CIBC Costco Mastercard Review
Oct 20, 2026 9:01 PM
The Bottom Line
The CIBC Costco Mastercard offers one of the highest cashback rates on restaurant purchases in Canada, making it an excellent choice for optimizing rewards in this specific category, especially since it has no annual fees. If you use Costco Gas or shop on Costco Online, there is a decent cashback rate as well. However, for other categories, the cashback rate is average. Notably, you will be better off using other credit cards for warehouse Costco purchases, as you will only earn 1% cashback. If you are looking for no annual fee credit cards only, this is a good card to go for.
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on CIBC's website
RECOMMENDED CREDIT SCORE
Rewards
- 3% cash back on Restaurants
- 3% cash back on Costco Gas stations and 2% cash back on non-Costco Gas up to a combined maximum of $5,000 in spending (max $150 cashback per year)
- 2% cash back on Costco.ca purchases up to $8,000 in spending (max $160 cashback per year)
- 1% on everything else
Insurance
Coverage
Mobile Device Insurance
$1,000
Purchase Protection
Up to 90 days
Extended Warranty
Up to a year
Eligibility
Credit Score
GoodAnnual Income
$15,000 personal
Welcome Bonus Details
Card Details
Interest Rates
Purchase APR
20.75%
Cash Advance APR
22.49%
Balance Transfer APR
22.49%
Fees
Annual Fee
$0
Additional Cards
$0 up to 3
Eligibility
Minimum Individual Income
$15,000
Minimum Household Income
N/A
Credit Score Estimate
Good
Type
Card Type
Credit
Reward Type
Cash BackPros & Cons
Pros
- Decent overall reward rates
- High dining optimization
- Mobile device insurance
Cons
- Limited benefits
- No Costco warehouse optimization
Our Detailed Review
If you’re a frequent Costco shopper, the CIBC Costco Mastercard could be your ideal cashback card. Also a top contender for foodies, this card has one of the highest cashback rates for restaurant purchases in Canada.
If you want to make the most of your restaurant, gas, and Costco.ca expenses, you'll need to become a Costco member to apply for this card. Otherwise, you won't be approved as a cardholder.
While the card is good for food purchases and online shopping at Costco.ca, keep in mind that it's one of the worst cards for Costco warehouse purchases, which might be a dealbreaker for some.
How You Earn Rewards With The CIBC Costco Mastercard
Here are the types of cashback rewards you can expect from the CIBC Costco Mastercard:
- 3% cashback on restaurants and CostcoGas
- 2% cashback on Costco.ca purchases (Max $160 yearly)
- 2% cashback on gas (Max $100 yearly)
- 1% on everything else
The best way to earn cashback with the CIBC Costco Mastercard is through Restaurant and CostcoGas purchases. In fact, this card offers one of the highest cashback rates for restaurant purchases in Canada, earning it a spot on our list of best dining credit cards in Canada. While other rewards rates like the cashback on Costco.ca purchases and gas are capped, you can still accumulate decent yearly rewards at no expense (since there’s no annual fee).
Redeeming Your Rewards With The CIBC Costco Mastercard
You can expect to receive your CIBC Costco Mastercard’s cashback rewards as a gift certificate redeemable at Costco warehouses. Typically, the rewards will appear on your January statement.
4 Benefits of The CIBC Costco Mastercard
To decide whether the CIBC Costco Mastercard is the best card for you, you’ll want to brush up on its benefits. Here are some of the perks you’ll receive:
The No-Cost Costco Card
Costco members love a good bargain, so these budget-conscious shoppers will be pleased to know that the CIBC Costco Mastercard comes with no annual cost. That said, you will need to purchase a Costco membership to qualify for this credit card.
Competitive Cashback in Popular Categories
We can’t help but mention it again. The CIBC Costco Mastercard is equipped with one of the highest cashback rates for restaurant purchases in Canada, but it also sports a competitive rate on CostcoGas, making it one of the top gas credit cards in Canada. The capped runner-up cashback rate categories cover purchases at Costco.ca and gas, before the standard base rate on everything else kicks in.
Additional Cardholders at No Cost
With this card, multiple family members can shop at Costco. You can request up to 3 additional cardholders, all at no additional cost.
