Anyone who regularly flies Southwest Airlines knows that stretching your travel budget often comes down to finding discounts on gift cards. For the past couple of years, Costco was the go‑to place for exactly that — offering Southwest gift cards at 5% off face value. But that partnership quietly ended on January 1, 2025, leaving many travelers wondering where to turn.

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Typical discount: 5% ·
Program ended: January 1, 2025 ·
Expiration policy: Never expires ·
Minimum purchase: $25 ·
Maximum purchase: $500 ·
Balance check: Southwest.com/gift-card

Quick snapshot

1Current availability
2Pricing & discounts
3Expiration
4Where to buy now
  • Southwest Airlines website – face value (Southwest Airlines Help Center)
  • Other retailers (Walmart, Target) – rarely discounted (FlyerTalk Forum)
  • Consider other airline gift cards at Costco (Delta, American) (Costco Travel Gift Cards)

At a glance, the numbers tell a clear story: a 5% saving that is now gone, while the cards themselves remain as flexible as ever. The table below captures the essential facts.

Attribute Value
Former discount 5% off face value (Frequent Miler)
Program ended January 1, 2025 (Doctor of Credit)
Expiration policy Never expires (Southwest Airlines Help Center)
Balance check Southwest.com/gift-card (Southwest Airlines Help Center)
Typical price (example) $500 card for $429.99 (May 2024) (Doctor of Credit)
Where to buy now Southwest.com or other retailers (Southwest Airlines Help Center)

The implication: the discount window has closed, but the card’s value proposition — never expires, no fees — still holds.

Can I buy a Southwest gift card at Costco?

The short answer is no — not since January 1, 2025. Costco ended its partnership with Southwest Airlines, pulling all Southwest gift cards from its warehouses and website. A Reddit user on r/Costco quoted a statement: “Southwest ended the program with Costco effective 1/1/25. No further SW gift cards will be sold in warehouses.”

Where to buy Southwest gift cards now

  • Directly from Southwest Airlines Help Center (official store) – face value, no discount.
  • Major retailers like Walmart and Target occasionally stock them, but rarely at a discount (FlyerTalk Forum).
  • Sam’s Club has offered Southwest gift cards in the past, though availability is inconsistent (FlyerTalk Forum).

Other airline gift cards at Costco

  • Costco still sells gift cards for Delta Air Lines, American Airlines, and other travel brands through its Travel Gift Cards page.
  • Discounts on those vary — Delta and American cards often sell at a 4–5% discount, similar to the former Southwest deal (Doctor of Credit).

The pattern: Southwest loyalists lose a reliable 5% discount. Delta and American flyers can still save at Costco — a classic example of airline loyalty locking you into a narrower set of deals.

Is it cheaper to buy Southwest gift cards at Costco?

When Costco carried Southwest gift cards, it was almost always the cheapest source. The typical discount worked out to about 5% below face value — a $500 card cost $429.99 during several promotions in 2024 (Doctor of Credit).

Discount on Southwest gift cards at Costco

  • May 2024: $500 eGift card for $429.99 (limit 2) (Doctor of Credit).
  • October 30 – November 4, 2024: same $429.99 price (Doctor of Credit).
  • December 4–25, 2024: extended through Christmas (Doctor of Credit).
  • December 27, 2024: final flash sale (Doctor of Credit).

Is it worth buying from Costco?

  • Even with a maximum of 5 per membership, the savings added up quickly. A $500 card at $429.99 saved $70.01, or 14% — not the typical 5% because the $429.99 was a promotion, but regular discounts ran closer to 5% (Frequent Miler).
  • No other retailer consistently offered better pricing. Grocery store fuel points or office supply rewards rarely matched the instant discount (FlyerTalk Forum).

The catch: for frequent Southwest flyers, losing Costco means paying full price — the equivalent of a $25–$35 surcharge per $500 in travel. That’s a real cost shift for households booking multiple trips per year.

What this means: the Costco discount was unique in its consistency. No other retailer offered Southwest gift cards at as low a price as often.

How much does a Costco Southwest gift card cost?

When in stock, the pricing structure was straightforward: face value minus a flat discount, typically 5% off.

