CostCo USA dropping Amex for Citigroup VISA

[RossMAN]

Official announcement from Amex:

https://www.americanexpress.com/us/content/costco-update.html

Important Information about Costco and American Express

American Express has announced that its U.S. co-brand and merchant acceptance agreements with Costco Wholesale Corporation are set to end on March 31, 2016. For Card Members, this means:

• American Express cards will still be accepted at Costco warehouses in the U.S. and online at Costco.com through March 31, 2016.
• Existing Card Members who carry a Costco Card from American Express will still be able to use their Card at Costco and everywhere American Express Cards are accepted until March 31, 2016.
• The February 2015 reward coupon will be issued as it normally is. For future rewards, Card Members receive the rewards for which they are entitled.
• We will be communicating further with Card Members in the coming months.
• This announcement applies only to the relationship between American Express and Costco in the U.S.

Card Members with the TrueEarnings Card from Costco and American Express, the TrueEarnings Business Card from Costco and American Express, the Costco Cash Rebate Card or the Costco Business Charge Card can expect further communication from American Express prior to March 31, 2016.

We appreciate your business and look forward to continue delivering you our Relationship Care® service.

2/12/2015 update. Kudos to JEDI for bumping this thread with confirmation.

I would also recommend reading this SD thread with 400+ posts that offers alternative cc suggestions.

The big question is which credit card will replace the CostCo Amex, any guesses?

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Original post below:

It's already a done deal in Canada.

http://blogs.barrons.com/stockstowa...tter-for-american-express-discover-sues-visa/

http://www.bloomberg.com/news/2014-11-06/costco-said-to-weigh-dropping-amex-as-u-s-card-partner.html

http://www.cnbc.com/id/102160317#.

http://www.pymnts.com/news/2014/costco-considers-nixing-u-s-amex-partnership/#.VHbKDsmR-M8

Title changed to reflect the actual card that is replacing AMEX.
admin allisolm

 

[Sinsear]

Sucks

 

[JMapleton]

Mastercard, the one card I don't have. I am a Costco member btw.

 

[Aharami]

fucking hell! I like the costco AMEX

 

[compuwiz1]

By accepting only AMEX costco has excluded a lot of people from being able to charge their purchases. I like AMEX too, but not everyone has one. More people qualify for Mastercards than AMEX. This change will open the ability to charge to more customers. That has to be good for business and those who will now be able to charge at Costco.

 

[Printer Bandit]

amex = red-headed stepchild

 

[Capt Caveman]

They should go Visa since I own their stock.

 

[Jumpem]

They should accept any of them.

Can you use any American Express card, or only the Costco branded one?

 

[justoh]

You can use any amex.

 

[doubledeluxe]

Capital one sucks.

I wish they would allow any creditcard. Damn snobs

 

[holden j caufield]

I'm sure costco has worked some deal where they don't have to pay the fixed price per charge + the usual 2% etc.

 

[Mixolydian]

More people qualify for Mastercards than AMEX.

They should accept any of them.

I wish they would allow any creditcard. Damn snobs

Helps keep out the riff-raff.

 

[PottedMeat]

has anyone been rejected from getting one of those amex 'green' cards at costco?

 

[dawheat]

AFAIK, the Costco AMEX has pretty mediocre rewards. Not sure why anyone would be sad if Costco moves away from AMEX.

It's pretty safe to assume if they move to another network, you can use any card on that network. So MC or Visa would be great for consumers since they have far more cards and if you don't have one, it's trivial to get one. The Capital One angle is for card issuance - who is going to issue the Costco MasterCard or Visa, similar to the Costco AMEX.

I'd be happy to be able to use my standard 2% cash back card at Costco.

 

[Wreckem]

I wonder what card Amex will convert their Costco cards to if Costco drops them. Maybe they will let cardholders choose?

 

[Carson Dyle]

What's the reason for only accepting one brand of credit card to begin with?

 

[phucheneh]

Since when does ANYONE accept American Express?

I haven't seen anything but Visa and Mastercard logos for years.

 

[shortylickens]

I despise AMEX and any change would be fine by me.

 

[shortylickens]

Since when does ANYONE accept American Express?

I haven't seen anything but Visa and Mastercard logos for years.

Whenever I get an American Express gift card it pretty much insures I have to go visit Costco. I cant use it anywhere else in a lower middle class suburb.

The only thing worse is one of those lame ass Diners Club or something equally esoteric.

 

[SlitheryDee]

Since when does ANYONE accept American Express?

I haven't seen anything but Visa and Mastercard logos for years.

My store takes Amex. Their fees are higher, but hey it's money. If Amex ends up pricing themselves out of business it'll be their own fault though.

 

[zerocool84]

What's the reason for only accepting one brand of credit card to being with?

Having special deals with them. I'm sure there's very little transaction fee for their deal, obviously money exchange etc etc.

 

[Wreckem]

Since when does ANYONE accept American Express?

I haven't seen anything but Visa and Mastercard logos for years.

I use my Amex regularly, more than my MC, Visa, or Discover. But then again I live in a large metropolitan area. The only place I have had turn away my Amex card was a mom and pop donut shop. All major retailers and restaurants accept Amex.

 

[Carson Dyle]

Having special deals with them. I'm sure there's very little transaction fee for their deal, obviously money exchange etc etc.

It's not the transaction fee (the fixed amount per transaction), which only tends to ding the merchant on small purchases. I doubt that many Costco shoppers run in to buy just a pack of gum or a cup of coffee.

But I could see them getting a discounted rate (percentage) by agreeing to accept just one card exclusively. I suppose it's not such a big deal for a membership club, with a captive audience, as it would be for merchants like Target or Walmart or anyone else hoping to attract shoppers off the street.

 

[Carson Dyle]

Since when does ANYONE accept American Express?

I haven't seen anything but Visa and Mastercard logos for years.

Pretty much everywhere that I shop takes Amex. Where do you live?

 

[rommelrommel]

Having special deals with them. I'm sure there's very little transaction fee for their deal, obviously money exchange etc etc.

Yup, Costco squeezes the provider a lot on fees in return for access to their volume. Pretty much the same model Costco uses on their suppliers.