Eli Blumenthal

USA TODAY

Corrections & clarifications: An earlier version of this story misstated roadside assistance for the new Costco Citi Visa card.

Costco switched credit card providers to Citi Visa on Monday, ending its 16-year relationship with American Express, creating some big changes for many among the wholesale club's 81.3 million members.

Now, Costco's TrueEarnings American Express can no longer be used. Instead, Costco is mailing out new Citi Visa cards, officially called the Costco Anywhere Visa Card by Citi. The changeover was automatic, with no credit checks required, Costco says. Also, all of its members' cash-back credits are being transferred to the new card accounts.

Citi began the process of mailing out new cards late last month. Here are some other key facts about the new card:

• Is there an annual fee for the new Visa card?

Costco includes the cost for the card as part of your annual $55 Costco membership, so there is no additional fee to get the new card and no annual fee to use it beyond your Costco membership.

• Will other credit cards — such as from American Express, Discover or MasterCard — work at Costco?

Visa is taking over as the exclusive credit card for Costco, which means all other non-Visa credit cards will no longer work.

That said, you do not need to use the Costco-branded Visa card. Other Visa cards will be accepted. You can also still pay with cash, checks, debit cards, Electronic Benefit Transfer (EBT) and Costco Cash Cards.

• Is the new Costco Visa card also my membership card?



The Costco Visa card also doubles as a membership card. If you don’t have a Costco Visa card, you can still use your non-credit card Costco identification card.

• What are the benefits for this new Visa card?

Costco says its switch to Visa offers greater benefits compared to what was available from American Express.

You’ll get 4% cash back on eligible gasoline purchases, including gas at Costco, for the first $7,000 in purchases a per year. After crossing the threshold, you'll get 1% cash back. That's an increase from 3% back on the first $4,000 under the Amex Costco card.

Restaurant and eligible travel purchases worldwide also get a bump. You'll get 3% back on the new card compared to 2% on the old card. Purchases from Costco and Costco.com will now also get you 2% cash, compared to 1% before.

Costco vs. Sam's Club: Which has better rewards credit card?

Both cards offer perks such as car rental insurance, roadside assistance and extended warranties.

All this said, there are some disadvantages that come with the new card, such as having to redeem your cash-back rewards at Costco.

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