This is about whether the Costco executive member should make sense, it does not make sense to get the base member in the first year and that it always makes sense to get the executive one.
Take his economic invincibility today, we're going to talk about the Costco Anywhere Visa Cashback Card, this is an option that if you shop at Costco a lot, you can read a lot of benefits, but there are some rules that unfortunately make it less flexible than it could be.
So to begin we have four percent cash back up to a max of $7000 at Costco, and regular gas station after that goes to one percent, now one rule they have is that if you go to let's say a Walmart gas station or a supermarket gas station, you only get one percent, so that's a little bit unfortunate, of course, if you go to Costco a lot, because it's 10 down cheaper gas on average, you're not going to have that problem and of course regular gas stations as well, you also get 3% cashback on restaurants and travel purchases again worldwide, and then 2% on purchases at Costco.com and in-store at Costco, I think that could be at least 3% to be more competitive, which a lot of places but at least it's something, it's not just 1%, and then you get 1% on everything else.
Now the downside about this whole cash back program is that you only get it all together at the end of the year, they give you a statement certificate credit and then you can redeem it for cash or towards merchandise at Costco, and that also is on the basis of you having an active account, so you can't just take it out, if you've closed the account, you have to have the account open to access with, otherwise, you would lose that cash back, so it is a nice program, but they are definitely trying to keep you shopping at Costco which makes sense, but that's just something you need to know, don't assume it's going to be like some of these cash back cards, where every month you can utilize your cash back towards something in terms of the finances, there's no annual fee, but that's not exactly true, because you have to get Costco member to get the card, so you are paying Costco membership, but the nice thing about it is you get the credit card, you can use that as your entrance to Costco, is you don't have to use the membership card as well.
In terms of the additional financial factors, I'll just run through them real quick, a PR introductory is 0% for 7 months, after that it goes to 15.74%, and that's the same for the balance transfer APR, you have a c3 balance transfer of $5 or 3%, cash advance APR of 25.74 percent and a fee of ten dollars or five percent, and then you have a penalty APR 29.14.
Fifa worldwide thing is a little bit of a contradiction because you can use it worldwide, but then are you going to be hit with the foreign transaction fees? So that's going to cut into what you're actually gaining, so if you get three percent worldwide on travel or restaurants, but then you're paying a three percent foreign transaction fees at a certain restaurant abroad, how's that going to work out? So it's not a perfect system, but definitely if you are a regular loyal Costco member, this is a good card, because four percent consistently on gas is hard to get, there's something a parable in American Express, but otherwise, most cash back cards you might get five percent, but it's only for a couple months, in this case, four percent throughout the year until you get to about seven thousand, then it goes to one percent, and again if you are big into Costco, this is going to be a good card for you to get, you're not going to lose out much, because there's no additional annual fee beyond you having a Costco membership.
Now if you just want to regular cash that card, and you're not a big Costco person, you might want to look at chase freedom or discover IT, discovered it whichever way you want to pronounce it, but this is not a bad card really, as I said going to depend upon what your shopping habits are.