Two Cards in One
Although you’ll need to pay for your Costco membership separately, once approved for the CIBC Costco Mastercard, this card acts as both your credit card and your Costco membership card.
Mentionable Mobile Device Insurance
At no annual fee, you can also enjoy mobile device coverage for your eligible smartphone, something unique to this card out of all the other no-fee competitors we’ll mention below.
4 Downsides of CIBC Costco Mastercard
To make the best decision on whether to apply for this card, we’ve also included the downsides of the CIBC Costco Mastercard.
Beware of The No Warehouse Cashback Earn Rate
A major complaint you might come across with the CIBC Costco Mastercard is that while you can receive bonus cashback rates on Costco.ca purchases, there’s no special earn rate at Costco warehouses for in-person shopping, which would be beneficial to members.
While it's nice that your rewards redemption gift certificate is redeemable specifically at Costco warehouses, you might want special perks for shopping in-store well before redemption. Alternatively, you might want a card with a higher cashback rate in categories that would cover in-person shopping at stores like Costco. We'll cover some cards that might be a better fit later on in this post.
Restricted Annual Redemptions
As we previously mentioned, the cards' cashback earnings are redeemed once a year and are converted into a gift certificate. This means that you’ll have to wait patiently for your earnings and can only redeem them at a Costco Warehouse. For eager earners or those who want more redemption flexibility, this might be less than ideal.
Exclusive Access For a Fee
Note that while the card itself costs nothing, the required Costco membership to apply for the card does have an annual fee, which can run anywhere between $65 to $130 per year.
Limited Insurance
Although you can’t always expect extensive coverage with a no-annual fee credit card, it may come as a slight disappointment that the CIBC Costco Mastercard doesn’t come with much insurance. The three types of insurance that come with this card are mobile device insurance, purchase protection, and extended warranty coverage.
Comparison to Other Credit Cards and Their Rewards Rates For Warehouse Purchases
The next best way to conclude whether the CIBC Costco Mastercard is for you, is to compare it against similar cards. Here’s how the CIBC Costco Mastercard stacks up against other credit cards, some with better rewards rates for warehouse purchases (something the CIBC Costco Mastercard lacks).
Rogers Bank
4.5
Simplii Financial™
4.3
Annual Fee
$0
$0
$0
Interest Rates
Purchase
20.75%
Cash advance
22.49%
Balance transfer
22.49%
Purchase
21.99% - 25.99%*
Cash advance
22.99% - 27.99%*
Balance transfer
22.99% - 27.99%*
Rate details
Purchase
20.99%*
Cash advance
22.99%*
Balance transfer
22.99%*
Rate details
Welcome Bonus
—
Welcome Bonus varies
20% cashback† up to $500 in spending
Rewards
1% - 3%
1.5% - 3%
0.5% - 4%
on Rogers Bank's website
on Simplii Financial™'s website
Welcome Bonus Details
Earn Rates
Insurance Coverage
Extra Benefits
Requirements
Rogers Red World Elite Mastercard
It might be a little bit trickier to apply for the Rogers Red World Elite Mastercard since it requires a higher annual income. But, if you’re not interested in a Costco membership, the Rogers Red World Elite Mastercard is a great alternative.
Both cards come with no annual fee, but each have affiliations with other programs (Costco for the CIBC Costco Mastercard, and Rogers, Fido, Comwave or Shaw services for the Rogers Red World Elite Mastercard). The difference is the Rogers Red World Elite Mastercard doesn’t make it mandatory for you to be a Rogers, Fido, Comwave or Shaw customer to be a cardholder, but you will earn higher rewards if you are. These rewards are earned on regular purchases, so if you regularly shop at a Costco warehouse, you're contributing to this cashback reward. Even if you aren't a Rogers, Fido, Comwave or Shaw customer, the base rate on this card for all other purchases is still slightly higher than the CIBC Costco Mastercard. Just note that this contender has an annual spending cap. Once that cap is reached, your earnings decrease.
