Costco replacing Amex with Visa and Citi

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https://www.yahoo.com/finance/news/costco-replacing-american-exp...
In a statement, Costco said:Costco Wholesale Corporation ("Costco") (COST) today announced it has entered into a new co-brand credit card program agreement with Citi and an acceptance and co-brand incentive agreement with Visa. The implementation of these agreements is subject to the purchase of the existing co-brand credit card portfolio by Citi.Under the terms of the agreements, Citi, the world's largest issuer of consumer credit cards, would become the exclusive issuer of Costco's co-brand credit cards and Visa will replace American Express as the credit card network for Costco in the United States and Puerto Rico beginning April 1, 2016. Once issued, Costco's co-brand Visa credit card would provide generous rewards to Costco members, serve as the Costco membership card, and would be accepted at Costco locations in the United States and Puerto Rico, as well as all merchants worldwide that accept Visa credit cards. 

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Has anybody been able to file a claim under "Travel Interruption"?

The Citi Costco page advertises that as a benefit:
http... (more)

DeGlass (Dec. 24, 2016 @ 11:47a) |

^^^ Your "guide to benefits" link is for the Business card, which apparently doesn't have this benefit. The personal car... (more)

scripta (Dec. 24, 2016 @ 1:57p) |

Good catch. I guess I'll keep the primary rental coverage on the biz card.

DeGlass (Dec. 24, 2016 @ 3:02p) |

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What's the best ca$hback VISA card?  I've been using my FIA AMEX for 2% CB at Costco and I have a couple of 1.5% CB Mastercards, but my best VISA is 1%.

Works for me.  I spend ~$8k per year at CostCo, with a wide range of purchase totals, from $3 to $3,000+.  CostCo taking Visa will make it easier to meet my RCA debit card requirement (at least 10 sig transactions, at least $100 total), and my BofA BBR purchases (four transactions per month).  Beyond that, I'll be using my USBank FlexPerks Travel Rewards Card (effectively nearing 2% CB), when I'm not fulfilling the spending requirement on a new Visa card promo.

I'll be interested to hear what Citi offers as their "genereous" rewards on the cobranded card.

Chris.

UncaMikey said:   What's the best ca$hback VISA card?  I've been using my FIA AMEX for 2% CB at Costco and I have a couple of 1.5% CB Mastercards, but my best VISA is 1%.
  PNC has a 1.75% VISA with some requirements related to bank accounts (starts at 1.25%, need to have lots of monthly purchases or an account with them to get to 1.5% or 1.75%).

http://www.pnc.com/en/personal-banking/banking/credit-cards/pnc-cashbuilder-visa-credit-card.html
 

cap 1 quicksilver visa 1.5%

cknutrine6954 said:   The implementation of these agreements is subject to the purchase of the existing co-brand credit card portfolio by Citi.
  
That is the interesting part.  Does that mean that Citi will take over all of the existing Amex Costco card holders accounts?  Meaning we will automatically get CITI cards?  

SirWilll said:   
cknutrine6954 said:   The implementation of these agreements is subject to the purchase of the existing co-brand credit card portfolio by Citi.
  
That is the interesting part.  Does that mean that Citi will take over all of the existing Amex Costco card holders accounts?  Meaning we will automatically get CITI cards?  

  Man, that is straight crazy.  I really expected a Card Change from AMEX...!

What if the customer doesn't like Citi??  What if Citi deems the customer a "bad customer"?

Open a backdated Amex Costco to increase average age of accounts with Citi for fun and profit?

PhDeez said:   What if the customer doesn't like Citi??  What if Citi deems the customer a "bad customer"?
  
It's just my guess, but I suspect that in order to get Costco's business, Citi is going to be willing to overlook that. Customer satisfaction is a TOP priority for costco

LordKronos said:   
 Customer satisfaction is a TOP priority for costco

  
Then why is every interaction with Costco like getting punched in the face by an anthropomorphic brick?

Okay what are the best visa credit cards out there right now?

corporateclaw said:   
LordKronos said:   
 Customer satisfaction is a TOP priority for costco

  
Then why is every interaction with Costco like getting punched in the face by an anthropomorphic brick?

Maybe that is your Costco... My C has always been excellent, especially dealing with the retired population returning things like chicken carcasses, half eaten fruit salads, etc for full refunds.  

corporateclaw said:   
LordKronos said:   
 Customer satisfaction is a TOP priority for costco

  
Then why is every interaction with Costco like getting punched in the face by an anthropomorphic brick?

  
Wow, I'm a bit surprised by that. I almost never hear anybody say anything bad about costco's customer service. I'd be curious at the types of negative interactions you've had.
 

corporateclaw said:   
LordKronos said:   
 Customer satisfaction is a TOP priority for costco

  
Then why is every interaction with Costco like getting punched in the face by an anthropomorphic brick?

