Earn rates
The card earns at three cash back rates and pays them all the same way. Restaurants and Costco gas earn 3%; other gas stations, EV charging and Costco.ca earn 2%; everything else, including purchases inside a Costco warehouse, earns 1%. There is no annual cap on cash back.
| Spending category | Earn rate | Cash back per $100 spent |
|---|---|---|
| Restaurants | 3% cash back | $3 |
| Costco gas | 3% cash back | $3 |
| Other gas and EV charging | 2% cash back | $2 |
| Costco.ca | 2% cash back | $2 |
| Everything else, including Costco warehouses | 1% cash back | $1 |
Cash back accumulates through the year and is issued as an annual Costco cash back gift certificate on the January statement, redeemable in Canadian Costco warehouses. It is not paid as a statement credit, so its value depends on shopping at Costco.
Benefits
| Benefit | Details |
|---|---|
| Costco membership | Exclusively for Costco members; an active membership is required to hold the card. Costco warehouses in Canada accept Mastercard only. |
| Cash back certificate | Issued once a year on the January statement, accessible in mobile or online banking, redeemable at Canadian Costco warehouses. |
| Mobile device insurance | Up to $1,000 for a device purchased with the card or financed on a plan paid with the card. |
| Purchase protection | Purchase security and extended warranty on eligible purchases charged to the card. |
| Other perks | Global money transfers to 120+ countries with no transfer fee, a free Skip+ membership when linked, and a Disney+ discount for six months. |
This card carries no travel insurance: no emergency medical, trip cancellation, flight delay or rental car coverage. It is scored at zero on insurance in our card score for that reason.
What the earn math looks like
A cardholder spending $2,500 per month, split across typical categories:
| Category | Monthly spend | Rate | Monthly cash back |
|---|---|---|---|
| Restaurants | $400 | 3% | $12 |
| Gas | $200 | 2% | $4 |
| Costco warehouse and everything else | $1,900 | 1% | $19 |
| Total | $2,500 | $35 / mo |
About $420 a year in Costco certificates from everyday spending at this mix, for no fee. Put more of the budget through restaurants and Costco gas and the number rises quickly; put it through the warehouse and it does not, because in-store spend earns only 1%. The card is a good second card for restaurants and gas alongside a stronger grocery card, and a weak primary card for anything else.
Good fit if
- You are a Costco member and want the one card that earns at the till with no fee
- You spend heavily at restaurants and Costco gas, where the 3% is competitive
- You want a no-income-bar card and will happily take the return in Costco money once a year
Not sure this is the card for how you travel? Book a free conversation, or see membership plans for ongoing help.
Less useful if
- You want cash back you can spend anywhere; the certificate is redeemable at Costco only
- You want a card that rewards the warehouse shop itself: in-store spend earns just 1%
- You want any travel insurance at all; the card has none