Costco Visa: The Best Credit Card for When You Have A Baby

This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. For an explanation of our Advertising Policy, visit this page.

traveling with mom and daughter

Traveling with my mom and daughter in England.

From diapers to cribs, onesies to formula, planning for and having a baby can be incredibly expensive. Even though most of us here at Point Savvy have weathered the storm of pregnancies and having babies we remember the crazy expenses that overwhelmed us as new parents.

According to parenting.com the cost of caring for a baby exceeds $10,000 in the first year. And that’s an average, so many of you out there are paying more, and can feel the impact that it may be having on your monthly expenses.

If you’re like most new parents, you’re looking for way to save on everything. One of the best ways to do this is by joining a warehouse store like Sam’s Club, BJ’s or Costco. We think the new Costco Anywhere Visa® Card from Citi offers the most value because of the high percentages of cash back on literally everything you buy. You earn 4% on gas, 3% on dining and travel, 2% on Costco purchases, and 1% on everything else. When you’re a new parent, you don’t have time to run to the store every few days, so buying in bulk at Costco saves you time and will end up saving you money, too.

With a nominal annual fee, the Costco Anywhere Visa® Card from Citi offers rewards that are simple to track, and can help you save even more than you would on almost anything. Below are more details about the card, and how it can help new parents budget their life with babies.

Costco Anywhere Visa Card Rewards

You’ll earn 4% Cash Back on all gas purchases (up to $7,000)

Includes gas purchased at Costco where prices are already 10-20% cheaper than regular gas stations. That means that every drive to a doctor’s appointment, or last-minute run for formula will cost you a little bit less.

You’ll earn 3% Cash Back on restaurant and eligible travel purchases.

When you’re sleep-deprived and can’t bring yourself to cook, you’ll feel a little less guilty about that Chinese carryout. What’s more, you’ll be able to stomach that mandatory holiday trip to see your in-laws when you save on flights to Florida with the Costco Anywhere Visa® Card from Citi.

You’ll earn 2% Cash Back on all Costco and Costco.com purchases.

Whether you are trying to keep your little one in clothes that fit, save even more money on grocery staples, or need a new crib or stroller – you’ll save by shopping at Costco.

Plus, earn 1% Cash Back everywhere else you use your card.

Let’s say you want to buy clothes at a non-Costco store, or sign up for baby-and-me yoga classes, you’ll still get cash back on those purchases.

Annual Savings Breakdown

Groceries savings at Costco: $249. Based on a moderate grocery spend of $239 per week you would earn $249 back annually if you used your card at Costco. That’s a free week of groceries.

Baby purchases at Costco savings: $152. Most new parents can count on spending about $50 per week on diapers and formula alone. If you combine that with the $5,000 that you will spend on baby furniture, car seats, and necessary baby accessories at Costco you could earn an additional $152 cash back in your pocket.

Gas savings: $120. Additionally, the average family spends $250 per month on gas. That’s a savings of $120 per year if you use your Costco Anywhere Visa® Card from Citi.

Travel savings: $75. Lastly, if you spend the $2,500 on travel in a year, you’ll turn that into $75 cash back as well.

TOTAL ANNUAL SAVINGS: $596

You could save almost $600 annually just for shopping at Costco and using your Costco Anywhere Visa® Card from Citi toward purchases. You’ll automatically receive your cash back in the form of a statement credit that you can apply to any future purchases. We think that’s a pretty great deal especially if you are starting a family, trying to save money, and enjoy the benefits that a warehouse store like Costco offers.

Do you have a credit card story that you would like to share? We welcome your comments and input.

Costco Anywhere Visa® Card by Citi

  • Exclusively for Costco Members: Go Big with Cash Back Rewards
  • 0% Intro APR on purchases for 7 months, after that a variable APR will apply – currently 15.49%
  • 4% cash back on eligible gas for the first $7,000 per year and then 1% thereafter
  • 3% cash back on restaurants and eligible travel purchases
  • 2% cash back on all other purchases from Costco and Costco.com
  • 1% cash back on all other purchases
  • No annual fee with your Costco membership

Bonus
N/A

Intro APR
0% on purchases for 7 months

Ongoing APR
15.49% variable

Annual Fee
$0 with Costco Membership

Share This

Leave a Reply

*Advertiser Disclosure: The credit card offers that appear on the website are from credit card companies some from which pointsavvy.com receives compensation. Any compensation may impact how and where products appear on this site (including, for example, the order in which they appear). This site does not include all credit card companies or all available credit card offers.

Editorial Note: Opinions expressed here are author's alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.