Costco and Citibank finally released the details of the new Costco Anywhere card and they look great. The card is not available yet, but will be mailed to current American Express customers in May. June 19th is the last day you will be able to use your American Express card, with the change taking place on June 20. If you have an American Express card, you won’t need to do anything; you will automatically receive a new Visa card. You will, of course, keep all the awards you received from American Express and, while the new card will have benefits targeted to Costco, you will be able to use any card.
Costco was a significant win for Visa. It had represented 10% of Amex’s cards outstanding, but an even larger percentage of its book of business, including spend and loans. On the day the deal was announced, the stock market’s reaction told you all you needed to know:
The benefits of the new card are extremely strong and exceed what you received with American Express.
- 2% back on all Costco purchases and 1% back on all other purchases.
- 4% back on gas purchases, up to $7,000 per year. There are a few 5% cards for gas, including the American Express blue Cash Preferred (if you want to stay with Amex), but 4% is still very strong. The Amex Costco card had been 3% back on gas, up to $4,000 per year.
- 3% back on restaurants and travel. That is an excellent rate for those categories and may be enough reason alone to get the card, even if you never go to Costco. The American Express card had been 2% back on restaurants and travel.
Bottom Line: Costco members and cardholders should be very excited about the transition to the new card. It looks like an excellent opportunity.Want to subscribe? Just enter your email in the box above (and to the right) and click on the confirmation. GMailers, check your Social or Promotions boxes!
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And finally, you can apply for credit cards through the Credit Cards for Charity link above. All card proceeds are donated to charity, so please do well by doing good!