Why You Should Buy Gift Cards From Costco

Six reasons buying gift cards from the warehouse store is a smart choice.

Costco Wholesale Honolulu
Costco Wholesale Honolulu.

While it might seem obvious to head to Costco when you need to stock up on household essentials like paper towels and toilet paper or preparing for a large party with meats and produce, there is another item that is well worth it to buy at Costco: gift cards.

Sometimes it’s easy to miss the display within the warehouse, but Costco stocks gift cards for everything from travel to restaurants at steep discounts—think a $500 Southwest gift card for $450 or four $25 Crumbl gift cards for $79.99, plus tons of regional favorites that vary by Costco location. When it comes down to it, Costco is one of the best places to buy gift cards.

Here’s why you should consider stocking up on gift cards the next time you find yourself at a Costco warehouse:

Why Costco Is The Best Place To Buy Gift Cards

Here’s why you should consider stocking up on gift cards the next time you find yourself at a Costco warehouse:

Discounted Prices

Costco sells gift cards for less than their face value, which means you can save big money on gift cards or gift card packs. For example, you might find a $100 restaurant gift card pack sold for $80, or five $20 gift cards for $75.

"It makes it worth it to buy gift cards this way, especially if you’re gifting during the holidays and need multiple gift cards from the same place," a Costco employee tells Southern Living.

Variety

Costco offers a wide selection of gift cards for various retailers, restaurants, entertainment venues, travel, and online services, which offers shoppers plenty of options to choose from. 

Convenience

Buying gift cards in bulk at Costco can be convenient, especially during the holiday season or for special occasions. It's a quick and easy way to buy multiple gifts at once, or to always have some on-hand at home for last-minute birthdays or celebrations.

"I’m a mom to a preschooler, and we get invited to lots of birthdays," one Reddit user wrote. "Our Costco sells a 4 pack of Coldstone ice cream cards that are $25 each. Priced at $70-80 usually. I end up buying 2-3 of those a year for birthday parties and to just keep in my purse for a rainy day. Plus, it’s something that will get used and I’m not adding yet another toy to someone’s house. Win win."

Exclusive Deals

Sometimes Costco offers exclusive deals on gift cards that are not available elsewhere. This can include bonus cards or additional discounts.

One Reddit user says keeping an eye out for these deals helps save, especially when it’s a retailer or company you already frequent, like Southwest Airlines.

"I already travel on that airline a lot," the Reddit user wrote. "It's $450 for a $500 gift card, which is 10% off all flights. You still earn Southwest reward points when you use the gift card too. Sometimes it's even on sale. Last year around November it was $430 for $500."

Costco Membership Benefits

As a Costco member, you can take advantage of these deals—and all the others in the warehouse—and earn cash back if you have a Costco Executive membership. Executive members get two percent cash back on pre-tax purchases, up to $1,000 per 12-month period.

Great for Budgeting

Purchasing gift cards at a discount can help with budgeting for regular expenses, such as dining out or entertainment, by allowing you to prepay at a lower cost.

"I only buy discounted gift cards for things I use," a Reddit user shared. "This applies to Costco or otherwise. For example, I buy Nintendo gift cards on sale at Costco or Regal Cinema gift cards on sale at Amazon because they're both places I regularly go."

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