Advertiser Disclosure

Citi Nixing Foreign Transaction Fee on Costco Anywhere Visa

Cash Back Credit Cards, Credit Cards
Nixing Foreign Transaction Fee
At NerdWallet, we adhere to strict standards of editorial integrity to help you make decisions with confidence. Some of the products we feature are from our partners. Here’s how we make money.

If you have the Costco Anywhere Visa® Card by Citi and you like to travel, the new year is bringing you some good news: You can soon wave goodbye to the card’s 3% foreign transaction fee.

Citi notes the change will be effective on purchases made after Jan. 25, 2018.

For world travelers, especially those on a budget, foreign transaction fees can add a tidy sum to the cost of a trip. For example, if you were to spend $1,000 on the Costco Anywhere Visa® Card by Citi for airfare to London, you’d earn 3% cash back. But if you then spend $1,000 on that card while you’re in England, the current 3% foreign transaction fee would wipe out any cash-back benefit you got when you paid for your airfare.

Removing the foreign transaction fee should make the Costco Anywhere Visa® Card by Citi more appealing as a travel card.

“Citi and Costco are committed to consistently delivering value to customers and ensuring that the Costco Anywhere Visa® Card by Citi remains a highly competitive card,” a Citi spokesperson wrote in an email.

The Costco Anywhere Visa® Card by Citi pays 4% cash back on up to $7,000 in gas purchases per year (then 1%), 3% cash back on eligible restaurant and travel purchases, 2% at Costco and Costco.com, and 1% on all other spending. It has an annual fee of $0, but you have to be a Costco member. A basic membership costs $60 a year.

Citi already offers a number of cards without a foreign transaction fee, including the Citi ThankYou® Premier Card and the Citi® / AAdvantage® Platinum Select® World Elite™ Mastercard®. And nearly all issuers offer cards that have no foreign transaction fees.

Updated March 27, 2018

About the author