Money
CIBC Costco Mastercard benefits: every perk, and how it compares with other no-fee cards
The CIBC Costco Mastercard's benefits: 3% at Costco gas and restaurants, no cap on cash back, mobile device insurance up to $1,000, purchase security, extended warranty, low-rate Costco installment plans and a card that doubles as your membership card, all for $0. Compared with the BMO CashBack and Tangerine Money-Back Mastercards.
By Cost Check Editorial · Last reviewed Oct 4, 2026 · 4 min read
The CIBC Costco Mastercard benefits go beyond cash back: for a $0 annual fee you get 3% at Costco gas and restaurants, mobile device insurance up to $1,000, purchase security and extended warranty, low-rate installment plans on Costco purchases, and a card that works as your membership card. The trade-off is that cash back comes once a year as a Costco certificate. Against two popular no-fee Mastercards it wins on Costco gas and insurance and loses on flexibility; see the full field on our best cards for Costco page.
What are the CIBC Costco Mastercard benefits?
From CIBC's card page, rates summary and insurance certificate, checked October 4, 2026:
| Benefit | What you get |
|---|---|
| Annual fee | $0, plus $0 for up to 3 additional cards |
| Cash back | 3% restaurants and Costco gas, 2% Costco.ca, other gas and EV charging, 1% everything else; gas rates on the first $5,000 a year, Costco.ca on the first $8,000, no limit on the total |
| Mobile device insurance | Up to $1,000 per claim for loss, theft or accidental damage |
| Purchase security | Loss, theft or damage for 90 days after purchase |
| Extended warranty | Doubles the manufacturer's warranty, up to 1 extra year |
| CIBC Pace It | 5.99% (6 months), 6.99% (12 months) or 7.99% (24 months) on eligible Costco purchases, no installment fee |
| Membership card | Your membership details are on the back of the card |
| Sending money abroad | To over 120 countries with a $0 transfer fee, per CIBC |
The card also won Rewards Canada's Top Retail Loyalty Rewards Credit Card award for 2024 and 2025, as CIBC notes on its page.
How does the cash back benefit work?
It's paid once a year as a Costco gift certificate with your January statement, for use in Canadian warehouses. CIBC says certificates don't expire and there's no limit on the total you earn (though the gas rates stop at $5,000 a year and Costco.ca at $8,000), but you forfeit the year's cash back if the account is closed or not in good standing on December 31. Our gift certificate guide covers the rules, and the cash back calculator shows typical members earn about 1.4% to 1.7% of their spending.
What insurance comes with the card?
Three coverages, under one certificate shared with the World version. Mobile device insurance covers a phone or tablet bought on the card (or financed through your carrier with the card) for up to 2 years, up to $1,000 per claim after depreciation and a 10% deductible. Purchase security covers most new items against loss, theft or damage for 90 days, and extended warranty doubles the manufacturer's warranty by up to 1 year. There's no travel insurance; see what the card covers when you travel.
How do the benefits compare with other no-fee Mastercards?
It has to be a Mastercard to use in Canadian warehouses. Two no-fee alternatives, from each issuer's page on October 4, 2026:
| CIBC Costco Mastercard | BMO CashBack Mastercard | Tangerine Money-Back Mastercard | |
|---|---|---|---|
| Annual fee | $0 | $0 | $0 |
| Costco warehouse purchases | 1% | Typically 0.5% | Typically 0.5% |
| Costco gas | 3% | 0.5% | 2% if Gas is a chosen category |
| Groceries at supermarkets | 1% | 3% (up to $500 a statement period) | 2% if Grocery is a chosen category |
| How cash back is paid | Costco certificate, once a year | Redeem any time | Automatically, every month |
| Purchase protection and extended warranty | Yes | Yes | Yes |
| Mobile device insurance | Up to $1,000 | Not listed | Not listed |
| Purchase interest rate | 21.75% | See BMO | 20.95% |
"Typically" because Costco warehouses are usually coded as wholesale clubs, not grocery stores, so grocery bonuses rarely apply there; our guide on whether Costco counts as grocery explains why.
Which benefits matter most for Costco shoppers?
- Costco gas: 3% is the card's strongest benefit. If you fill up at Costco, it beats both alternatives there.
- Warehouse spending: 1% is low, but it's double what grocery cards typically pay at Costco.
- Phone insurance: worth real money if you buy phones outright or finance them through your carrier on the card.
- Big purchases: Pace It at 5.99% to 7.99% is far cheaper than the card's 21.75% if you need time to pay off a TV or appliance.
Who should pick a different card?
If you rarely buy Costco gas and want cash you can spend anywhere, a card that pays monthly may suit you better; many people pair one with the Costco card. If you carry a balance, look at the interest rate guide first. And if your income is $50,000 personal or $80,000 household, the World version has the same benefits plus Mastercard's World perks.
Frequently asked questions
- What are the main benefits of the CIBC Costco Mastercard?
- 3% cash back at restaurants and Costco gas (gas on the first $5,000 a year), no limit on total cash back, mobile device insurance up to $1,000, purchase security, extended warranty and a $0 annual fee.
- Does the CIBC Costco Mastercard have phone insurance?
- Yes. Mobile device insurance covers loss, theft or accidental damage up to $1,000 per claim, after depreciation and a 10% deductible.
- Does the CIBC Costco Mastercard have travel insurance?
- No. Its 3 coverages are mobile device insurance, purchase security and extended warranty.
- Can the CIBC Costco Mastercard be used as a membership card?
- Yes. CIBC says your membership details are on the back, so it can double as your Costco membership card.
- Is the CIBC Costco Mastercard better than the BMO CashBack Mastercard?
- For Costco gas, yes: 3% against 0.5%. For supermarket groceries, BMO pays 3% on up to $500 a statement period.
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