Costco Travel Rewards Explained

Costco travel rewards are a valuable benefit for members, offering exclusive discounts and perks on travel bookings.

To earn rewards, members must book their travel through Costco Travel, the company's dedicated travel booking platform.

By doing so, members can earn points towards future travel credits, redeemable on flights, hotels, and rental cars.

These rewards can add up quickly, especially for frequent travelers.

The Costco Citibank card offers a 3% cashback reward, but there's a catch. It's not applicable to taxicab or limousine services, as I learned from a lengthy 18-minute phone call with Citibank customer service.

Uber and Lyft riders won't be getting that 3% cashback reward either, which might be a disappointment for some frequent users.

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Travel credit cards are a great way to earn rewards, but how do they actually work? They're similar to regular rewards credit cards, but they reward you more for travel-related purchases.

You can earn points or miles with travel credit cards, which are usually worth more when redeemed for travel. This can be a huge perk, especially if you travel often.

Travel credit cards often come with additional features like travel insurance, no foreign transaction fee, airport lounge access, and reimbursement for TSA PreCheck/Global Entry.

These features can make a big difference in your travel experience, and they're often included with travel credit cards.

One of the main benefits of the Costco travel rewards program is that it offers high rewards rates for gas and EV charging, as well as travel.

You can earn rewards on your gas and EV charging expenses, which can add up quickly. No foreign transaction fees are also a plus, so you can use your rewards card abroad without incurring extra charges.

However, the program has some restrictive rules, including the fact that you can only cash out your rewards once per year.

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This means you'll need to carefully plan your rewards redemption to make the most of your earnings. A paid Costco membership is also required to take advantage of the program.

If you're not already a Costco member, you'll need to factor in the cost of membership as part of your overall expenses. Unfortunately, there's also no welcome bonus to sweeten the deal.

Here's a summary of the benefits and drawbacks:

Booking travel through Costco Travel can save you a significant amount of money. For a 5-night stay at the JW Marriott Cancun Resort & Spa, the author paid $1,905.71, or $381 per night, which is a pretty good price.

You'll likely see several promotions or discounts when booking through Costco Travel, which can further incentivize you to book through their portal. The author received a $112 Costco gift card, private transportation to and from the airport, $50 daily resort credit, and $50 spa credit.

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Here are the benefits the author received:

If you have a Costco Executive Membership, you'll earn 2% back on the purchase price, which can add up to a significant amount. In this case, the author earned $38 back, bringing their out-the-door cost down to $1,755.

Booking through Marriott would have cost the author $3,512, which is double what they paid going through Costco Travel. The only benefit of booking through Marriott is earning toward Marriott elite status, but it may not be worth it if you don't stay at Marriott properties often.

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Booking your travel rewards with Costco is a straightforward process. You can book online or by phone, with no blackout dates or restrictions.

Costco offers a wide range of travel options, including flights, hotels, and vacation packages. You can even book cruises and car rentals through their website.

To redeem your rewards, simply log in to your Costco account and navigate to the travel section. From there, you can search for your desired destination and travel dates.

Costco's travel rewards program is designed to be easy to use, with no complicated points systems or confusing rules. Just book your travel and enjoy the savings.

You can also use your rewards to book travel for others, making it a great option for family vacations or group trips.

The Costco Citibank card offers 3% cashback reward on eligible travel purchases, but surprisingly, it doesn't cover taxicab or limousine service, like Uber or Lyft.

Travel credit cards work similarly to other rewards credit cards, rewarding cardholders more for travel-related purchases and offering features like travel insurance and airport lounge access.

The Costco Anywhere Visa Card has a robust rewards program with tiered rewards, including 4% cashback on gas purchases and 3% cashback on restaurants and eligible travel purchases worldwide.

You can earn up to 2.62% cashback on all purchases with the Bank of America Preferred Rewards program, but you need to have at least $20,000 in a Bank of America deposit and/or Merrill investment account.

Here's a breakdown of the Costco Anywhere Visa Card rewards:

The Costco Credit Card rewards are redeemable once a year, in February, and must be redeemed by the end of the year to avoid expiration.