  
I've never had a bad interaction with them.

somdave2005 said:   Okay what are the best visa credit cards out there right now?
  
I think in the other thread about this topic (from a few weeks ago) the Citi double cash was mentioned.

So most people will use the Fidelity Visa instead of the Fidelity Amex. No big deal.

tjguitar85 said:   So most people will use the Fidelity Visa instead of the Fidelity Amex. No big deal.
  
It's only gets 2% after 15k spending. I'd prefer my fidelity amex for 2% from the first dollar. There's no way I'd be spending 15k at places that don't accept amex, so that's really just a 1.5% card for me.

LordKronos said:   
tjguitar85 said:   So most people will use the Fidelity Visa instead of the Fidelity Amex. No big deal.
  
It's only gets 2% after 15k spending. I'd prefer my fidelity amex for 2% from the first dollar. There's no way I'd be spending 15k at places that don't accept amex, so that's really just a 1.5% card for me.

  

I hardly spend anything at Costco, so the lost 50 bps is negligible.

LordKronos said:   
corporateclaw said:   
LordKronos said:   
 Customer satisfaction is a TOP priority for costco

  
Then why is every interaction with Costco like getting punched in the face by an anthropomorphic brick?

  
Wow, I'm a bit surprised by that. I almost never hear anybody say anything bad about costco's customer service. I'd be curious at the types of negative interactions you've had.

  
When I first got the membership, I was convinced to get the membership because of everyone talking about how great the tire situation was there. They installed two of the 4 tires on my car incorrectly such that they would deflate within less than 24 hours. It was a giant pain to get them to fix that which took over a month. Sort of related, whoever entered my information in their system for my car entered that the correct PSI for my tires is 29, which is 5 PSI too low, so whenever I have them rotate the tires I tell them this, they say they will change it in the system and then they don't change it in the system, and they give me a car that has 29PSI in the tires and my car has the warning lights on about low PSI.

I had a number of issues with that loose-leaf salad green container they sell. The "spring greens" I think it is called where I'd get it home and open it and it would smell rancid and there was a "glob" in the middle that had gone rotten. I stopped buying that after a while, but twice I tried to get a refund for it and they denied that refund. Similarly, I often buy some of their fresh fruits or veggies and end up getting home to realize that they've gone bad (for example last week I tossed an entire bag of red onions because they all looked fine but when you cut them open about 25-33% sized sphere in the middle was rotten and liquified and literally smelled like poop -- I did not even try for a refund on that). I get that often Costco's prices on fruits and berries is cheap enough that tossing a few items that you didn't notice had gone bad is still a "deal" -- which is why I don't try to get a refund for having to toss an apple or a single plum when they are bad -- but if you've accidentally taken home an entirely worthless batch of something, that should be refunded.

The final straw was about 3 years ago my wife bought a printer from them that was a complete disaster and would never print right and chewed through ink cartridges like they were going out of style. I ordered expensive refills and after installing them, it would not print right at all. I gave up on it and ordered a brother laser printer that works amazing. I left the printer sit for a while, but then when I was moving about 2 years ago I decided I should probably get around to taking the printer back. They would not take it back! They just kept saying that I could not "bring something back because I'm done with it" I kept trying to explain that I was bringing it back because it doesn't work and there was a brand-new set of ink in it that cost almost as much as the printer. Plus, nowhere in their updated "return policy" do they exclude printers. I argued with them at the desk for nearly an hour before somebody finally gave me a costco GC for the amount.

My deal with costco is that the prices are only a "deal" on most items if you are comparing them to non-on sale prices at the "regular" grocery store. So, essentially, you are paying a premium to shop at costco, so you can pay slightly more for your food. The Only thing you are paying for is their much-touted awesome return policy. So, if I'm going to have to argue with them for an hour to return a broken printer (or be flat-out refused a refund on rancid lettuce), then what am I paying for? I get that at most places I'd be SOL on having waited about a year to return a broken printer, but those "other places" don't advertise that I would be able to take that printer back!

LordKronos said:   somdave2005 said:   Okay what are the best visa credit cards out there right now?
  
I think in the other thread about this topic (from a few weeks ago) the Citi double cash was mentioned.


I think that's a Mastercard

LordKronos said:   
somdave2005 said:   Okay what are the best visa credit cards out there right now?
  
I think in the other thread about this topic (from a few weeks ago) the Citi double cash was mentioned.

  
Right, but that was when we didn't know what network would replace AmEx and M/C was in the running.  Now we know Visa is the winner.  AFAIK, Citi DoubleCash is always a M/C, so won't be accepted at CostCo.

