If you have the Costco Anywhere Visa® Card by Citi in your wallet, you’re about to lose an important cardholder benefit.
Team Clark has confirmed with a Citi representative that the card’s extended warranty benefit will be going away in January.
Let’s look at what you need to know to prepare for this change in cardholder benefits.
Costco Anywhere Visa® Card by Citi Removes Extended Warranty Benefit
The Costco Anywhere Visa® Card by Citi will retire its extended warranty benefit effective January 22, 2023.
Cardholders will still be able to take advantage of this coverage on qualifying purchases before that date.
And if you have already made a qualified purchase with the card, the coverage extension you received at that time will remain in place.
A Citi representative issued the following statement to Team Clark regarding this upcoming change:
“Costco Anywhere Visa Card by Citi and Costco Anywhere Visa Business Card by Citi cardmembers will no longer have access to the Extended Warranty benefit as of January 22nd, 2023. Coverage for purchases made before that date will continue to receive access to Extended Warranty, and cardmembers may continue to file claims in accordance with their current benefit terms. Costco cardmembers will also continue to receive benefits such as Worldwide Car Rental Insurance, Roadside Assistance, and Damage and Theft Purchase Protection. From time to time, benefits with low utilization are retired to open up opportunities to provide more relevant benefits that meet the evolving needs of our cardmembers.”
What Does the Extended Warranty Benefit Provide Cardholders?
This extended warranty is good for an additional 24 months of warranty coverage if you make a qualifying purchase with your Costco Anywhere Visa® Card by Citi.
A qualified item must have a manufacturer’s warranty in order to receive this extension. The maximum combined warranty coverage is set at seven years.
An example of how this works: You bought an item with a three-year manufacturer’s warranty. By using your Citi Costco credit card, you’d be eligible for a 24-month extension of that warranty. That’d boost your total coverage to five years.
You can read more about what items do and don’t qualify for this warranty extension, as well as all of the fine print policies here.
Final Thoughts: Will There Be a New Benefit To Take Its Place?
That really is the big question looming after this announcement. So far, we don’t have any indication that a replacement benefit is on the way.
It is worth noting that the Citi representative we contacted specifically called out retiring one benefit as an opportunity to introduce a different benefit. From the statement above:
“From time to time, benefits with low utilization are retired to open up opportunities to provide more relevant benefits that meet the evolving needs of our cardmembers.”
Perhaps that’s a hint of things to come.
Bottom Line: In spite of Citi’s decision to retire the extended warranty benefit, Team Clark still recommends this credit card for Costco customers who are looking for a no annual fee card to help save money on gas purchases.
As a noted Costco fanatic, money expert Clark Howard still carries this card in his wallet because of the 4% back on gas and EV charging as well as the 2% back on purchases at Costco.
Does this change upset you? Will it change the way you use your Costco credit card? What benefit would you like to see take its place? We’d love to hear your thoughts in the Clark.com community.