Does Costco Take Discover? Every Card, Method & Location

Costco processed over $242 billion in sales in its most recent fiscal year, making it one of the highest-volume retailers in the United States — and its payment policy is one of the most searched-for and most misunderstood in American retail. The Visa-only credit card policy catches thousands of shoppers off guard every day. Here is everything you actually need to know before your next trip.

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  Why does Costco only accept Visa credit cards — and why is Discover rejected? Costco has an exclusive credit card partnership with Visa and Citi that runs through June 2029 · In exchange for accepting only Visa credit cards in-store, Costco negotiated significantly lower interchange (processing) fees — below 0.4% — that Discover, Amex, and Mastercard cannot match without a similar guarantee of exclusivity · This saves Costco tens of millions of dollars annually and lets it keep prices lower for members

  The Visa-only policy is not about any deficiency in Discover, Mastercard, or American Express as payment networks — it is entirely about interchange fee economics. When any card is swiped at a retailer, the retailer pays a fee — typically 1.5%–3.5% of the transaction — to the card network and issuing bank. For a company doing over $200 billion in annual sales, every fraction of a percentage point in processing fees represents hundreds of millions of dollars. Costco negotiated an exclusive deal with Visa in 2016, replacing a long-running American Express partnership. Under the current agreement — extended through June 19, 2029, according to filings — Costco accepts only Visa credit cards in U.S. warehouses, while Visa guarantees Costco an interchange rate below 0.4%. That rate is dramatically lower than what the other three major networks would charge without exclusivity. Discover, Mastercard, and American Express are structurally unable to offer rates that low on a non-exclusive basis. The result: shoppers with Discover, Amex, or Mastercard credit cards face a hard decline at the register every single time.
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  Does Costco accept Mastercard? In-warehouse and at the gas station: NO — Mastercard credit cards are declined · On Costco.com and the Costco app: YES — Mastercard is accepted online · Mastercard-branded debit cards: YES in-store as a PIN-based debit transaction · Example: a Capital One Quicksilver with Mastercard branding will not work at the register but works fine on Costco.com

  This is one of the most common sources of confusion at Costco registers. Mastercard credit cards are flatly rejected at U.S. Costco warehouses and gas stations — but Costco.com and the Costco app are an exception. Online, Costco accepts both Visa and Mastercard credit cards, which gives digital shoppers significantly more flexibility than in-store customers. The reason for the online difference: the Visa exclusivity agreement applies specifically to physical U.S. warehouse locations and gas stations. Costco’s online channel operates under separate payment agreements. The rule that trips people up: if you have a Mastercard-branded debit card (many Chase, Bank of America, and other bank debit cards carry the Mastercard logo), it will work perfectly fine at a Costco register as a PIN-based debit transaction. You insert the card, enter your PIN, and the transaction goes through as a debit — bypassing the credit card network restriction entirely. The network logo on a debit card and the network restriction for credit cards are two separate things at Costco.
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  Does Costco accept American Express? No — Costco dropped American Express completely in June 2016 · Amex is rejected everywhere at Costco: in-store, gas station, AND Costco.com · There is no workaround — American Express cards in any form do not work at Costco · This was a major break from the 1999–2016 era when Costco was AmEx-exclusive

  American Express was Costco’s exclusive credit card partner from 1999 to 2016 — during that time, it was the only credit card accepted at U.S. Costco warehouses. The partnership ended on June 20, 2016, when Costco switched to Visa and Citi. Unlike Mastercard — which at least works on Costco.com — American Express is rejected across every Costco channel: in-store, at the gas pump, and online at Costco.com. For the millions of Americans whose primary credit card is an American Express (Platinum, Gold, Green, Blue Cash, Delta SkyMiles, Hilton Honors, Marriott Bonvoy, and all other Amex-network cards), this is a complete exclusion. There is no workaround for using an Amex credit card at Costco — not through Apple Pay, not through Venmo, not through any payment intermediary currently available. The only options are to pay with Visa, use a PIN-based debit card, or pay with cash, check, EBT, or a Costco Shop Card.
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  Does Costco take debit cards — including from Discover or Mastercard? Yes — Costco accepts most PIN-based debit/ATM cards regardless of the network logo on the card · A Mastercard-branded debit card works fine in-store as a PIN debit transaction · A Discover-branded debit card that is PIN-enabled also works · The key: enter your PIN — do not run the debit card as credit · The credit card restriction only applies to credit card transactions, not PIN-based debit

  This is the most important workaround for Discover, Mastercard, and American Express cardholders: if your bank happens to issue a debit card on the Discover or Mastercard network (which is common — many banks issue Mastercard-branded debit cards), that card will work at Costco. The network restriction is enforced only on credit card transactions. A PIN-based debit transaction routes through the debit network rather than the credit card network, which is not subject to the Visa exclusivity agreement. To use a non-Visa-branded debit card at Costco: insert your card, select “debit” or enter your PIN when prompted, and the transaction will go through. Do not hit “credit” or “skip PIN” — that routes the transaction through the credit card network and it will decline for non-Visa cards. This PIN-debit workaround applies at registers, self-checkout, and the gas station. It does not require you to have a Visa card or the Costco Anywhere Visa. Note: not all debit cards are PIN-enabled; if yours is not, contact your bank to ensure PIN functionality is activated.
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  Does Costco accept Apple Pay, Google Pay, or Samsung Pay? Yes — but only when linked to a Visa card · Apple Pay, Google Pay, and Samsung Pay are accepted at in-store registers and gas stations · If you tap to pay using a Discover, Amex, or Mastercard credit card through your digital wallet, it will decline · Link a Visa debit or Visa credit card to your digital wallet to pay contactlessly at Costco

