From Buying to Renting—What Auto Experts Say About Costco Car Services
From tires and gas to renting and buying cars, learn if these auto services are worthwhile
Costco quickly became popular with customers after it opened its first location in 1983. Now, it seems like more people than ever are looking to shop at this membership-only warehouse chain. One of the main draws is the significant discounts that members receive on its inventory, but it goes just beyond groceries. Costco has several deals on vehicle-related services too that seem quite appealing! But are they worth a Costco membership? Below, auto experts share their thoughts on what Costco has to offer car owners, from tires to buying cars!
Costco gas
When you’re shopping at a Costco location, the warehouse chain’s gas stations make it easy to fuel up your car. According to the company’s website, you can buy regular gasoline (usually 87 octane), premium gasoline (91 octane) and diesel at select locations.
Besides the perk of lower prices, Costco also promises a speedy experience thanks to one-way traffic. This may sound like a hassle, but the stations have extra-long hoses so you can reach your gas tank regardless of which side it’s on.
One caveat for using the station: Though you don’t need to be a Costco member, you at least need a Costco Shop Card at the pumps—and only members can purchase these gift cards.
What the experts say: “It is okay,” says Chris Pyle, an auto expert on JustAnswer (the expert on-demand platform). “It all comes from the same place anyway, then it gets some special additives added to it before arriving at the gas station. Plus, Costco members get a few cents off.”
Costco tires
It’s no secret that tires aren’t cheap, but Costco promises that other tire shops can’t beat its prices. How the process works: You search online for the tires you need by entering your license plate, vehicle or tire size information. Once you choose tires, you schedule your installation at a Costco Tire Center. The tires are then delivered to that center (free of charge!) and you’ll get them installed on the day of your appointment.
The process includes rotation, balancing and nitrogen tire inflation, as well as a warranty for mileage and hazards for the tires themselves.
What the experts say: “Costco tires are just as good as anywhere else, as they are well-known tire brands,” comments Pyle. “Costco buys in quantity, so they get discounts which they pass along to you as a member.”
Costco repair services
Like new tires, the appeal of getting routine maintenance done on your vehicle at Costco is it will cost less than other garages. The Costco Auto Program offers a 15% discount on service, parts and accessories. This means up to $500 per visit!
The program applies to any car used in a Costco member’s household, and can be used for services involving wheel alignment, brakes and more.
What the experts say: “You will likely not find highly trained techs there, but they have done the minor things hundreds of times over and over and can do them well,” says Pyle. “Their tool availability and skills will be at the lower end of the spectrum. So they will not be able to tackle failures with brakes, suspension, steering, engine, transmission, electrical, and driveline.”
Costco auto parts
Need a new battery, filter, wipers or oil for your car? It may be worth shopping at the warehouse chain, as it can save you money on these normally expensive parts. Since the company gets bulk discounts on the items, that means a lower cost for you.
What the experts say: “It may not be OEM (Original Equipment Manufacturer) parts, but rarely is it the cheapest aftermarket stuff,” comments Pyle. Midline parts and fluids will still meet OEM standards.
Costco car buying service
The next time you’re looking for a new or used vehicle, consider doing your shopping through Costco. The company says it has removed the negotiation process and instead focuses on three key elements.
- Prearranged pricing. This means members get savings right off the bat, as well as some manufacturer incentives.
- Member Support. Advocates are there if you have questions and can make you feel comfortable and confident in your purchase.
- Approved dealers. Dealers are trained before they work with Costco members nationwide to help facilitate their car-buying experience.
What the experts say: “One of the best parts of buying through Costco Auto is you don’t need to haggle over price—the prices are already negotiated for you,” says Lauren Fix, sector analyst and industry expert for The Car Coach & Car Smarts Brands. “If you go through all the steps of buying a car through Costco Auto and find you’re not happy with the deal, you can always walk away.”
But as Fix points out, you can also work with the Costco call center and talk to a representative over the phone if you feel uncomfortable completing the process online. “Then, you’ll receive the dealer’s contact information so you can set up an appointment,” she adds.
Costco car rentals
As part of Costco Travel, members (who are at least 25 years old) have the ability to rent vehicles. Once you enter your pick-up and drop-off location, the date and the time, you’ll be able to see what’s available for rent.
The website states that the company’s low price finder “will automatically calculate the best applicable coupon combinable with the Costco member discount, based on the length of rental, car type, location, reservation and travel dates.”
The additional driver fee is also waived for Almon, Enterprise, Avis and Budget for rentals in the U.S. and some international countries.
What the experts say: “Costco does offer lower prices on rental services,” says Fix. “It is important to shop around for the best prices.”
Pyle adds that generally this is a good deal. “You get a little discount with your membership,” he says. “The experience and process is the same being done from Costco or at a rental agency, the overall bill though is a little less, maybe 5-10% less.”
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