Costco Travel has become a go-to resource for many travelers looking to bundle flights, hotels and extras under the reassuring Costco brand. The platform often delivers strong value, particularly for resort stays and packaged vacations. Yet booking a hotel through Costco is not the same as booking directly with a property or with a typical online travel agency.
The rules, inclusions and fine print can be very different, and those differences are where many travelers stumble. Those pitfalls make more sense once you understand how Costco hotel and resort bookings are structured, before zeroing in on specific mistakes.
Confusing Hotel Only With Packages
One of the first traps travelers fall into is assuming that every hotel booking made through Costco Travel works the same way. In reality, Costco distinguishes clearly between hotel only reservations and packages that bundle hotels with flights, rental cars, transfers or activities.
The pricing structure, cancellation rules and even what appears on your invoice can differ substantially depending on which path you choose.
With hotel only reservations, you are typically paying for a single room in U.S. dollars, based on the occupancy you searched, and the hotel is the merchant of record on your credit card statement. Packages are treated very differently, with per person pricing and separate deposit rules that apply to the combination of components.
Travelers who overlook that distinction sometimes misunderstand when final payment is due or who they must contact to change part of the trip. This can become especially problematic if you need to alter just the hotel portion of an air inclusive package, only to learn that everything is governed by package terms, not a standard hotel only policy.
Another frequent point of confusion is the belief that hotel components within a Costco package are treated by the property as if you booked directly. In reality, Costco’s terms clarify that hotel stays in packages are sourced through contracted rates and are often ineligible for hotel loyalty points or elite benefits.
Guests who check in expecting upgrades, breakfast or late checkout based on their status can be disappointed when the front desk explains that Costco package bookings are excluded from those perks. Knowing ahead of time whether you are booking hotel only or a bundle helps set realistic expectations and guides how you compare the offer against booking directly.
Overlooking Taxes, Fees and Resort Charges
Another common misstep is not reading closely how Costco displays taxes, resort fees and other mandatory charges for hotels. Costco Travel promotes upfront pricing that includes taxes for hotel only stays, which is helpful when comparing against sites that show pre tax room rates.
However, travelers sometimes assume that this also means every potential fee is covered, or that any resort fee will simply disappear at checkout. The reality is more nuanced, especially in destinations where resort and facility fees are widespread.
For most destinations, if a hotel charges a mandatory resort fee on a hotel only booking, Costco’s hotel FAQ explains that the resort fee is included in the displayed price, with one major exception: properties in Las Vegas. There, resort fees are typically still collected directly by the hotel at check out.
It is easy for a traveler to skim the booking screen, see a total, and then feel blindsided by a hefty nightly charge per room upon arrival because they overlooked the advisory stating that Las Vegas resort fees are excluded. Given that resort fees in major markets can run from tens of dollars to well over fifty dollars per night, this omission can materially change the value of the deal.
On top of resort fees, parking, premium internet, and certain local taxes or government surcharges might not be baked into the Costco price. Costco’s terms emphasize that government imposed increases in taxes or fees, or additional surcharges imposed by hotels, remain the guest’s responsibility even if the booking is prepaid.
Travelers who assume their Costco confirmation represents a fully locked in final cost can be frustrated to discover new nightly environmental fees or sharply higher parking charges that took effect after they booked. Careful reading of the fine print and hotel advisory sections can prevent unpleasant surprises at the front desk.
Misunderstanding Deposits, Payments and Cancellation Rules
Costco Travel’s combination of its own policies with those of partner hotels creates another area where mistakes are common: deposits, payment schedules and cancellation penalties.
For many hotel only bookings, deposit and payment requirements vary by hotel, travel dates and rate type. Sometimes a stay is fully prepaid at booking, while other times the card is simply used to guarantee the room and is charged closer to arrival or at check out. Assuming that all Costco hotel bookings are fully flexible or fully prepaid is a recipe for trouble.
Travelers often overlook that conditions for hotel stays sold as part of a package can differ from those sold as standalone rooms. Packages typically require a deposit that covers both the land components and, where included, airfare. Final payment deadlines for packages can be set a specific number of days before departure and may be stricter than the hotel’s own cancellation window.
