Money
Tangerine Money-Back Credit Card vs Costco Mastercard: which 2% categories to pick around Costco
The Tangerine Money-Back Credit Card pays an unlimited 2% in 2 categories you choose (3 if your cash back goes to a Tangerine savings account) and 0.5% on everything else, including Costco warehouses, where the CIBC Costco Mastercard pays 1%. Both are $0. Paired, with Tangerine on groceries and bills, our sample household earns $462 a year.
By Cost Check Editorial · Last reviewed Oct 4, 2026 · 5 min read
The Tangerine Money-Back Credit Card pays 2% in categories you choose and 0.5% everywhere else, and Costco isn't in any of its categories: a $100 warehouse run earns 50 cents on Tangerine and $1 on the CIBC Costco Mastercard. Both cards are $0. Tangerine wins where the Costco card pays only 1%: supermarket groceries and recurring bills. So the answer is to carry both and pick Tangerine's categories around what the Costco card already covers. Compare every option on our best cards for Costco page.
Calculator
What the Costco card earns on your Costco trips
Enter what you spend at Costco, at the gas bar and at restaurants: the part to keep off Tangerine’s 0.5%.
Estimate your yearly cash back
Sample dataEstimated cash back per year
$318.00
Rates are CIBC’s published rates and are editable, as is the spending. Includes CIBC’s yearly category caps (spending above a cap earns 1%); there’s no limit on total cash back. Check current terms before you apply.
How do the Tangerine Money-Back and Costco Mastercard compare?
From Tangerine's card pages and CIBC's documents, checked October 4, 2026:
| CIBC Costco Mastercard | Tangerine Money-Back Credit Card | |
|---|---|---|
| Annual fee | $0 | $0 |
| Minimum income | $15,000 household | $12,000 |
| Costco warehouse | 1% | 0.5% |
| Costco gas | 3% (first $5,000 of gas a year) | 2% if Gas is a chosen category, no cap |
| Costco.ca | 2% (first $8,000 a year) | 0.5% |
| Restaurants | 3% | 2% if chosen |
| Supermarket groceries | 1% | 2% if chosen |
| Recurring bills | 1% | 2% if chosen |
| Everything else | 1% | 0.5% |
| Rewards paid | Costco certificate, once a year | Monthly, to your card balance or a Tangerine savings account |
| Extra cards | Free | Free, up to 5 |
| Purchase interest | 21.75% | 20.95% |
| Foreign transaction fee | 2.5% | 2.5% |
Tangerine's 2% categories: Grocery, Restaurants, Gas, Recurring Bill Payments, Drug Stores, Home Improvement, Furniture, Hotel-Motel, Entertainment, Public Transportation and Parking, Fitness and Sports Clubs, E-Games and Foreign Currency Spend. You can change them every 90 days.
What does the Tangerine card earn at Costco?
In the warehouse, 0.5%. Tangerine pays 2% only when a merchant's code matches a chosen category, and Costco warehouses are coded as wholesale clubs, which isn't one of them. Tangerine says itself that it doesn't decide how merchants are categorized. Our guide to which grocery cards pay their bonus at Costco explains the codes.
At the Costco gas bar, the picture flips if you choose Gas: Tangerine counts service station codes 5541 and 5542, the codes fuel pumps typically use, and pays 2% with no cap. The CIBC card pays more (3%) until you pass its $5,000 yearly gas cap, then 1%. Big drivers can switch to Tangerine after the cap; see what to do past $5,000 of gas. Tangerine is a Mastercard, so the warehouse and gas bar both accept it.
Which 2% categories should Costco shoppers pick?
Pick categories the Costco card pays only 1% on, and leave Costco gas and restaurants to the Costco card at 3%:
- Grocery: your supermarket shopping between Costco runs. Tangerine counts grocery stores and bakeries (5411, 5462).
- Recurring Bill Payments: phone, internet, streaming and other pre-authorized bills.
- Third category (with the savings account payout): whatever you spend most on outside Costco. Drug Stores, Home Improvement and Public Transportation and Parking are the usual picks. Choose Gas only if you buy most of your gas away from Costco or past the CIBC cap.
