While you may be able to eliminate or limit certain trips, most Americans, outside of those living in large cities with public transportation, need to fill up their gas tanks.
Even as a driver of an electric car with a small backup gas tank, I’m still looking at the prices at the pump. On long trips, especially when charging options are limited, gas stops are inevitable, making fuel rewards more meaningful for a wider range of drivers.
According to Edmunds data, only about 8% of Americans drive a fully electric vehicle.
A June 2025 WalletHub survey found that Americans are concerned about gas prices.
Tariffs put brakes on driving: 48% of Americans say tariffs on everyday goods would prevent them from driving more.
Peniles after pump: 69% of Americans feel gas prices are too high.
Gas inflation hits harder: About 1 in 5 say higher gas prices are worse than food inflation.
High Demand for Gas Rewards: More than 4 in 5 Americans prefer to earn rewards on gas over other travel purchases.
Demand for gas-only cards: About 1 in 3 Americans have a credit card just for gas.
Recipe for disaster: 64% of people say the combination of $4 gas, high inflation, and tariffs will destroy their finances.
Costco, along with its credit card partner Citi, wants to help ease that pain.
The average price per gallon of regular gas fell to $2.84 on Jan. 15, according to data from AAA.
“The national average for a gallon of regular gas rose two cents to $2.84 from last week. Drivers are still paying less than last year when the national average was $3.08. Pump prices are typically lower in January due to demand for gas and cheaper winter blend gasoline,” AAA shared.
On January 19, the price fell slightly to $2.82.
“Gasoline demand rose to 8.30 million b/d from 8.17 million b/d last week (week of Jan. 15). Total domestic gasoline supplies rose to 251 million barrels from 242 million barrels. Gasoline production increased last week, averaging 9.0 million barrels per day, according to new data from the Energy Information Administration (EIA).
Jan. 15 National average: $2.84
A week ago: $2.81
A month ago: $2.90
A year ago: $3.08
of the nation top10 Most Expensive Gasoline Markets Hawaii ($4.40), California ($4.21), Washington ($3.79), Alaska ($3.47), Nevada ($3.35), Oregon ($3.33), Washington, DC ($3.10), Pennsylvania ($3.01), Michigan ($2.9), Just ($2.9).
of the nation Top 10 Least Expensive Petrol Markets Oklahoma ($2.32), Texas ($2.42), Kansas ($2.42), Mississippi ($2.43), Louisiana ($2.43), Arkansas ($2.45), Missouri ($2.46), Wyoming ($2.49), Alabama ($2.50), and Illinois ($2.50).
Source: AAA
Related: History of Costco: Company Timeline and Facts
Costco has increased its cash back on gas from its own gas stations from 4% to 5% for people who pay with a Costco Anywhere credit card from Citi. The warehouse chain’s gas stations only accept credit and debit cards.
You cannot pay with cash.
Costco CFO Gary Millerchip sees the change as a way to make memberships even more valuable.
And then we’re committed to continuing to improve the value of membership. We’ve made some big changes recently with extended open hours, Instacart benefits, and 5% gas on credit cards, but we’ll continue to look for ways to add even more membership value,” he said on Costco’s first-quarter earnings call.
Gas sales have been a driver for the chain, according to CEO Ron Vakris.
“We had a record year for gas volume, which also benefited from longer gas station hours, new gas stations, and the expansion of existing gas stations,” he said on the fourth quarter earnings call.
5% cash back on gas at Costco stations ($7K/year then up to 1%)
4% cash back Elsewhere on eligible gas and EV charging (up to the same cap)
3% cash back On meals and qualified travel
2% cash back On Costco and Costco.com purchases
1% cash back On all other purchases
No annual fee (Paid Costco membership required)
No foreign transaction fees and other travel/purchase protections
Source: City
RELATED: 25-year-old BBQ chain closes 80 restaurants due to bankruptcy
This story was originally published by TheStreet on January 20, 2026, where it first appeared in the Retail section. Add TheStreet as a preferred source by clicking here.
A federal judge cast doubt on President Donald Trump's reasoning for trying to move his…
President Trump's plan for a more accommodative Fed could backfire so spectacularly that Jerome Powell…
Much of the growth in artificial intelligence (AI) has been driven by software and chatbots,…
Work friendships can be comforting — until they make you question everything. Like when someone…
High yielding dividend stocks often have high risk profiles. with about 8% yield, MPLX (NYSE:…
Until recently, the narrative around AI was that the $600 billion in annual corporate capital…