Costco to ditch AmEx cards at U.S. stores next year

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Costco to ditch AmEx cards at U.S. stores next year

Warehouse club retailer Costco Wholesale Corp will stop accepting American Express Co's credit cards at U.S. stores from next year, threatening nearly 8 percent of the card company's worldwide billed business. AmEx, which had worldwide billed business of about $1 trillion in 2014, said the loss of…

Reuters

20 mins ago

 

This is interesting because Costco doesn't take Visa Cards either unless they are debit cards. So, Costco is basically saying, "Either give us cash or give us electronic cash instantly because we aren't interested in any credit cards now at all.

 

Also, this is 8% of AMEX business in the U.S. so this will be a blow both to AMEX and to COSTCO. They said AMEX stock went down 7% when this decision was made.