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FOSTER CITY (CBS / AP) — If you’re shopping at Costco, you’ll need a new credit card to pay for those family-sized packs of chicken breasts or toilet paper. For an annual fee of to 0, shoppers get access to groceries in bulk sizes, as well as appliances, jewelry, home goods and other products.
After only accepting American Express the last 16 years, the retailer is switching to Foster City-based card giant Visa and will use Citigroup as its exclusive provider of co-branded credit cards. It is the world’s second-largest retailer by revenue, and has 671 locations around the world, including 474 in the U. The switch from Am Ex to Visa could mean changes for some of those customers.
Citigroup is also expected to take over the existing American Express Costco credit cards. Costco hasn’t said yet whether people will have to reapply for its rewards credit card.
Citigroup says it plans to make the transition from Am Ex to the Citi’s Visa card as “seamless” as possible.