  Costco accepts mobile payment through Apple Pay, Google Pay, and Samsung Pay at all U.S. warehouse registers and gas stations. The catch: the same card restriction applies through the digital wallet. When you tap your phone to pay, Costco processes the underlying card — if the card stored in your wallet and selected for payment is a Visa, the payment goes through. If it is a Discover, Amex, or Mastercard credit card, even presented through Apple Pay or Google Pay, it will be declined at the terminal. The solution: add a Visa credit card or a Visa-network debit card to your digital wallet before shopping at Costco, and make sure that card is selected as the default or active card when you tap. If you only have non-Visa credit cards in your wallet, switching the default payment to a Visa debit card will make contactless payment work at Costco. The Costco app’s Digital Membership Card feature also allows you to link and pay with the Costco Anywhere Visa Card by Citi directly from your phone, but this feature only works with the Costco co-branded Visa — it does not support other Visa cards at this time.
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  Does Costco accept EBT, SNAP, or food stamps? Yes — Costco accepts EBT/SNAP cards in-store at all U.S. warehouse locations for eligible food items · EBT is not accepted at Costco.com or at the gas station · You do not need to be a Costco member to use EBT at the register — Costco allows non-members to pay with EBT for eligible food purchases · Membership is still required to enter the warehouse

  Costco accepts Electronic Benefits Transfer (EBT) cards for SNAP-eligible food purchases at all U.S. warehouse locations. This is an important benefit for low-income households, many of whom also receive other government benefits. One thing worth knowing: Costco’s membership requirement is separate from EBT acceptance. While you technically need a membership to shop at Costco, the EBT payment policy operates with more flexibility — some Costco locations allow EBT transactions for non-members for food purchases specifically. Policies can vary slightly by location; call your local warehouse to confirm before traveling. EBT cannot be used at Costco.com, through the app, or at the gas station. It is limited to eligible food items at in-store registers. Costco is particularly useful for EBT shoppers because bulk buying at Costco can stretch benefit dollars significantly compared to smaller-package grocery store prices for staple items like cooking oil, rice, pasta, canned goods, and frozen proteins.
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  Does the Costco gas station take Discover or Mastercard? No — the gas station has the same restrictions as the warehouse · Gas station accepts: all Visa credit cards, Costco Anywhere Visa, most PIN-based debit cards, Apple Pay (linked to Visa), Costco Shop Cards · Gas station does NOT accept: Discover, Mastercard credit cards, American Express, or non-Visa mobile payments · Costco gas station requires Costco membership; non-members cannot use the pumps

  Costco gas stations are among the most sought-after in the United States — Costco typically prices its gasoline 15–30 cents per gallon below surrounding stations. The payment rules at the pump are identical to those at the warehouse: only Visa credit cards and PIN-based debit cards are accepted. Discover credit cards will decline at the gas pump, just as they would at the register inside. One additional note specific to the gas station: the Costco Anywhere Visa Card by Citi earns 5% cash back on gas purchased at Costco, making it the most rewarding payment method for filling up if you are a frequent Costco gas customer. Apple Pay and Google Pay work at many Costco gas pumps but must be linked to a Visa card. EBT cards and personal checks are not accepted at the gas station — only Visa credit, PIN debit, Costco Shop Cards, and eligible mobile payments linked to Visa.
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  What is the best credit card to use at Costco in terms of rewards? Best in-store (credit): Costco Anywhere Visa by Citi — 2% cash back on Costco purchases, 5% on Costco gas, 3% on restaurants/travel, no annual fee beyond membership · Best non-co-branded Visa for Costco in-store: Capital One Venture X Visa (2x miles on everything) or Chase Freedom Unlimited Visa (1.5% cash back, unlimited) · Best for online at Costco.com only: Citi Double Cash Mastercard (2% back, accepted online but not in-store)

  Since only Visa cards work at in-store Costco registers, the optimization question is which Visa card earns the best rewards on your Costco spending. The Costco Anywhere Visa Card by Citi is the only card that earns elevated rewards specifically at Costco — 2% on all Costco warehouse and Costco.com purchases, and 5% cash back on gas purchased at Costco gas stations (up to $7,000 in combined Costco and other eligible gas per year). The card carries no annual fee beyond your Costco membership and has no foreign transaction fees. The limitation: rewards are paid once a year as a certificate that must be redeemed at a Costco warehouse, not as flexible cash. For general use, several strong non-co-branded Visa cards work perfectly at Costco: the Capital One Venture Rewards (Visa), Capital One Venture X (Visa), Chase Sapphire Preferred (Visa), Chase Freedom Unlimited (Visa), and Chase Sapphire Reserve (Visa) all work in-store. If you already have a great flat-rate Visa you use for everything — like a 2% card — using it at Costco is perfectly reasonable without getting the co-branded card. The Costco Anywhere Visa makes the most sense for people who spend heavily at Costco specifically.

Use the buttons below to find Costco warehouses, gas stations, and ATMs near your location. Bring a Visa card, PIN debit card, or cash to avoid any payment issues at the register.