Cost of Southwest gift cards at Costco

  • Denominations ranged from $25 to $500 (Doctor of Credit).
  • Price was always face value minus 5% (e.g., $100 card for $95, $500 for $475) during non-promotional periods (Frequent Miler).
  • No activation fees or additional charges (Frequent Miler).
  • Some promotions (e.g., $429.99 for $500) offered a deeper, limited-time discount, but the standard was the 5% off (Doctor of Credit).

The pattern: Costco sold Southwest gift cards at a consistent price, with occasional deeper cuts during holiday promotions. For budget‑minded travelers, the regular 5% discount was the main draw.

Does a Costco Southwest gift card expire?

No — Southwest gift cards never expire, regardless of where you purchased them. That includes cards bought at Costco, directly from Southwest, or anywhere else.

Southwest gift card expiration policy

  • Gift cards have no expiration date (Southwest Airlines Help Center).
  • No dormancy or inactivity fees are ever charged (Southwest Airlines Help Center).
  • Balance can be checked anytime at Southwest.com/gift-card (Southwest Airlines Help Center).

Why this matters: unlike many retailer‑specific gift cards, Southwest cards hold their value indefinitely. That $429.99 card from a 2024 promotion is still good for a $500 flight — the discount locked in, no time pressure.

Why is Southwest not available on Costco?

The partnership ended abruptly on January 1, 2025. Neither company has publicly explained the decision, but community reports point to Southwest ending the arrangement.

Timeline of Costco‑Southwest partnership

  • Pre‑2025: Southwest gift cards sold at Costco warehouses and online with regular 5% discounts and periodic deeper promotions (Doctor of Credit).
  • December 2024: Final promotions ran through Christmas and briefly after (Doctor of Credit).
  • January 1, 2025: Southwest ended the program. No new gift cards sold at Costco (Reddit user on r/Costco).

What happened to Southwest gift cards at Costco?

  • Existing cards remain valid and usable; only new sales stopped (Las Vegas Advisor Forum).
  • No official reason provided by Costco or Southwest. Speculation includes renegotiation failures or strategic shifts by Southwest (FlyerTalk Forum).
  • The program may return in the future, but no indication from either side.
What to watch

Southwest has not ruled out future partnerships, but for now, Costco members have lost a reliable savings channel. Watch for announcements from Southwest’s corporate communications or Costco’s travel gift card page for any reversal.

Bottom line: The pattern: the end of Costco’s Southwest card program is a quiet but significant shift for budget‑conscious travelers. Without an official explanation, the decision remains a black box.

Upsides

  • Existing Costco‑purchased Southwest gift cards remain valid forever.
  • Southwest gift cards never expire and have no fees (Southwest Airlines Help Center).
  • Costco still offers gift cards for other major airlines like Delta and American (Costco Travel Gift Cards).
  • Buying directly from Southwest is simple and fee‑free (Southwest Airlines Help Center).

Downsides

  • No more instant 5% discount on Southwest cards at Costco.
  • No other retailer offers a consistent discount on Southwest gift cards.
  • Reason for the program end is unclear, leaving uncertainty about future availability.
  • Southwest loyalists must now pay full price unless they switch airlines.

Steps to get the best value on Southwest travel after the Costco deal ended

While the Costco discount is gone, there are still a few strategies worth trying. Here are concrete steps you can take.

Stretch your existing gift cards

  • Combine multiple cards for a single booking – Southwest allows up to three gift cards per transaction (Southwest Airlines Help Center).
  • Check your balance on Southwest.com/gift-card before planning a purchase.
  • Use cards with small remaining balances for early bird check‑in or upgraded boarding.

Find alternative discounts

  • Earn Southwest gift cards through credit card rewards (e.g., Southwest Rapid Rewards credit cards) (Southwest Rapid Rewards program).
  • Watch for small discounts at grocery store fuel point programs or office supply stores (FlyerTalk Forum).
  • Consider buying discounted Southwest gift cards from reputable third‑party marketplaces, though use caution with resale sites.

