American Express Costco

Est Annual Rewards, Net
$324
of Cash
 American Express Costco Credit Card
Reward RateReward DetailsAnnual Fee & PromosAPR, variableIntro APR Promotions
1.00%
  1. Earn 1% on purchases
  1. 3x on Gas, Restaurants, 2x on Travel
 Fee:$0
Promo: None 		Min Apr: 15.24%
Default: 27.24%
Cash Adv: 25.24% 		Purchase:0% for 6 mos.
Transfer:None
Card Details
  • Earn cash back on gas and a $25 statement credit with your first purchase made with the Card
  • Earn cash back virtually everywhere you go - 3% for annual gasoline purchases of up to $3,000 (1% thereafter), 3% for restaurants, 2% for travel, 1% everywhere else, including Costco
  • No Annual Fee with your paid Costco Membership
  • The TrueEarnings Card serves as both your American Express Credit Card and your Costco Membership Card
  • No Limit on the Cash Back earned
Finance Charge Calculator
Use the sliders to the left to calculate balance transfer interest and APR interest for this particular card.
Finance Charge, Balance Transfer*
TypeInterest
Balance Transfer Fee, 3.0%$300
APR, 36 months$5,924
Total$6,224
* calculations assume a balance transfer of $10,000 over 3 years.

Effective Annual Rate for Balance Transfers of 17.5% includes transfer fees and APR promotions. EAR>APR because APR is compounded monthly while EAR is compounded annually.

Effective Annual Rate, Purchases
Promo EAR, 6 months0.00%
Ongoing EAR, 30 months16.35%
Total EAR, 36 months13.45%
APR Rankings
APR 15.24% ranks # 237 out of 313 cards. Average is 13.66%.
Balance Transfer Fee 3% ranks # 46 out of 305 cards. Average is 3%.
Cash Advance APR 25.24% ranks # 262 out of 304 cards. Average is 22.19%.

Rewards Rankings
Annual Fee $0 ranks # 1 out of 322 cards. Average is $19.
Base Reward Rate 1% ranks # 24 out of 248 cards. Average is 0.95%.
Effective Reward Rate 1.5% ranks # 17 out of 248 cards. Average is 1.04%.
Sign-up Bonus $0 ranks # 317 out of 317 cards. Average is $35.

Rewards Type: Cash
Signing Promotion
 $0
Estimated Annual Rewards
$21,600 * 1.50% 		$324
Annual Fee, 3 yr avg
 $0
Annual Rewards (Rewards less Fees) $324

NerdWallet's Review

American Express Costco offers a great reward rate on gas, restaurants, and travel. Points are redeemable for cash or Costco credit. Note that the 3% gas rebate is capped at $3000 per year, after which it reverts to the 1% base rate. Also, you need a Costco membership to avoid paying an annual fee.

The only negative is that you get your reward in the form of a Costco gift certificate once a year.

While this card is a popular choice with Costco customers, be sure to search our cash rewards cards page – there are better rewards cards out there unless you spend more than most on gas and restaurants.

One Response to “American Express Costco TrueEarnings”

  1. admin says:
    February 1, 2010 at 7:13 pm

    Note that the Business version of this card earns 4% on gas up to $6,000 per year.

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