Costco locations in Canada drop American Express eff Jan 1, 2015
Sep 18, 2014, 8:10 am
#1
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Location: Ontario, CAN
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Costco locations in Canada drop American Express eff Jan 1, 2015
Still accepted at Costco locations in USA.
<sigh> What's new ... Amex USA seems barely related to Amex Canada.
Costco Wholesale Corp said it will stop accepting American Express Co cards in Canada from next year as it will not be renewing its credit card relationship, which expires on Dec. 31
"Costco warehouses and gas stations in the United States will continue to accept American Express Cards after Jan. 1, 2015, with the exception of TrueEarnings and American Express Platinum Cash Rebate cards issued in Canada," Costco said in an email to customers
https://ca.finance.yahoo.com/news/co...6--sector.html
<sigh> What's new ... Amex USA seems barely related to Amex Canada.
Costco Wholesale Corp said it will stop accepting American Express Co cards in Canada from next year as it will not be renewing its credit card relationship, which expires on Dec. 31
"Costco warehouses and gas stations in the United States will continue to accept American Express Cards after Jan. 1, 2015, with the exception of TrueEarnings and American Express Platinum Cash Rebate cards issued in Canada," Costco said in an email to customers
https://ca.finance.yahoo.com/news/co...6--sector.html
Sep 18, 2014, 8:47 am
#2
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These early announcements are often part of the negotiating process. See, for example:
http://www.flyertalk.com/forum/ameri...ting-amex.html
...but it may well be that the number of Canadian households with an American Express card is insufficient to support an exclusive agreement at Costco.
http://www.flyertalk.com/forum/ameri...ting-amex.html
...but it may well be that the number of Canadian households with an American Express card is insufficient to support an exclusive agreement at Costco.
Sep 18, 2014, 12:48 pm
#4
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Join Date: Jul 2005
Location: Ontario, CAN
Posts: 5,813
Cap One Mastercard inks deal w/ Costco Canada
Capital One Financial Corp. will replace American Express Co. as the issuer for Costco Wholesale Corp.’s credit cards in Canada, according to a person familiar with the deal.
The transactions will be processed by MasterCard Inc., said the person, who requested anonymity because the deal hasn’t been announced. Costco notified customers yesterday that it will stop accepting all AmEx card in Canada on Jan. 1 after negotiations between the two companies to renew the contract fell through.
The transactions will be processed by MasterCard Inc., said the person, who requested anonymity because the deal hasn’t been announced. Costco notified customers yesterday that it will stop accepting all AmEx card in Canada on Jan. 1 after negotiations between the two companies to renew the contract fell through.
Sep 18, 2014, 2:11 pm
#5
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AMEX created this shiny target with an exclusive agreement at Costco ... they need to defend it or lose it
I assume Costco has them at a very low margin on the transactions, and the real value in the relationship, from the credit card side, is in getting upper income customers to sign up for the credit card
I assume Costco has them at a very low margin on the transactions, and the real value in the relationship, from the credit card side, is in getting upper income customers to sign up for the credit card
Sep 18, 2014, 2:39 pm
#6
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These early announcements are often part of the negotiating process. See, for example:
http://www.flyertalk.com/forum/ameri...ting-amex.html
...but it may well be that the number of Canadian households with an American Express card is insufficient to support an exclusive agreement at Costco.
http://www.flyertalk.com/forum/ameri...ting-amex.html
...but it may well be that the number of Canadian households with an American Express card is insufficient to support an exclusive agreement at Costco.
You can see this but the fact that they will not even accept Amex after this date, instead of just losing exclusivity. Someone screwed up at Amex, or they do not care for the Costco business in Canada anymore.
Sep 18, 2014, 3:41 pm
#7
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Join Date: Jun 2014
Posts: 45
These early announcements are often part of the negotiating process. See, for example:
http://www.flyertalk.com/forum/ameri...ting-amex.html
...but it may well be that the number of Canadian households with an American Express card is insufficient to support an exclusive agreement at Costco.
http://www.flyertalk.com/forum/ameri...ting-amex.html
...but it may well be that the number of Canadian households with an American Express card is insufficient to support an exclusive agreement at Costco.
New replacement card for AE holders is the new SimplyCash card. But after Dec 31, AE would not be accepted as payment in store.
Sep 18, 2014, 3:48 pm
#8
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Sep 18, 2014, 3:52 pm
#9
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Do you know when this mailing is expected to arrive? My other half has a Costco AMEX and we have not received a letter as of yet.
Sep 18, 2014, 4:05 pm
#10
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Sep 19, 2014, 12:56 pm
#12
Join Date: Sep 2007
Posts: 415
It looks like it is a done deal with CapitalOne set to release a CostCo-branded Mastercard and Mastercard entering into an exclusivity agreement with CostCo Canada:
http://www.ctvnews.ca/business/costc...ards-1.2013249
This is no small loss for American Express in Canada, no matter how they try to spin it.
Things must've been extremely bitter if it resulted in this:
"Costco Canada spokesman Ron Damiani said the retailer's U.S. stores have a different contract with American Express and will generally continue to accept its cards, but not the co-branded Costco Amex cards issued in Canada."
Which is basically saying, "We'll accept every Amex card on the planet, but not those ones because f--k those guys."
http://www.ctvnews.ca/business/costc...ards-1.2013249
This is no small loss for American Express in Canada, no matter how they try to spin it.
Things must've been extremely bitter if it resulted in this:
"Costco Canada spokesman Ron Damiani said the retailer's U.S. stores have a different contract with American Express and will generally continue to accept its cards, but not the co-branded Costco Amex cards issued in Canada."
Which is basically saying, "We'll accept every Amex card on the planet, but not those ones because f--k those guys."
Sep 19, 2014, 1:01 pm
#13
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I believe this is because those cards will not exist. An earlier post mentioned that they will be converted to SimplyCash.
Sep 19, 2014, 8:53 pm
#14
Join Date: Jan 2011
Location: Vancouver
Programs: Amex Cent, Aeroplan
Posts: 81
Costco needs to get into the 20th century (at least) and accept all major credit cards. I'm not ending my affiliation with Amex and I'm certainly not getting a MasterCard. Costco will be the one to lose out on our several thousand dollars of business each year.