Costco members will earn more cash back with new Visa credit cards

Costco Wholesale members are receiving details in the mail on the transition to Visa credit cards from American Express.

By VICTOR E. SASSON
EDITOR

The end of Costco Wholesale's long relationship with American Express will translate into more cash rebates for members who use the new Visa credit cards.

And for the first time, both the business credit card and consumer card will give identical rebates for purchases inside and outside a warehouse.

The change to Visa as membership and credit card is scheduled for June 20, 2016.

That's when the rebate on gasoline purchases worldwide, including gas at Costco, goes up to 4% from 3% with a Costco-American Express True Earnings Card.

The American Express True Earnings Business Card already gives 4% back on gasoline.

3% back at restaurants

Cash back on restaurants and eligible travel purchases goes up to 3% from 2%; on purchases from Costco and Costco.com, the rebate will go to 2% from 1%; and all other purchases will earn 1%, the same as now.

Any cash rebates you earn on American Express credit cards will be transferred automatically to the new Visa cards.

The new cards will be mailed to you, so there is no need to reapply and no credit report will be pulled, Costco says.

And, like the American Express cards, there is no annual fee with the new Costco Anywhere Visa Card by Citi and Anywhere Visa Business Card by Citi.

How rebates pay 

Costco members pay an annual fee of $55 to $110, but rebates earned inside and outside of the warehouse more than cover that expense.

That means you enjoy great Costco prices on food, clothing, electronics and more, and get to laugh all the way to the bank with hundreds of dollars in cash rebates from American Express and soon Citi. 

The Executive Gold Star Membership ($110) also entitles you to an additional 2% annual cash rebate from Costco itself, up to $750.

How to use Costco Wholesale as an ATM

A shopping trip to Costco Wholesale in Hackensack on Friday proved exhausting.

This month, many shoppers were spending their American Express rebate checks.

Editor's note: Costco Wholesale shoppers get rebate checks that far exceed their annual membership fee. Today, I also discuss Starbucks coffee and two more fish dishes.

I received more than $450 in rebates on  purchases at Costco Wholesale, gasoline stations, restaurants and everywhere else with my TrueEarnings credit card from American Express, and they arrived in the form of two checks.

A week apart, I took the checks to my Costco in Hackensack, spent only part of the total and walked away with lots of cash.

That's a no-fee ATM for the frugal shopper.

A cup of Starbucks Blonde Veranda Blend brewed at home.

Hold the milk 

Starbucks describes its Blonde Veranda Blend of whole coffee beans as "mellow and soft," and I can add that the brew is free of any trace of bitterness.

I bought 1 pound for $6.95 during a promotion (regularly $11.95), and asked for it as a Turkish grind, essentially a powder.

I brewed a few cups on Friday, and didn't add any of the usual low-fat milk.

After drinking a cup, I decided it is better than anything I have bought in recent years at Fairway Market in Manhattan and Paramus.

 
More fish dishes

Sliced cucumber with canned fish salad -- pink salmon, yellow fin tuna and sardines with diced celery and apple; Dijon mustard, lime juice and ground cumin. Most of the ingredients are available at Costco Wholesale.

Leftover pan-fried fresh wild cod from Costco Wholesale served over leftover Goya low-sodium black beans with Kirkland Signature Diced Organic Tomatoes.