3 Reasons to Cancel Your Costco Membership in July 2024


As someone who shops at Costco weekly, I can’t imagine giving up my membership. Doing so could easily cost me hundreds of dollars a year in lost savings on groceries and household essentials like cleaning products and paper goods.

But you may be in a much different boat. And if these situations apply to you, then it may be time to part ways with Costco this July.

1. You’ve given up your car to save money

AAA reports that it now costs $12,182 a year to own a new car. That’s more than $1,000 a month.

If you’ve recently decided to give up your car and get by using public transportation, you may be saving a lot of money as a result. But not having a car could make Costco shopping very difficult.

Our Picks for the Best High-Yield Savings Accounts of 2024

APY

4.25%



Rate info

Circle with letter I in it.


See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of April 11, 2024. Rates are subject to change at any time before or after account opening.


Min. to earn

$0

APY

4.25%



Rate info

Circle with letter I in it.


4.25% annual percentage yield as of July 3, 2024


Min. to earn

$1

Min. to earn

$0.01

Sure, you could always ask to borrow a car from a friend, or use a ride-hailing app. But are you going to do that often enough to make a Costco membership worth keeping?

Remember, shopping on Costco.com doesn’t offer quite the same value as going to an actual Costco store. Costco builds the cost of shipping and handling into its online prices so you’re generally paying more compared to buying the same item in a store. So if your plan is to turn to Costco.com after giving up your car and use Costco that way, you may want to rethink it.

2. You constantly overspend at Costco

Costco’s inventory extends well beyond bulk groceries and household essentials. You can buy everything from clothing to electronics to toys at Costco.

That’s a good thing in theory, since it’s convenient to have a nice selection of reasonably priced products all under the same roof. But that setup could also lead to a world of overspending on your part.

In fact, if you can admit that you pretty much always buy extra items when you do your Costco shopping, then it may be time to cancel your membership. The savings you get on your groceries may be wiped out completely by the extra purchases you make. In fact, if you only save $15 a week on food but typically spend $30 on unplanned buys, you’re making your financial situation worse.

The savings I get at Costco is enough to push me to endure the crowded parking lot, packing aisles, and always-long checkout lines. But if you’ve come to really hate shopping at Costco, then it may be time to cancel if your savings aren’t as substantial as mine.

Of course, the magic savings number that makes an unpleasant shopping experience worth it is up to you. But if you’re only saving about $15 to $20 per month, your well-being may be worth prioritizing. To put it another way, unless you’re really saving a large amount of money like I am, it may not be worth putting yourself through the torture of a weekly Costco run you dread.

A Costco membership has the potential to offer a lot of value. But if these scenarios apply to you, it may be time to stop paying for one.

Alert: our top-rated cash back card now has 0% intro APR until 2025

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a lengthy 0% intro APR period, a cash back rate of up to 5%, and all somehow for no annual fee! Click here to read our full review for free and apply in just 2 minutes.



Source link

About The Author

Scroll to Top