The CIBC Costco Mastercard, exclusively for Costco members, is a versatile credit card offering cash back on a range of purchases. Whether you’re shopping at Costco, filling up at the pump, or dining out, this card ensures that you benefit from every dollar spent. Beyond rewards, it serves as a dual-purpose card, integrating your Costco membership, simplifying your wallet, and enhancing your shopping experience.
With no annual fee, the CIBC Costco Mastercard allows cardholders to maximize rewards without extra costs. This card is available in two options—the standard Costco Mastercard and the Costco World Mastercard, each designed to accommodate various spending needs. Here’s an in-depth look at the card’s key features, standout benefits, potential drawbacks, and eligibility requirements.
Key information about the credit card
How does the annual fee work?
A standout feature of the CIBC Costco Mastercard is its zero-annual-fee structure. Unlike cards that charge a recurring yearly fee, this Mastercard allows you to enjoy rewards without incurring additional expenses. This aspect is especially valuable for those looking to save on card maintenance fees while still accessing competitive cash-back offers. Additionally, with no fees for up to three additional cardholders, family members can enjoy the benefits of this card at no extra cost.
How is the credit limit determined?
The credit limit for the CIBC Costco Mastercard is based on an evaluation of the applicant’s creditworthiness. Factors such as income, credit score, and overall financial history play a role in the limit assigned to each cardholder. For the Costco World Mastercard, applicants are required to meet higher income thresholds, reflecting its premium status and additional features.
Advantages of the credit card
- 3% cash back at restaurants and Costco gas stations: Ideal for frequent diners and drivers, allowing you to earn significant rewards on these common expenses.
- 2% cash back at other gas stations and electric vehicle charging stations, including Costco.ca: For those who travel regularly, this feature provides savings across various fueling and charging locations.
- 1% cash back on all other purchases, including at Costco warehouses: Gain rewards on general purchases, ensuring you’re always earning.
- Exclusive access to CIBC Pace It Installment Plans: Enjoy flexible payment options for larger Costco purchases with installment plans at lower interest rates, specifically for Costco transactions.
- Integrated Costco membership: This dual-purpose card serves as both a Costco membership and credit card, eliminating the need to carry multiple cards.
Standout advantage
One of the most unique benefits of the CIBC Costco Mastercard is its integration of the Costco membership directly on the card. This feature consolidates the membership and payment process, making it more convenient for frequent Costco shoppers. Additionally, cardholders receive an annual cash-back gift certificate, redeemable at Costco warehouses, which allows for seamless cash-back usage without complicated redemption processes.
Disadvantages
- Limited reward categories: Although there are notable cash-back categories, rewards are mostly focused on Costco and specific spending areas.
- Higher interest rates for general purchases: At 20.75% for purchase interest, this card’s rate is comparable to general credit cards but can be costly if not paid in full.
- Income requirements for premium card option: To qualify for the Costco World Mastercard, applicants need to meet specific income thresholds.
A standout disadvantage
The primary downside of the CIBC Costco Mastercard is that its rewards program is tailored heavily toward Costco purchases and gas. While this structure works well for regular Costco customers, those who shop at a variety of retailers might find the rewards program restrictive. For individuals who prefer broader reward options, another credit card may offer more flexibility and value.
Who can apply for this card?
The CIBC Costco Mastercard is a credit card specifically designed for Costco members across Canada, providing them with tailored benefits and rewards for their purchases. This card is available only to applicants who are at least 18 years of age and meet certain financial requirements. For those interested in the standard Costco Mastercard, a minimum annual income of $15,000 is required.
However, for those seeking the more premium Costco World Mastercard, applicants must meet a higher income threshold: either $50,000 individually or $80,000 for combined household income. The application process also involves a review of the applicant’s credit history, ensuring they meet the bank’s criteria. While the approval guidelines are generally straightforward, applicants with limited credit histories or poor credit scores might encounter obstacles, as these factors could impact their eligibility for the card.
How to apply for the CIBC Costco Mastercard
For the website
To apply online, visit the CIBC website and navigate to the credit card section. Select the CIBC Costco Mastercard and click on the “Apply Now” button. The website will prompt you to enter personal information, including details about income, employment, and credit history.
Once all fields are completed, you’ll have a chance to review your application before submitting it. The online system will evaluate your application, and in most cases, you’ll receive a response within 60 seconds. If approved, expect to receive your card within a few business days, ready to use for Costco and other purchases.
Through the app
The CIBC mobile app offers a convenient way to apply for the Costco Mastercard on your smartphone. After logging into the app, head to the credit card options and select the CIBC Costco Mastercard. The application process within the app is designed to be quick and user-friendly, guiding you through each step with prompts for personal and financial information. Once you complete the form, submit it for review.
At the branch
For those who prefer a face-to-face application, visiting a CIBC branch is a viable option. Speak with a representative to start your application process. They will guide you through each section of the application form, assisting with any questions or concerns.
Applying in person can also provide a better understanding of the card’s features, as the representative can offer insights and answer specific questions. After completing the application, you will typically receive a decision within a few minutes, helping you know right away if you’re approved for the card.
