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Details on the new CIBC Costco Mastercard (available March 2022)

To the point

Costco members have been waiting for this news for a long time: CIBC will be the issuer of Costco credit cards starting in 2022.

After the announcement last October that Capital One and Costco had ended their partnership, CIBC will now be the new issuer. And today, we learned the features of this new Costco credit card.

CIBC Costco Mastercard Features

The new CIBC Costco Mastercard will have no annual fee.

You will earn cash back on all your purchases:

  • 3% cash back at restaurants and Costco gas
  • 2% cash back at other gas stations and at Costco.ca
  • 1% cash back on all other purchases including at Costco

You’ll earn 1% cash back on your first dollar of purchases. This is an improvement over the card currently issued by Capital One, as it only offered 0.5% on the first $3,000 of purchases. That was a disguised $15 annual fee.

cibc costco mastercard

Also, it’s interesting to see that this card will offer 3% for gas at Costco, which is high (considering Costco often offers the best rates on gas). And 2% at other gas stations. Please note that there is an annual limit of $5,000 in purchases in this category (beyond that you will get 1%).

Similarly, there is a significant improvement of 2% for purchases made on Costco.ca. If you shop often on the online Costco website, this is a card to have in your wallet. Again, there is an annual limit of $8,000 for Costco.ca purchases (beyond that, you’ll get 1%).

Finally, the CIBC Costco Mastercard will provide a new mobile device insurance.

This CIBC Costco Mastercard will be available as of March 4, 2022. Also, a CIBC Costco World Mastercard will be offered, but details are not yet available.

Long-awaited announcement

Given the large number of Costco members in Canada, this announcement was highly anticipated. CIBC will become the exclusive issuer of Costco Mastercard credit cards in Canada and acquires the Canadian Costco credit cards portfolio from Capital One (approximately $3 billion in balances).

The new CIBC Costco Mastercard will offer great rewards for purchases at all Costco stores in Canada and on Costco.ca and will also serve as a Costco membership card . It can also be used anywhere in the world at merchants who accept Mastercard credit cards.

Costco savings

What to do if you have a Capital One® Mastercard

Capital One Costco Mastercard cardholders can continue to use their current card until they receive their new one CIBC Costco Mastercard which is expected to be sometime in March 2022. And no later than August 31, 2022.

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How do I apply for the new Costco credit card ?

It will be possible to apply to the new CIBC Costco Mastercard on March 4, 2022.

Other credit cards to use at Costco

Of course, it will still be possible to use other Mastercard credit cards at Costco. The best credit cards for Costco can be found in this ranking.

The best credit cards to use at Costco are below:

Conclusion

Browse our credit card comparison tool to select the best Mastercard credit card for you.

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