Costco Credit Card

One feature not mentioned about the Citi Costco Visa card is the 3% foreign exchange fee charged by Citi. One might earn a good 3% travel rebate but the foreign exchange fee wipes out any advantage to using it overseas. Having recently been in Europe, I used Chase Sapphire card as it doesn’t have foreign exchange fees.

There are no foreign transaction fees with the Costco Visa. There are transaction fees on cash advances charged against the card.

You are correct. When I opened the Citi Costco Visa Card after Amex departed, there was a 3% foreign transaction fee. Glad to know that the fee is no longer.

That’s not the only little glitch. Citi bank offers a virtual card facility, which I wanted after BoA dumped theirs. Well you don’t get that with a Costco card.

Instead you need to take out a Citi card that provides it. Fortunately they have a few.

One other thing I noticed recently about this card. Clark complains about it frequently, that you cannot just get a check or cash with the reward certificate (you can’t use it on Costco.com, but you can use it in store, buy the cheapest thing, and cash it out). The thing with cashing it out in store, is that, I’m embarrassed to say, I almost always approach the $1k reward limit, and getting change from one register is not only embarrassing, but usually they will not have enough cash.

So a couple months ago, I got an email that let me know they now have a direct deposit option. They use Plaid to link your bank account, which I am not a fan of them having direct access to my bank account, so I used my PayPal/Venmo/eBay small balance bank account for this reason. One other gotcha, is that you have to have made at least 2 payments to your account with this bank account, before you can add it. I had no problem doing that, I just scheduled two small payments, and then about a week later, was able to add the account and do a direct deposit of my reward certificate.

No need to do that. You can just take the reward certificate the customer service desk and get cash for the entire thing. The customer service desk has plenty of cash. I’ve done that for years. It’s more of a pain than a real check, but you absolutely can get cash with it.

I tried that the last two years, and they have always had me go to a register for some reason, even had me talk to the manager. Just makes no sense…hold up a line, fluster a cashier, and also let people around you know you’re carrying a large sum of cash. It’s really annoying.

Recently I had a $300+ check and was checking out. The cashier asked if I wanted to use my card for the purchase and then cashed my check fully. I didn’t have to ask.

Also note that if your site has self-checkouts you cannot use your check there as no change or payouts happen at self-checkout. I don’t know if a Costco Cash card works there.

That surprises me. The first few times I cashed it at the service desk, I told them I wasn’t going to spend the whole thing that day and wanted the cash anyway. They seemed to understand. Now I just say I want to cash my rewards, and they quickly hop to it, no questions, no fuss. Like they’ve done the same thing for others five times already that day.

Yes, it did me too. Seems unorganized to me, but I didn’t ask this year because I didn’t want to go though the same experience again.

Direct deposit seems to be working, should have it today/tomorrow, so not too bad. Saves me a trip to the bank, anyway.

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