Chris.

somdave2005 said:   
LordKronos said:   
somdave2005 said:   Okay what are the best visa credit cards out there right now?
  
I think in the other thread about this topic (from a few weeks ago) the Citi double cash was mentioned.


I think that's a Mastercard

  There appears to be both mastercard and visa variants.  

Citi Double Cash is MasterCard, not Visa.

Old Priceline Visa (2%); Navy Federal Cash Rewards 1.5%, Capital One Quicksilver 1.5%, Fidelity Visa 1.5%, and I'm sure there are more

SirWilll said:   
cknutrine6954 said:   The implementation of these agreements is subject to the purchase of the existing co-brand credit card portfolio by Citi.
  
That is the interesting part.  Does that mean that Citi will take over all of the existing Amex Costco card holders accounts?  Meaning we will automatically get CITI cards?  

I doubt that would be legal.  I don't think a bank can issue me credit without my authorization, nor can a bank sell/transfer my credit card account like a mortgage.  When Delta dumped US Bank for Amex after the Northwest merger I did not automatically get a Delta Amex.  I did get a US Bank Flexperks card, which was simply a change to the existing agreement I had with US Bank.  I am sure that there will be heavy marketing towards Amex card holders from Costco/Citi, but there will still have to be a new application.  Costco Amex holders will likely receive a new non-Costco Amex.

corporateclaw said:   
LordKronos said:   
corporateclaw said:   
LordKronos said:   
 Customer satisfaction is a TOP priority for costco

  
Then why is every interaction with Costco like getting punched in the face by an anthropomorphic brick?

  
Wow, I'm a bit surprised by that. I almost never hear anybody say anything bad about costco's customer service. I'd be curious at the types of negative interactions you've had.


-tires
-salad
-fruit in general
-printer


I see what you mean. I've never had any of the problems you described at C. Multiple sets of tires purchased from them have been great and I've bought lots of produce from them and it is all good (sometimes the strawberries turn before we can eat them all, which is expected IMO).

I get the last straw too. Although I wouldn't have waited 2 years to return it, they should still have accepted the printer. It sounds like your C is part of Dante's 9 Circles of Hell. Which location was this? I'll make sure to avoid it!
  

PhDeez said:   
corporateclaw said:   
LordKronos said:   
corporateclaw said:   
LordKronos said:   
 Customer satisfaction is a TOP priority for costco

  
Then why is every interaction with Costco like getting punched in the face by an anthropomorphic brick?

  
Wow, I'm a bit surprised by that. I almost never hear anybody say anything bad about costco's customer service. I'd be curious at the types of negative interactions you've had.


-tires
-salad
-fruit in general
-printer


I see what you mean. I've never had any of the problems you described at C. Multiple sets of tires purchased from them have been great and I've bought lots of produce from them and it is all good (sometimes the strawberries turn before we can eat them all, which is expected IMO).

I get the last straw too. Although I wouldn't have waited 2 years to return it, they should still have accepted the printer. It sounds like your C is part of Dante's 9 Circles of Hell. Which location was this? I'll make sure to avoid it!
  

  
South County St. Louis, MO store. Though I tried at several different costco locations to get the PSI thing changed in the system and apparently once it's in there, it is etched in stone for all eternity.

Tom9999 said:   I doubt that would be legal.  I don't think a bank can issue me credit without my authorization, nor can a bank sell/transfer my credit card account like a mortgage.  When Delta dumped US Bank for Amex after the Northwest merger I did not automatically get a Delta Amex.  I did get a US Bank Flexperks card, which was simply a change to the existing agreement I had with US Bank.  I am sure that there will be heavy marketing towards Amex card holders from Costco/Citi, but there will still have to be a new application.  Costco Amex holders will likely receive a new non-Costco Amex.
Salle Mae directly issued a credit card, then sold the portfolio to Barclaycard (though it is still branded with the Sallie Mae logo). HSBC winded down its credit card operations in the US and sold its portfolio to Capital One. During the financial crisis in 2009, Citi sold a good chunk of its portfolio to US Bank. In each case, customers had a card issued by one financial institution that was transfered to another company and reissued by the new FI.

Many times, when airline cards end relationships, they often only stop issuing new cards and continue servicing accounts for existing customers, but it would not be strange at all for a cobranded card to be completely transfered to another company.

GamingG said:   
Tom9999 said:   I doubt that would be legal.  I don't think a bank can issue me credit without my authorization, nor can a bank sell/transfer my credit card account like a mortgage.  When Delta dumped US Bank for Amex after the Northwest merger I did not automatically get a Delta Amex.  I did get a US Bank Flexperks card, which was simply a change to the existing agreement I had with US Bank.  I am sure that there will be heavy marketing towards Amex card holders from Costco/Citi, but there will still have to be a new application.  Costco Amex holders will likely receive a new non-Costco Amex.
Salle Mae directly issued a credit card, then sold the portfolio to Barclaycard (though it is still branded with the Sallie Mae logo). HSBC winded down its credit card operations in the US and sold its portfolio to Capital One. During the financial crisis in 2009, Citi sold a good chunk of its portfolio to US Bank. In each case, customers had a card issued by one financial institution that was transfered to another company and reissued by the new FI.