People who are accustomed to hotel industry norms like 24 or 48 hour cancellation sometimes discover too late that, because they booked through Costco as part of a package, canceling inside the package penalty period means forfeiting not only the hotel night but possibly airfare or other elements.
Another frequent mistake is failing to look for differing change or cancellation rules by room category, promotion or rate. The same hotel on Costco Travel may show several promotional offers with slightly different inclusions and price points. One might include breakfast and a resort credit but carry stricter cancellation terms, while another offers room only with a more flexible policy.
In the rush to grab a perceived deal, travelers sometimes click the lowest price or the best looking bonus without reading the cancellation text embedded in the room description or on the invoice. That shortcut can be expensive if plans shift and nonrefundable or high penalty terms apply.
Ignoring Room Occupancy Rules and Special Requests
Room occupancy and bedding configurations are another area where travelers can miscalculate when booking through Costco. The search interface prompts you to specify the number of adults and children in each room, along with ages of any children.
Those inputs matter because hotels use maximum occupancy rules that can differ by room type, region and safety regulations. If you try to fit more guests than a room legally allows, the reservation may not appear as available, or the system might push you into a higher priced room category.
Confusion arises when travelers attempt to force an occupancy that the system will not accept or assume that they can simply show up with extra people. Some Costco users report that availability looks different when they change the number of adults, even when they plan to occupy the same physical room type.
That inconsistency can be due to inventory allocations or how contracted rates are structured. Attempting to “game” the system by undercounting guests in order to secure a cheaper rate risks denied check in or mandatory surcharges at the property, especially in destinations where occupancy limits are tied to safety codes.
Special requests for bedding type, connecting rooms, cribs or rollaway beds can also create mismatched expectations. Costco Travel’s terms specify that such requests are not guaranteed and may involve extra charges payable directly to the hotel.
Travelers sometimes interpret notes like “king or two double beds” as a promise that their preferred choice will be honored when, in practice, the hotel simply confirms a room that can accommodate either.
If you require a specific setup, such as guaranteed connecting rooms for younger children, relying solely on a Costco request field without following up with the hotel is risky. Recognizing that requests are subject to availability at check in encourages more realistic planning.
Overestimating Elite Benefits, Points and Extras
Many Costco members are also devoted to specific hotel loyalty programs and expect that every stay will stack rewards and perks. A persistent mistake is assuming that bookings made through Costco Travel, especially within packages, will earn full hotel points and elite credit or will qualify for on property elite benefits.
Costco’s own terms warn that hotel stays within packages are generally not eligible for loyalty points or benefits. Even stand alone hotel only reservations booked through third party channels can sometimes be classified as wholesale or group rates that do not qualify.
The disappointment tends to surface at check in, when a guest hands over an elite program number and is told that upgrades, complimentary breakfasts or lounge access do not apply to this particular reservation.
The situation can be even more confusing when a hotel still posts stay credit in a loyalty account but withholds on property perks because the rate code is contracted. From the traveler’s perspective, this inconsistency feels arbitrary, and Costco is often blamed even though the underlying rule comes from the hotel’s own program policies.
Another area where expectations can outpace reality is around Costco exclusive extras such as resort credits, food and beverage vouchers or included transfers. Many of Costco Travel’s strongest offers advertise these bonuses, which add genuine value if they are used. The mistake happens when travelers do not read the fine print regarding usage limits, blackout dates, or whether a credit is per room, per stay or per night.
Arriving at a resort expecting daily credits and discovering that they are one time per stay or restricted to certain venues can change the economics of a trip. Careful comparison of inclusions between Costco and direct rates helps clarify whether the extras truly offset any loss of loyalty benefits.
Assuming Costco Handles All Hotel Issues
Costco’s strong reputation for customer service leads some travelers to assume that any problem with a hotel stay will be resolved quickly and decisively by Costco Travel. While Costco does often advocate for its members, it is ultimately an intermediary, not the operator of the hotel itself.
The hotel remains responsible for room standards, amenity availability and day to day operations. When something goes wrong on site, such as overbooking, maintenance failures or amenity closures, travelers sometimes direct all frustration to Costco and expect immediate compensation, overlooking that the remedy often depends on the hotel’s own policies.
