Is the Anywhere Visa the Card for You
Cash Back Formula Explained
Earn cash back using this Costco credit card by following methods:
- Cash back of 4% on purchases of gas at Costco and other gas stations on up to $7000 per year in gasoline (1 percent more than that)
- Cash back of 3% on purchases at restaurants and hotels
- Cash back of 2% on Costco purchases
- Cash back of 1% on any other purchase
There’s no possibility of an opening bonus for this card. Therefore, there is no chance to earn an instant $200 or $100 upfront, as it is with other cash-back cards.
Redemption Procedure Gets A Thumbs Down
The accumulation of cash back one time every year, usually in February, based on your earnings from the previous calendar year. In addition, you will receive an incentive certificate that is delivered to you which you have to bring to the Costco store to collect your cash back , or to spend on your Costco purchases on that day.
We’re not happy with this. The first reason is that most people prefer having the option to redeem rewards more than once a year, even if the rewards aren’t that big. In addition, by requiring the customer to make a purchase at the Costco store, Costco seems to be in a subtle way trying to encourage customers to redeem their rewards for additional Costco purchases. They can just as easily offer you the reward points as a statement credit which allows you to use them towards the purchase of any card.
In the majority of cases it’s a minor problem. The majority of people only redeem their rewards less than once per year and the method that forces you to go into the Costco store is likely more about giving you the opportunity to “feel” the reward (and feel happy about it) rather than making you buy more at Costco. (The reality is that you’ll likely purchase more items at Costco than your rewards , and you wouldn’t even have an Costco membership initially isn’t it?)
This Costco Anywhere Visa also:
- There are no foreign transaction charges for purchases made outside in the United States.
- Doubles as doubles as Costco Identity Card. which means you don’t need to present both cards in the store.
- There is no annual cost above what you’ve already paid to become already a Costco member.
A Closer Look at the Rewards
Let’s find out how powerful these cash back rewards are contrasted with other credit cards in the market.
- The cash-back rate of 4% for gas purchase is exceptionally solid, which is the most generous gas rebate you can receive in the present. (The PenFed Rewards Visa has a points-based program that yields approximately the equivalent of 4.25 percent reward on gas, which is slightly higher.) Be aware that the 4% cashback is only available for Costco or gas station sales but not on purchases from grocery stores or any other type of warehouse store. The place you buy the gas has to be “coded” as a gas station once the transaction has been made public to earn the 4% rebate..
- 3.3% cash back at restaurants and travel. It is also competitive, and is better than similar rebate credit cards. (One card that beats or surpasses the card’s performance in both areas includes Cuber Visa, which offers Tuber Visa that offers 4 percent on restaurant meals and 3% off travel.)
- Cash back of 2% at Costco. In general, we think this isn’t a huge deal. In reality, there are many cards which offer cash back of 2% on all purchases. The problem is that Costco does not accept Visa in its stores (though other cards are accepted online) however we do not know of any major Visa cards that provide two percent rebates.
- Cash back 1% on any other purchase. Boo! This is not a reason to use the card for other purchases.
Overall it is a good choice. Costco Anywhere Visa is a excellent cash back credit card that lots of Costco customers appreciate. In order to maximize your rewards, however, you should combine it with the percent rebate card such as that of the Ci ti Double Cash MasterCard or PayPal Cashback MasterCard to increase the cash back you earn from purchases that normally give you only 1% on Costco’s Costco card.