That said, another key advantage the Rogers Red World Elite Mastercard has over the CIBC Costco Mastercard is its comprehensive coverage. Unlike the CIBC Costco Mastercard, travelers will enjoy extra car rental damage and theft, emergency out of province medical, emergency medical over 65, and trip interruption and cancellation insurance (which is rare for a no-fee card). In terms of benefits, the Rogers card also comes with an airport lounge Dragon Pass and no cost roaming.
Simplii Financial Cash Back Visa Card
Unlike the CIBC Costco Mastercard, it’s recommended you have “very good” credit to apply for the Simplii Financial Cash Back Visa Card, but the good news is you’ll get a nice welcome bonus (something the CIBC Costco Mastercard doesn’t offer).
Regarding rewards rates, if you thought the CIBC Costco Mastercard’s restaurant cashback earnings were impressive, you’ll be pleased to know that the Simplii Financial Cash Back Visa Card offers a slightly higher earn rate in this category (making it the highest cashback rate on restaurant purchases in Canada). However, other earn categories are of lower earn value – so this will be the most intriguing to those who like to dine out.
For coverage, the two cards offer the same insurance on extended warranty and purchase protection, but the CIBC Costco Mastercard includes mobile device insurance.
In the first year, you’ll find that the Simplii Financial Cash Back Visa Card has more annual value, but in the years that follow, the CIBC Costco Mastercard takes the lead.
Keep in mind though that as a Visa credit card, the Simplii Financial Cash Back Visa Card cannot be used for Costco warehouse purchases in Canada. You can, however, use it to buy products online at Costco.ca..
Final Verdict
If you're looking to link your Costco membership to a credit card, earn one of the highest cashback rates for restaurant purchases in Canada, and earn decent rewards in other categories overall, then the CIBC Costco Mastercard could be your top contender. That said, if you're looking to maximize Costco warehouse purchases, this card can't help you there.
However, if you’re a more frequent traveler with “very good” credit, a higher annual income, and are a Rogers, Fido, Comwave or Shaw customer, you might want to take advantage of the high rates and benefits from the Rogers Red World Elite Mastercard (compatible with in-store shopping at Costco).
If you were intrigued by the restaurant reward opportunities offered by the CIBC Costco Mastercard, you might want the best of the best from a no-fee card and opt for the Simplii Financial Cash Back Visa Card.
Frequently Asked Questions
It’s recommended that you have a good credit score (typically a score of around 660), to apply for the CIBC Costco Mastercard.
If you’re an avid Costco shopper, meet the required annual income, have a good credit score, and want to reap the benefits of some of the best cashback rates for restaurant purchases in Canada, plus free mobile insurance, then this could be the no-fee cashback credit card for you.
Alongside a recommended “good” credit score, you’ll also need to meet the required personal income requirement, and you’ll need to have a Costco membership (which comes with a cost). If you meet this criterion, you’ll be more likely to have a successful application.
No. The CIBC Costco Mastercard only includes three insurance coverages: mobile device insurance, purchase protection, and extended warranty. It doesn’t include car rental insurance, so if you’re renting a car, consider a card that includes car rental damage and theft coverage, such as the Rogers Red World Elite Mastercard.
No. The card doesn’t include travel insurance such as emergency medical or trip cancellation and interruption coverage, and it doesn’t come with airport lounge access. Its coverage is limited to mobile device insurance, purchase protection and extended warranty. By comparison, the Rogers Red World Elite Mastercard includes trip interruption and cancellation insurance and an airport lounge Dragon Pass.
No. The CIBC Costco Mastercard has a $0 annual fee, and you can add up to 3 additional cardholders at no cost. However, you need a paid Costco membership to be approved for the card.
You apply for the through CIBC Costco Mastercard CIBC, the card’s issuer, and you’ll need a Costco membership to be approved. You’ll also want a good credit score (typically around 660) and a minimum personal income of $15,000. You can kickstart the process by hitting the 'apply now' button above.
The CIBC Costco Mastercard includes three coverages: mobile device insurance, purchase protection, and extended warranty.
About the author
Sara Skodak
Lead Writer
Since graduating from the University of Western Ontario, Sara has built a diverse writing portfolio, covering topics in the travel, business, and wellness sectors. As a self-started freelance content ...
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