Costco Cracks Down on Membership Sharing—Here's What You Need to Know for Your Family

Don't worry—there are still ways to make the most of all your big box store memberships—without breaking a single rule.

Fact checked by Karen Cilli

It’s not just chatter or idle threats by companies—password and membership sharing are becoming a thing of the past. Gone are the days of using the Netflix login of your ex-roommate who you haven’t seen in 20 years to get your Stranger Things fix. Now Costco is implementing maybe the strictest of the “no sharing” rules to date.

We all know how much families depend on buying in bulk at big box stores. It saves money and takes longer for you to run out of things you rely on. For parents, think of diapers and wipes; snacks and fruit; and even lunchboxes and winter gear.

Without exception, when shopping at Costco from now on, you must show ID when using self-checkout. Though Costco says they’ve always asked to see membership cards at the cash registers, using self-checkout was a loophole of sorts, making it easy to “borrow” someone else’s card. With Costco’s new, unforgiving policies, those days are over. You must show a membership card plus a photo I.D., even at self-checkout registers.

TikToker @profitplug shared a rather eye-opening video, shedding light on just how serious Costco’s new rules are and the consequences faced if you do not obey. His mom was banned from their local Costco because she used his dad’s membership card (yes, that would be her husband’s card) to buy groceries in a self-checkout lane.

Profitplug’s dad has Costco’s Gold membership plan which allows two authorized members per card. Profitplug is named on the card instead of his mom because he uses their Costco membership to stock up on essentials while at college. Fair enough—but is it me or is it quite extreme that this innocent use of the card—within an immediate family—actually got Profitplug’s mom banned from her local Costco?

I understand why companies are cracking down on membership sharing. For a company like Costco, the bulk of their profit comes from their membership fees so excessive card sharing can cause them to lose money. But sharing within your immediate household? I don't think that’s where Costco needs to worry or make an example—such as in the case of Profitplug’s mom.

That is where an exception could’ve been made or some good customer service would’ve worked wonders. A simple, “Don’t let this happen again” or “Let me show you membership options for larger families” feels more appropriate to me than Profitplug’s mom getting banned from the store! And I could also understand if Profitplug’s mom had done this several times and didn’t heed the warning—but it appears this was after getting caught just one time.

Now that the membership sharing rules at Costco are crystal clear (and TBD if other big box membership stores such as BJs or Sam’s Club plan on following suit), there are other ways to make the most of your big box store memberships.

To be clear, we’re not suggesting you break any other rules but rather maximize your time—and stretch your dollar—whenever you bust out your membership card (and ID!) to shop in bulk.  Here are a few of our favorite ways to save. 

Related: 6 Money-Saving Strategies For Parents On A Budget

Use Big Box Stores for Prescriptions and More

Costco, BJs, and Sam’s Club can double as a pharmacy, offering members big discounts on prescription drugs, eyeglasses, medical devices, and even some vaccinations. At many, including Costco, you can use the store as a pharmacy and purchase prescription medicines without a membership (often at a savings compared to your local pharmacy).

Shop the In-Store Brands

You may notice big box stores do not stock every brand of every item made. Can you imagine the insane amount of inventory they would carry? They usually stock the most popular brand of an item—like Bounty paper towels—and then you’ll see the store's own brand of paper towels right by it.

But guess what? Many times the warehouse brand is made by the same company as the “name” brands. There may be some slight differences  but overall, the quality is comparable and a great way to save money when stocking up.

Shop a Season Ahead

Sure, it feels weird planning for Halloween before Labor Day or stocking up on Christmas decor before November.  But warehouse/big box stores operate on an early in/early out method. That means seasonal items, think Halloween animatronics for your lawn or Christmas stockings, appear in their stores months ahead of their competitors. It’s an easy way to stock up early, find unique items before they sell out, and not pay full price at other stores later on.

Take Advantage of Coupon Policies

Coupon policies vary from store to store but knowing the policies is a great way to save. Costco actually won’t accept manufacturer coupons but has its own coupon book that is sent out monthly. Best of all—for most, you don’t have to clip each coupon individually. The cashier will just scan one barcode and any available coupons will be applied to your purchase.

Sam’s Club’s policy is similar to Costco's with no manufacturer coupons but offers Sam’s Club Instant Savings on select products. BJ’s, however, will accept all manufacturer coupons and offer members-only coupons throughout the year.

Shop With Gift Cards

Don't have a Costco membership and don't think you can justify paying for a yearly membership? But what if there's one item you can only buy there and absolutely need? Here's a hot tip—Costco allows non-members to shop, sans a membership card, if you're using a Costco gift card.

Related: 4 Pros and Cons of Booking Disney Travel With Costco

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