Many times, when airline cards end relationships, they often only stop issuing new cards and continue servicing accounts for existing customers, but it would not be strange at all for a cobranded card to be completely transfered to another company.

  My wife had the TJX Rewards MC -- originally issued by Chase, not by GE Capital Bank.

Bend3r said:   somdave2005 said:   
LordKronos said:   
somdave2005 said:   Okay what are the best visa credit cards out there right now?
  
I think in the other thread about this topic (from a few weeks ago) the Citi double cash was mentioned.


I think that's a Mastercard

  There's both mastercard and visa variants.  


Thanks, will do Citi double cash card if I can get the visa version. Anyone have the visa version and can tell us how to go about getting it? Matter of just asking?

Well that was easy.  I applied for and rec'd a Cap 1 Quicksilver VISA to go along with my Quicksilver MC, and they're offering a $100 bonus for only $500 in spending the first 3 months.

UncaMikey said:   What's the best ca$hback VISA card?  I've been using my FIA AMEX for 2% CB at Costco and I have a couple of 1.5% CB Mastercards, but my best VISA is 1%.
The BoA Cash Rewards Signature Visa, if you have a BoA Platinum Honors Preferred Rewards relationship account (>$100k in assets in linked MerrillEdge Brokerage will qualify), gives you 75% bonus if you deposit the cc CashBack into your BoA checking. So this card will earn:

1.75% on everything, or
3.5% at grocery stores, or
5.25% at gas stations (and soon Costco gas too!). 

The later two bonus categories are limited to $1,500 of purchase each quarter. 

Extra benefits: this card has no annual fee. The BoA Platinum Honors also gives you unlimited free ATM fee reimbursement and (most lucrative of all) 100 monthly free trades in MerrillEdge that is worth $695/month. 

I hope citi would take up Amex portfolio and issue cards with accounts that are backdated to that of Amex. Don't want Average age of accounts to be affected. Planning on obtaining a mortgage in a year or two.

If that doesn't happen, wish Amex comes up with better option for us to switch current Costco Amex account. Personally I have Amex blue cash everyday.

What are other options for Amex - CashBack/travel?

scrouds said:   cap 1 quicksilver visa 1.5%
  Event better is Cap 1 Business 2% on all purchases $75 annual fees.
On yearly spends of 5K or more, this is better.

So any Visa will work or just a Visa issued through Citi?

cknutrine6954 said:   I hope citi would take up Amex portfolio and issue cards with accounts that are backdated to that of Amex. Don't want Average age of accounts to be affected. Planning on obtaining a mortgage in a year or two.

If that doesn't happen, wish Amex comes up with better option for us to switch current Costco Amex account. Personally I have Amex blue cash everyday.

What are other options for Amex - CashBack/travel?

  Just read in WSJ that Citi will pick the costco-amex cardholder accounts and amex will get the exisitng card holders converted to a different version like blue cash or whatever.

My question is will we get an option to do both or either or neither?

I already have a good visa card and will not be interested to get a Citi visa. I may think of convering the amex-costco card to a different amex card to have an Amex for their serice (extended warranty,primary rental insurance etc). 

DealsBrokeMe said:   
scrouds said:   cap 1 quicksilver visa 1.5%
  Event better is Cap 1 Business 2% on all purchases $75 annual fees.
On yearly spends of 5K or more, this is better.

  Get the Fidelity Visa.   1.5% no annual fee.  Above $15,000 annual spend it becomes 2%.  The 0.5% CashBack difference between $0 and $15000 amounts to $75.  So you come out ahead with Fidelity Visa compared to both those CAP 1 cards.

Tiggerlgh said:   So any Visa will work or just a Visa issued through Citi?
Any Visa should work, but only the Costco-branded Citi Visa will also act as your Costco membership card.

I had Macy's Visa from 2008 and they changed to amex around 2010 or 2011 I think. 
Only communication I had from Macys' was with New Amex Card saying that is what you have from now on
No choice to move to Amex to stay with different type of visa etc.
 

I have always used my regular Amex at Costco. My longtime Citi Visa was switched by Citi to MasterCard a few years ago. Will Citi switch me back to Visa so I can continue shopping at Costco?

Skipping 156 Messages...
Good catch. I guess I'll keep the primary rental coverage on the biz card.



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