Switch to other airlines with Costco discounts

  • If you’re flexible, buy Delta or American gift cards at Costco and fly those carriers (Costco Travel Gift Cards).
  • Compare total trip cost including bag fees and other charges – Southwest’s “bags fly free” policy may still make full‑price tickets cheaper overall.
The upshot

For Southwest loyalists, the best current strategy is to accumulate Rapid Rewards points through credit card spend and buy gift cards at full price only when needed. Diversifying to an airline available at Costco is a genuine option if you rarely check bags.

The trade‑off: the Costco discount was unique. Without it, you’ll need to work harder to replicate the savings — or accept higher travel costs.

Timeline: Costco Southwest gift card program

  • Pre‑2025: Southwest gift cards sold at Costco warehouses and online at a 5% discount, with periodic deeper promotions (Doctor of Credit).
  • January 1, 2025: Southwest ended the gift card program with Costco. New cards no longer available (Reddit user on r/Costco).
  • After January 1, 2025: Existing Costco‑purchased Southwest gift cards remain valid; no new cards from Costco (Las Vegas Advisor Forum).
Bottom line: The Costco Southwest gift card program is over as of January 1, 2025. Existing cards still work, but new purchases must go through Southwest.com. Southwest flyers: expect to pay full face value unless you find rare deals elsewhere.

What’s confirmed and what’s unclear

Confirmed facts

  • Costco stopped selling Southwest gift cards as of January 1, 2025 (Doctor of Credit).
  • Southwest gift cards never expire (Southwest Airlines Help Center).
  • Costco still sells other airline gift cards (e.g., Delta, American) (Costco Travel Gift Cards).
  • The typical discount was 5% off face value (Frequent Miler).

What’s unclear

  • Why Southwest ended the program with Costco (not publicly explained).
  • Whether the program will return in the future.
  • If any other retailer will offer a similar consistent discount on Southwest gift cards.

What travelers are saying

“I saw a comment on the Costco sub that ‘Southwest ended the program with Costco effective 1/1/25. No further SW gift cards will be sold in warehouses…’”

— Reddit user on r/SouthwestAirlines (Reddit forum)

“Southwest gift cards never expire, regardless of where purchased.”

— Southwest Airlines Help Center

“The $429.99 deal for a $500 card was the best consistent discount on Southwest gift cards we’ve seen.”

— Doctor of Credit (points & miles blog)

“Costco still sells Delta and American gift cards at a discount – if you’re not tied to Southwest, that’s your best bet.”

— Costco Travel Gift Cards page

The quotes above capture the three‑sided picture: the program is gone, the cards are still good, and alternatives exist — but none match what Southwest loyalists lost.

Additional sources

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Frequently asked questions

Can I still use a Southwest gift card I bought at Costco before the program ended?

Yes. All Southwest gift cards, including those purchased at Costco, remain valid and never expire (Southwest Airlines Help Center).

Does Costco sell any airline gift cards besides Southwest?

Yes – Costco currently sells gift cards for Delta, American Airlines, and several other travel brands through its Travel Gift Cards page.

Are there any fees on a Southwest gift card?

No. Southwest gift cards have no activation, dormancy, or inactivity fees (Southwest Airlines Help Center).

Can I combine multiple Southwest gift cards for one flight?

Yes – you can combine up to three gift cards per transaction on Southwest.com (Southwest Airlines Help Center).

How do I check the balance on my Southwest gift card?

Go to Southwest.com/gift-card and enter the card number and PIN (Southwest Airlines Help Center).

Can I use a Costco Shop Card to buy a Southwest gift card?

Costco Shop Cards (gift cards) can be used in‑store and online at Costco, but since Southwest gift cards are no longer sold there, you cannot use a Shop Card to purchase one (Costco Shop Card terms).

Do Southwest gift cards have a purchase limit?

Yes – when Costco sold them, there was a maximum of five per membership. Directly from Southwest, limits may vary; check their gift card terms (Southwest Airlines Help Center).

For Southwest flyers, the decision is clear: accept full price for gift cards, or explore other airlines that still offer a discount through Costco. The 5% saving was a real benefit, and its loss shifts the math for anyone planning multiple trips.