Citi Ends Foreign Transaction Fees on Costco Co-Branded Card
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Citi has good news for select cardholders to kick of 2018. Effective January 25, 2018, Citi is doing away with foreign transaction fees on international purchases made with the co-branded Costco Anywhere Visa Card by Citi. Previously, the card charged foreign transaction fees of 3%.
In June 2016, the retail giant Costco switched to an exclusive relationship with Visa. The chain previously had a relationship with American Express, but since that ended, customers can only use Visa-branded cards in Costco stores. Of course, the newer Citi co-branded Citi Costco Card is Visa-branded, and one of the best options for Costco shoppers.
With foreign transaction fees no longer a drawback, cardholders can use their cards for purchases made abroad or those made through an international retailer’s website. Keep in mind that this change doesn’t take effect immediately — there will be no foreign transaction fees only for purchases made as of January 25, 2018.
The Citi Costco Card earns you 4% cash back on eligible gas purchases worldwide (including gas at Costco) for the first $7,000 per year and then 1% thereafter, 3% cash back on restaurant and eligible travel purchases worldwide, 2% cash back on all other purchases from Costco and Costco.com and 1% cash back on all other purchases. There is no annual fee with your paid Costco membership. So now, with no foreign transaction fees, this option is more appealing than ever.
Featured image by John Greim / Getty Images.