Costco quietly raises gas rewards for Citi cardholders to 5% at warehouse pumps
Costco has quietly boosted the Citi-issued Costco Anywhere Visa Card gas reward at warehouse pumps from 4% to 5%, raising the combined annual gas and EV charging cap to $7,000 and enabling up to $350 in cash back for members.
- Costco Anywhere Visa cardholders issued by Citi now earn 5% cash back on gas purchased at Costco gas pumps, up from 4%.
- The 5% rate applies only to gas bought at Costco’s warehouse stations; gas outside Costco and EV charging earn 4%.
- Both the 5% and 4% rates apply to the first $7,000 in combined annual gas and EV charging purchases, enabling up to $350 instead of the prior $280.
- Other card rewards remain: 3% on restaurants and eligible travel, 2% on Costco purchases, and 1% on everything else.
What changed and how the update was confirmed
Costco raised the gas reward to 5% at its own pumps, a change first spotted when cardholders and media noticed updated terms and reward statements. Multiple outlets verified the tweak and matched it to Citi’s posted card benefit descriptions and account tracking.
How it was confirmed: reporting and Citi’s benefit page align on the new 5% tier for Costco pumps.
Limits and exclusions cardholders should know
The elevated 5% cash back is strictly for fuel purchased at Costco-branded stations. Purchases at non-Costco stations and EV charging are eligible for 4%, not 5% — and both tiers count toward the combined $7,000 annual cap. After that cap, rewards drop to 1% for the remainder of the year (MoneyTalksNews).
How much members can earn
A cardholder who spends the full $7,000 on qualifying fuel at Costco pumps would earn $350 (5% of $7,000). Under the prior 4% rate the same spending yielded $280 — so the change increases the maximum certificate value by $70. The 4% tier for non-Costco gas and EV charging also counts toward the $7,000 limit (Citi details).
Other card features remain intact
The co-branded Citi card still offers: 3% on restaurants and eligible travel, 2% on Costco and Costco.com purchases, and 1% on all other purchases. The card has no Citi annual fee but requires an active Costco membership, and rewards are issued annually as a certificate redeemable at warehouses (Fox Business).
Why the change matters to consumers and to Costco
For consumers, the 5% rate is a tangible savings boost that accelerates annual certificate accumulation and reduces household fuel costs for frequent Costco users. For Costco and Citi, the adjustment nudges card usage toward the retailer’s ecosystem and can deepen loyalty while increasing interchange revenue for the partners (reporting).
Verification and outreach
Media sources cross-checked the updated benefit language on Citi’s site and with user accounts to confirm the 5% tier. Attempts to contact Costco for comment were reported but did not yield an official statement at the time of coverage (Fox Business).
Practical advice for cardholders
- Track your calendar-year fuel spending. The $7,000 cap is per calendar year — heavy spenders who hit it early may want to shift spending or use a different card later in the year (Citi).
- Confirm the pump is a Costco station. Only Costco-branded pumps earn 5%; non-Costco pumps earn 4% (MoneyTalksNews).
- Remember EV charging earns 4% and counts toward the cap. EV charging is part of the combined $7,000 limit but does not qualify for the 5% Costco-pump rate (Citi).
Implications for the United States
Economic: The 5% boost puts modest savings back into consumer pockets, especially for commuters who use Costco stations; it could nudge retail competition and loyalty programs.
Political: The change is a private-sector incentive unlikely to spur policy action but highlights market-driven consumer benefits.
Social and cultural: Communities near Costco fuel sites and value-focused shoppers benefit most; the quiet rollout underscores a strategy to reward existing members rather than stage a broad marketing push (Fox Business).
Final note
Cardholders should review their fueling and EV charging behavior, confirm station branding before paying, and plan around the $7,000 cap to maximize the newly increased benefit.