Another underlying mistake is not differentiating between pre travel and on the ground issues. Before travel, Costco Travel can usually help adjust dates, room types or even shift to a different property when permitted by the fare rules. Once you have checked in, however, resolving problems such as an air conditioning failure or misapplied resort fee may be faster if you work directly with the front desk while keeping Costco informed.
Assuming that every issue must route through Costco can introduce delays, especially outside of customer service operating hours. A balanced approach that involves both the hotel and Costco when appropriate tends to yield better results.
Travelers should also be aware that Costco can only operate within the constraints of the contracts it has with suppliers. If a hotel refuses to waive a late cancellation penalty or insists that a no show remains fully chargeable, Costco may have limited ability to override that decision.
The perception that a well regarded retailer can always “make it right” clashes with the legal reality that Costco does not control inventory or financial decisions for independently owned hotels. Managing expectations in this area helps avoid disappointment and encourages travelers to protect themselves with travel insurance where appropriate.
Not Accounting for Changing Inventory and Partnerships
Costco Travel’s hotel offerings are not static, and that dynamism can catch travelers off guard. Contracts with certain properties or brands can expire or be renegotiated, sometimes leading to once popular options disappearing from the platform.
Disneyland Resort packages are a prominent example of an offering that Costco ended, leaving many fans surprised when they went to rebook a favorite deal only to find that it was no longer available. Similar changes can affect specific resorts, urban hotels or destinations as Costco adjusts its portfolio over time.
This fluid inventory means that treating past experiences as a guarantee of future availability is a mistake. Travelers who leave planning until late in the process sometimes discover that a preferred hotel is no longer sold through Costco or that only certain room types remain under contracted rates.
In other situations, the platform might offer a hotel only rate but no longer bundle that property in air inclusive packages. Those nuances can impact how you structure your trip and whether Costco remains the best overall option for a given destination and date range.
Pricing and promotional patterns can also shift based on season, demand and strategic agreements. A hotel that once delivered outsized value through Costco thanks to generous resort credits or free breakfast might return in a future season with far slimmer inclusions.
Conversely, newly added properties may launch with aggressive offers to attract Costco members. Assuming that yesterday’s best value will still be tomorrow’s best option can lead travelers to overlook newly competitive alternatives on the platform or beyond it.
Skipping a Direct Comparison With Booking Direct
Perhaps the most fundamental mistake is failing to compare Costco’s hotel offers against booking directly with the property or through other reputable channels. Costco Travel often does provide excellent value, especially where promotions bundle extras like breakfast, resort credits or airport transfers into a package rate. However, value is highly situational.
On some dates, a direct booking might offer a free night, bonus loyalty points or flexible cancellation that outweighs the benefit of Costco’s package inclusions. Without a direct comparison, travelers can assume that the warehouse brand automatically guarantees the best deal.
Cost comparisons should account for total trip cost, not just base nightly rates. This means tallying all taxes, resort fees, parking charges, add on breakfasts and any required transfers. For loyalty program members, the effective value of points and on property perks also belongs in the calculation.
A Costco package that includes breakfast and transfers might beat a slightly cheaper direct rate once you factor in the cost of daily dining and rideshare fares. On the other hand, a frequent guest who earns valuable elite nights or bonus points by booking directly might find that the long term rewards justify paying a bit more up front.
Flexibility and risk tolerance also play a role. Travelers with uncertain plans might prioritize rates that allow cancellations or changes with minimal penalties, even if those rates cost slightly more.
Costco’s packages, particularly those with airfare, can carry stricter change conditions than pay at checkout hotel rates secured directly. Ignoring this dimension and focusing solely on headline savings can leave you with less flexibility than you intended if life events force a significant change of plans.
The Takeaway
Booking hotels through Costco Travel can be an excellent strategy for saving money and simplifying trip planning, but only when you understand the unique rules that govern these bookings. Confusing hotel only reservations with packages, overlooking how taxes and resort fees are applied, and misunderstanding deposit and cancellation policies are among the most common mistakes travelers make.
Add to that unrealistic expectations about loyalty benefits, misread occupancy rules and assumptions about Costco’s power to fix every problem, and it becomes clear why some guests feel caught off guard at check in.
