Costco’s New Visa Card Transition not a Smooth Changeover

Costco Wholesale Corp has ended its long sixteen years relationship with American Express cards and has found a new partner in Citi GroupsVisa, but the initial transition was not really smooth sailing.

The retailer's Facebook page was flooded with hundreds of complaints from Costco customers about the new credit card and most of them said, they have faced long waiting times and have gone through troubles in activating their accounts.

Costco, which is the biggest wholesale club in the world, told its customers that the bank is working to handle the long queue of calls about the newly introduced Costco Anywhere Visa cards. Starting Monday, the old cards stopped working and the new ones were available for use. The retailer is now exclusively accepting only the Visa credit cards on any purchases at its locations.

The transition from American Express cards to the Visa Card issued by Citigroup was promised to be seamless for 11 million or more customers by the executives, but it did not look anything like that turning into a customer service debacle.

A Citigroup spokesperson said, they have logged 1.5 million or more customer service calls regarding problems which they faced with the cards. For many of the Costco customers, their credit cards are yet to arrive.