Don't pick Restaurants as a pair: the Costco card already pays 3% there.
How much does each earn for a Costco household?
Sample data: our two-card guide's household, spending $500 a month in the warehouse, $200 on Costco gas, $250 on restaurants, $400 on supermarket groceries, $300 on recurring bills and $600 on everything else.
| Setup | Cash back a year |
|---|---|
| CIBC Costco Mastercard only | $378 |
| Tangerine only (Grocery, Recurring Bills, Restaurants) | $306 |
| Tangerine only (Grocery, Recurring Bills, Gas) | $297 |
| CIBC for Costco, gas and restaurants; Tangerine for groceries and bills | $462 |
| Same split with BMO CashBack | $474 |
On its own, Tangerine earns less than the Costco card for a Costco household, because the warehouse and everything else drop to 0.5%. Paired, it adds $84 a year. BMO CashBack edges it here because of its 3% grocery rate, but BMO's 3% stops at $500 of groceries a statement period, and Tangerine's 2% has no limit; at about $633 a month of groceries, Tangerine catches up. Compare in BMO CashBack vs the Costco card.
Is the Money-Back World Mastercard worth getting instead?
If you qualify, yes: it's also $0, earns the same 2% and 0.5%, and adds mobile device insurance (up to $1,000) and rental car collision and loss damage insurance (rentals up to 31 days, full cost on the card), plus Mastercard World benefits. It needs $50,000 personal or $80,000 household income, or $250,000 in Tangerine savings or investment accounts. Tangerine's current World offer is $120 for spending $1,500 in the first 3 months; the regular card's is 10% cash back for 2 months, up to $100.
Both Tangerine cards include purchase assurance (90 days) and extended warranty (up to 1 extra year), with a $60,000 lifetime maximum. The CIBC Costco Mastercard has purchase security, extended warranty and mobile device insurance, but no rental car coverage; see the Costco card's insurance.
Can you use the Tangerine card at a U.S. Costco?
No. U.S. Costco warehouses take Visa, and the only Mastercard they list is the CIBC Costco Mastercard. Tangerine's Foreign Currency Spend category (2% back on foreign currency purchases, against its 2.5% conversion fee) helps on U.S. trips elsewhere, not at Costco. See Tangerine's foreign currency category and what Canadians can pay with at a U.S. Costco.
Which should you get?
- Costco is your main store: the CIBC Costco Mastercard first. Tangerine's 0.5% in the warehouse is half its rate.
- You also shop at a supermarket and pay bills by card: add Tangerine with Grocery and Recurring Bill Payments. It's free, and you can change the categories every 90 days.
- Supermarket bill over about $633 a month: Tangerine beats BMO CashBack as the partner.
- You qualify for the World version: take it instead, for the same rewards plus device and rental car insurance.
- Big grocery bill and you'll pay a fee: see the CIBC Dividend Visa Infinite at 4%.
Frequently asked questions
- Does the Tangerine Money-Back card earn 2% at Costco?
- No, not in the warehouse. Costco is coded as a wholesale club, which isn't a Tangerine category, so it earns 0.5%.
- Does Tangerine's Gas category work at Costco gas?
- Usually, yes. Tangerine's Gas category uses codes 5541 and 5542, which fuel pumps typically use, and pays 2% with no cap.
- Can I use a Tangerine Mastercard at Costco?
- Yes, in Canadian warehouses and gas stations, which take any Mastercard. U.S. Costcos don't take it; they list only the CIBC Costco Mastercard.
- How many 2% categories does Tangerine give you?
- 2, or 3 if you have your cash back deposited to a Tangerine savings account. You can change them every 90 days.
- Is the Tangerine Money-Back better than the Costco Mastercard?
- No, not at Costco: 0.5% against 1% in the warehouse. At supermarkets and on recurring bills, yes: 2% against 1%.
- What income do you need for the Tangerine Money-Back World Mastercard?
- $50,000 personal or $80,000 household income, or $250,000 in Tangerine accounts. The regular Money-Back card needs $12,000.
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