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Costco recently raised its annual fees. So now, a basic membership costs $65 while an Executive membership paying 2% cash back on purchases costs $130.
No matter which membership tier you belong to, it's important to get your money's worth. And that means knowing what perks are available to you as a paying member. Here are a few benefits of a Costco membership you may not be aware of.
1. Savings on automobiles
Did you know that you can buy a car through Costco? Granted, you won't see vehicles sitting around as you roam the aisles of your local warehouse club store. But thanks to the Costco Auto Program, you can potentially snag a discount on your next vehicle purchase.
Costco negotiates prices for select vehicles at local dealerships so you can walk in, pick up your new car, and drive away without a hassle. You can also enjoy 15% off car parts, service, and accessories from participating centers.
2. Discounted gift cards
The holidays are coming up, which means it's time to start checking items off of your list and making sure your gift recipients are covered. Gift cards are a great way to spread some love without having to wrap bulky items. And if you buy your gift cards at Costco, you can benefit from discounts on their face value.
As just one example, $100 worth of gift cards to Domino's would normally cost you $100. But right now, you can buy four $25 Domino's gift cards through Costco for just $74.99. It's basically like you're paying for three and getting one for free. And this is just one example of many.
Remember, too, that using the right credit card to check out at Costco can result in even more savings. Check out this top tip for Costco shoppers to maximize their benefits.
3. Hassle-free returns
Did you know that Costco will take back almost any item at any time for a full refund? There are a few exceptions, such as electronics, where you only have a 90-day window to make returns. But otherwise, you can bring back the jacket you bought your toddler last year that they never wore. And you can also bring back the bags of chips you purchased for your Halloween gathering last month that never got opened.
Best of all, you don't even need a receipt to get a refund at Costco. A customer service representative can look up your purchases using your membership number and put that money back on your credit card.
4. High-performance gasoline
Costco is known for having cheap gasoline. But you may not be aware that Costco gas also carries the TOP TIER™ designation. This means it's designed to clean your engine and lead to better vehicle performance.
If you haven't been filling up gas at Costco because the long lines have scared you off, consider changing the timing of your Costco trips so you're there when there are fewer crowds. That could mean shopping and filling up when Costco first opens, or right before it closes.
Now one thing you should know about Costco fuel is that it's surprisingly not eligible for cash back on an Executive membership. But you can more than make up for that by using the right credit card to pay for your fill-ups. Click here for a list of the best credit cards for Costco shoppers and gas purchases.
These are only a few of the lesser-known perks Costco members get to enjoy. So whether you have a basic membership or are paying for the Executive membership upgrade, make sure you're getting as much value out of it as possible.
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We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Maurie Backman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.
