Costco teams with Citi and Visa

Costco shoppers will be able to use Visa cards for the first time on April 1.

Costco (COST) says it will start accepting Visa (V) rather than American Express (AXP) at its U.S. stores on April 1. Until now, the wholesale club retailer has accepted only debit cards and Amex.

Details about the new card's benefits and terms will be made available to members soon. The Costco Amex card offered card holders 3% cash back for gas, 2% for restaurants and travel and 1% back for everything else, and there was no annual fee as long as the user was a Costco member.

The deal anticipates the purchase of the existing co-branded Costco Amex card portfolio by Citi.

Citi (C) is the world's largest issuer of consumer credit cards and has co-branded cards with other retailers, including Sears (SHLD), for which it has issued a Sears MasterCard (MA).

Related: Costco just killed my favorite credit card

CNNMoney (New York) March 2, 2015: 9:54 AM ET

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