The solution lies in approaching Costco Travel with the same level of scrutiny you would use for any major purchase. Read the terms on each hotel offer carefully, paying close attention to resort fee treatment, cancellation deadlines and what exactly is included in the price.
Confirm that the room type and occupancy match your needs, and verify how your booking will interact with any hotel loyalty programs you care about. Finally, compare Costco’s total value against booking direct and recognize that inventory and partnerships can change from year to year.
By slowing down just enough to understand these nuances, you can harness Costco’s strengths while sidestepping the pitfalls. The result is a hotel booking that aligns with your expectations, protects your budget and lets you enjoy the peace of mind that comes from truly knowing what you have purchased.
FAQ
Q1. Do I earn hotel loyalty points and elite nights when I book a hotel through Costco Travel?
In many cases, hotel stays booked as part of a Costco package do not qualify for loyalty points or elite night credits, and some hotel only reservations may also be treated as ineligible contracted rates. Policies vary by brand and property, so it is best to confirm directly with the hotel and assume that full loyalty benefits are not guaranteed when booking through Costco.
Q2. Are resort fees always included in the price I see on Costco Travel?
For hotel only reservations, Costco typically includes resort fees in the displayed price if the property charges them, with a notable exception for many Las Vegas hotels where resort fees are collected at check out. Even when resort fees are included, other charges such as parking or premium internet may still be payable directly to the hotel.
Q3. How are cancellation policies determined for Costco hotel bookings?
Cancellation rules depend on both Costco Travel’s policies and the specific hotel or package terms. Hotel only bookings often follow the hotel’s cancellation windows, while packages that include airfare or other components may impose stricter deadlines and higher penalties. The exact policy is detailed on the room or package description and on your invoice, and should be reviewed carefully before purchase.
Q4. Can I change just the hotel portion of a Costco package without affecting the flights?
Often, no. When you book a bundled package through Costco that includes flights, hotels and possibly other components, changes are governed by the overall package conditions. Adjusting just the hotel portion can trigger change fees or may not be allowed without altering the rest of the package, depending on the fare and supplier rules.
Q5. Why does the Costco Travel site sometimes show no availability for my preferred number of guests, even though the hotel has rooms?
This usually relates to contracted inventory and occupancy limits. Costco’s allocation for certain room types may be sold out for specific party sizes, or the contracted rate may only apply up to a certain occupancy. Changing the number of guests or splitting the group into multiple rooms can sometimes reveal different availability, but you must always respect the hotel’s official occupancy rules.
Q6. Will Costco Travel help if I have a problem with my room after check in?
Costco Travel customer service can often assist by contacting the hotel or helping you understand your options, but the property itself controls room assignments, maintenance and on site service. For urgent issues, it is generally best to work first with the front desk while keeping Costco informed, especially if you believe the stay is not matching the description you booked.
Q7. Does booking through Costco Travel always guarantee the lowest hotel price?
No single channel can guarantee the lowest price in every situation. Costco Travel often provides very competitive rates, especially when extras such as breakfast, resort credits or transfers are included. However, direct hotel offers or other platforms may occasionally beat Costco on certain dates or for certain room types. Comparing total costs and inclusions is essential.
Q8. Are Costco hotel bookings fully prepaid or do I pay at the hotel?
It depends on the property, rate type and whether you booked a package or hotel only. Some stays are prepaid at booking, while others simply require a credit card guarantee and are charged at check out. The terms presented during the booking process and on your confirmation specify whether payment is taken immediately, in stages, or on site.
Q9. If a new tax or fee is introduced after I book, can the hotel still charge it?
Yes. Costco Travel’s terms generally state that any government imposed increases in taxes or fees, or new surcharges imposed by hotels, remain the guest’s responsibility even if the reservation has been paid in full. This is common across the travel industry and is one reason to leave room in your budget for potential changes.
Q10. How can I avoid common mistakes when booking hotels through Costco Travel?
Read the terms for each hotel carefully, including resort fee treatment, cancellation windows and what is included in the rate. Confirm that the room type and occupancy match your needs, and do not assume loyalty benefits will apply. Compare Costco’s total value, including any extras, against booking directly with the hotel. When in doubt, calling Costco Travel to clarify details before you pay can prevent most unpleasant surprises.