  • Emergency and travel assistance services
  • Travel accident insurance

In addition, there’s no foreign transaction fees, which is great for international travel.

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Purchase Protection:

As the owner of a Costco business credit card, you can rest assured that your purchases with be safe from theft. The Damage & Theft Purchase Protection may cover repairs or refunds if your card is damaged or stolen. This protection is in place for 120 days of the purchase. However, New York residents are only covered for 90 days.

In addition to purchase protection, the Costco business credit card comes with an extended warranty.

What Are the Drawbacks of the Costco Anywhere Visa Business Card?

Although this credit card rewards program can be beneficial to your business, there are downsides to applying for it. Most notably, you can only redeem your rewards at Costco stores, which limits what you can spend your rewards on.

Also, the rewards only roll in on an annual basis. While most credit cards allow you to get your cashback rewards monthly, the Costco Anywhere Visa Business Card only supplies them once a year. This can reduce how useful the rewards are, because you’ll have to wait a year to take advantage of them.

While there’s no annual fee that comes with this card, you do have to sign up for a paid Costco membership. This costs $60 per year. However, you won’t have an annual fee with your paid Costco membership, so you will save some money that way if you already shop at Costco.

Other Drawbacks of This Credit Card Include:

  • Expensive penalties
  • Lower cash back for general purchases
  • You’ll need a good credit score, 700 or higher, to qualify for the Costco Anywhere Visa Business card. If you have a high credit score, you’ll likely qualify for other cards that offer competitive rates and terms, so make sure to consider other options.

Conclusion: The Costco Business Credit Card is A Good Choice for Frequent Costco Customers

The Costco Anywhere Visa Business Card by Citi offers some very compelling rewards and competitive interest rates. If you regularly make purchases from Costco warehouses, this credit card deserves a close consideration. However, if you aren’t a Costco member, you’ll probably be able to find a card that offers similar benefits that won’t require you to become a Costco member.

Before for applying for any credit card, make sure to read the terms and conditions. That way, you won’t be surprised by any stipulations or fees.

Editor’s Note: This post was updated for accuracy and comprehensiveness in September 2019.

Fora Financial

Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved, or otherwise endorsed by any of these entities.

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Fora Financial is a working capital provider to small business owners nationwide. In addition, the Fora Financial team provides educational information to the small business community through their blog, which covers topics such as business financing, marketing, technology, and much more. If you’d like to see a topic covered on the Fora Financial blog, or want to submit a guest post, please email us at [email protected].