Eventhough the Costco True Earnings American Express Card is touted as a no annual fee card, cardholders do have to pay $55 per year for an annual Costco membership, with a limit of only 2 free cards per account.
The card offers a generous gasoline purchase rewards rate, but curiously only 1% rewards for shopping at Costco itself.
Cardholders receive points on purchases of:
- gasoline – 3% rewards up to $3,000 (1% thereafter)
- restaurants – 2% rewards
- travel – 2% rewards
- everywhere else, including Costco – 1% rewards
The rewards are distributed annually in the form of a reward coupon on a billing statement, redeemable for merchandise or cash at any U.S. Costco Warehouse.
There is an expiration date of August 31st in the year in which the coupon is issued and cash redemptions must be made in person at a Costco location.
Additional American Express Costco cardholder benefits are
- Purchase Protection
- Fraud Protection Guarantee
- Global Assist Hotline
The interest rates are very reasonable:
- 0% for the first six months
- 15.24% thereafter (which may change)
- 3% balance transfer fee


You get reminders to keep you on track, rewards for good behavior, and credit tools and tips help you along the way.