Issue with Earning 5% at Costco.com with Discover

Numerous Reddit members noticed that their Costco.com purchases on the Discover IT card are no longer showing up as Wholesale Clubs and earning 5%, as per the Q2 2017 category. Since around April 20, they’ve been showing as Merchandise and not earning 5%. Other wholesale clubs like Sam’s are not effected.

Discover is apparently aware of the issue and trying to fix, but it’s worth the headsup to make sure you get credited the cash back. Personally, I’d notate on my calendar to check back in a month with the hopes that it’ll self-correct. Others had success chatting and getting an adjustment right away.

Addendum: A reader notes that homedepot.com is also coming through wrong and not automatically triggering 5% on Discover IT as part of Home Improvement.

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m2jy
m2jy (@guest_630185)
August 16, 2018 12:45

I stumbled on this thread because I had the same issue with Costco.com purchases not posting from earlier this year. Contacted Discover via chat and the response I received from the CSR was as follows:

“I do see purchases to http://www.costco.com and those are considered online purchases. The terms of the offer indicate that the purchase must be made in the warehouse club. So sorry for any confusion.”

So Discover will not count ANY purchases from Costco.com for the warehouse quarterly bonus, only in-warehouse purchases. Canceling my Discover card after my 1 year is up.

AnonGuy1
AnonGuy1 (@guest_654546)
October 9, 2018 07:49

You may want to try again. I made a purchase for the Q4 Discover category through Costco.com. I noticed that the Costco.com purchase appeared as merchandise. I messaged them explaining that I thought this purchase would fall under Wholesale Clubs and got the following response:

“I did check the Costco.com transaction that was made, Costco.com transactions are eligible for 5%. Since this transaction shows up as purchases and not whole sale clubs, it should still qualify on its own. I am going to be following up on your account to be sure this is the case. If you are not awarded the 5%, I will be making the adjustment for you! The purchase total is $XX at 5% you would earn total of $XX, I will be sure this gets taken care of for you!”

The amount i was due in cashback showed up immediately.

Alex
Alex (@guest_654698)
October 9, 2018 12:46

All my costco.com gift card purchases back in Q1 categorized as “merchandise” and earned correct bonus cash back. Just placed a new Q4 order last night.

Alex
Alex (@guest_568514)
March 10, 2018 14:48

Has anyone received 5% correctly without talking to Discover in Q1 2018?

Rick H
Rick H (@guest_573929)
March 26, 2018 08:14

I renewed my Costco membership on Costco.com using my Discover card (w/5% activated), but did not receive the 5% category bonus. It was coded as general merchandise. I waited for the statement, and can confirm that 5% was not received.

felix
felix (@guest_550760)
January 15, 2018 00:55

Looks it’s still coded as ” MISC. GENERAL MERCHANDISE” in my post of last month. Looks it’s still not fixed and we have to PM them again this quarter.

Ray
Ray (@guest_561794)
February 19, 2018 09:29

Thanks for the heads up. I am also getting it coded as general merchandise, but haven’t gotten my statement with Costco.com purchases on it yet so I can’t tell if it has 5% until March. Wish they did it like Chase where they showed you the bonus activity online. Did you get 5% despite it coding as general merchandise?

Trippy
Trippy (@guest_432968)
July 3, 2017 21:05

It coded as Merchadise but I got the 5% cashback anyway

I wonder if it means that whenever Wholesale clubs come back again Costco won’t work. That makes this card much less valuable to me, especially after 1st yr when it will be only 1% for most.

Dr. T
Dr. T (@guest_424682)
June 21, 2017 09:47

I had this problem with a Costco.com purchase at beginning of May, posted as “Merchandise” and full 5% reward amount did not appear on the early May or early June statements. I sent secure messages pointing out the problem but was told I had to wait 2 billing cycles before they would start an inquiry. So messaged again after the 2nd billing cycle (early June), the CSR said he added the remaining 5% reward amount and I would see it once the next billing statement cycles (i.e., wait until early July). No mention of the fact that this is an ongoing problem with Costco.com.

I have not bought anything at Costco.com since that problem transaction in early May, but I plan to purchase more cash cards this month before the 5% categories change. Just hope they code correctly this time…

Johnny
Johnny (@guest_421622)
June 16, 2017 01:20

Hi, do we know if this is fixed? Saw comments stating both fixed and not fixed.

jim
jim (@guest_419185)
June 12, 2017 10:01

They haven’t fixed it. the blame costco for coding differently.

Apx
Apx (@guest_418165)
June 9, 2017 19:55

I made a $1500 purchase at Costco.com in the end of April (also the end of my billing cycle), and it didn’t count towards the 5% cashback, and all I got was $15 on my May statement.
So, I called in, and they said it didn’t count because it was towards the end of my statement cycle and that it would be fixed in my June statement.

And the June statement came out, but still nothing.
So I called in today, and they said the wholesale clubs not counting towards 5% is a known issue with HQ.
As for my cashback, they could not adjust it today since the promotional period is still going on and the promotion will end on June 30.
They said they will adjust it on July 1st and it should show hopefully show up on my July statement.

anthonyjh21
anthonyjh21 (@guest_409365)
May 23, 2017 01:00

Just had a $800 purchase of Costco cash cards post today and despite it being listed as “merchandise” it’s showing $40 earned on my enrolled offers/earned page. Here’s what’s listed under the transaction if anyone is curious:

WWW COSTCO COM 800-955-2292 WA
847639943621
Merchandise

anthonyjh21
anthonyjh21 (@guest_409611)
May 23, 2017 15:48

Thanks for bringing this up though, definitely something noteworthy for those of us capitalizing on Q2 warehouse. Would really suck to buy cash cards and only earn 1 percent!

easy4u
easy4u (@guest_409339)
May 22, 2017 22:40

What are the whole sale clubs included in the 5% offer. Does it include Sams club, walmart etc?

DGS
DGS (@guest_410171)
May 24, 2017 18:15

Would Gordons (GFS) count as a warehouse club or as a grocer? Thanks.