Costco Travel has become a go-to booking platform for members who want bundle-style vacation value on everything from simple hotel nights to weeklong resort stays. Yet for all the talk about perks and savings, what really matters when plans change is how flexible your reservation is.

Cancellation terms are not uniform across properties or rate types, and those differences are central to Costco hotel and resort booking rules. Knowing how those rules work before you click “book” can make the difference between a painless refund and an expensive lesson.

How Costco Travel Hotel & Resort Bookings Work

Costco Travel functions as an online travel agency exclusively for Costco members, partnering with major hotel brands, independent resorts and package operators. When you reserve a hotel or resort through Costco, you are essentially booking with the hotel supplier under terms that Costco displays and administers.

That means your ability to cancel or change a stay depends on a combination of the hotel’s policy and Costco’s own procedures for handling modifications.

There are two main ways you might book accommodations with Costco. The first is a hotel only reservation, where you are simply booking a room through Costco Travel for specific dates.

The second is a vacation package, which typically bundles flights, a resort or hotel, and sometimes extras like transfers or activities. Each structure has its own cancellation rules, and those rules may also vary by brand, location, and rate type, such as refundable versus prepaid or nonrefundable.

Costco Travel makes most of the fine print available during the booking process, but many travelers skim past the “room category” and “terms and conditions” sections where cancellation deadlines and penalties are spelled out.

Because Costco aggregates deals from numerous hotel partners, there is no single universal policy that covers every reservation. Instead, you must think of Costco as the storefront and the underlying hotel or tour operator as the rule maker, with Costco enforcing and facilitating those rules on your behalf.

This dynamic is especially important for resort heavy destinations such as Hawaii, Mexico and the Caribbean, where holiday periods, all inclusive inclusions or special promotions can tighten cancellation windows and increase penalties.

Before you rely on Costco Travel to be as flexible as the hotel down the street for a simple road trip, it is worth taking a closer look at the exact terms that apply to your itinerary.

Hotel Only Reservations: Flexibility and Penalties

For standard hotel only reservations made on CostcoTravel.com, the default structure is fairly consumer friendly. Costco Travel’s own hotel frequently asked questions indicate that there are no Costco imposed fees to change or cancel a hotel room only booking online as long as you are outside the hotel’s penalty period.

In other words, Costco does not add its own surcharge for adjustments, but you can still be charged by the hotel if you cancel too late.

The critical detail is the hotel’s penalty window, which is displayed at booking and on your confirmation under the room category or cancellation policy section. Many hotels allow free cancellation up to a certain time before arrival, often one to three days in advance for standard flexible rates.

After that cutoff, the property may charge a fee such as one night’s room and tax, or in some cases the full stay amount, depending on the terms of the rate you selected. Some promotional or advance purchase rates may be completely nonrefundable from the moment of booking.

Costco Travel allows you to cancel most hotel only reservations online through your Costco Travel account up to 24 hours before travel. If you are within 24 hours of arrival, you must call Costco Travel directly for assistance.

Even when you are within that window, the ultimate penalty is driven by the hotel policy, not arbitrarily by Costco. Once a reservation is canceled it cannot be reinstated, which makes it essential to be certain before you finalize a cancellation request.

Changes to hotel only bookings often function like a cancel and rebook behind the scenes. To modify dates or room types, Costco recommends confirming a new reservation and then canceling the old one, checking the policy carefully so you do not incur unintended fees.

Because hotel pricing is dynamic, the new booking may be more or less expensive than your original, and Costco cannot guarantee that a lower rate or specific room will still be available when you try to switch.

Vacation Packages With Hotels or Resorts

Vacation packages are where Costco Travel can deliver some of its most eye catching value, but they are also where cancellation rules become more complex. These packages commonly combine air, hotel or resort accommodations, and sometimes extras such as airport transfers, resort credits or tours.

In the fine print of Costco Travel’s general terms and conditions, revisions and cancellations for packages are subject to supplier fees, which can include airline penalties, hotel penalties or both.

Canceling the flight portion of a package often brings the strictest consequences. Many airline tickets booked as part of an inclusive package are nonrefundable and nontransferable, though in some cases the value of a canceled ticket may be converted into a credit toward future travel on the same airline, subject to change fees and fare differences.

Travel must usually be completed within a defined period from the original ticket issue date. These airline rules sit alongside the hotel or resort’s own cancellation policy, which may be more forgiving.

Resort components within packages typically mirror the same policies you would see on a hotel only booking, but tied into a more rigid overall structure. For example, a resort may allow free cancellation up to a certain number of days before arrival, but the presence of nonrefundable airfare in your package means your total refund will not be complete even if the resort portion is flexible.

In some high season cases, resorts may also have stricter package terms than they offer on standalone room nights, because inventory and pricing are managed differently for wholesale partners.

When you change rather than cancel a vacation package, Costco Travel flags that supplier fees may still apply. Airline changes can trigger change fees and higher fares, particularly when you move into a busier travel period.

Adjusting the resort component may involve any penalties the property charges for shortened stays or revised dates. For this reason, Costco advises travelers to call as soon as possible when plans shift, since penalty amounts generally increase as you approach the departure date.

Refundable vs Nonrefundable: Reading the Rate Types

One of the biggest sources of confusion around Costco Travel cancellations is the distinction between refundable and nonrefundable rate types. On the surface, a Costco hotel or resort listing might highlight perks such as daily breakfast, resort credits or waived resort fees, but tucked lower on the page is language indicating whether the rate is flexible or advance purchase and what happens if you cancel.

Refundable or flexible rates usually allow cancellation without penalty up to a specific time before check in. The exact deadline can vary widely by brand and location, ranging from the day before arrival to a full week or more in peak resort destinations or during holidays.

If you cancel before that cutoff, you can expect a full refund of any prepaid amounts, though timing for the money to appear back on your card will depend on your bank’s processing.

Nonrefundable or advance purchase rates are typically cheaper, but they lock you into the stay terms from the moment you book. With these, any change or cancellation can result in the full amount paid being forfeited.

Costco Travel’s general terms emphasize that no shows are nonrefundable in all instances, which applies especially harshly to nonrefundable rates. If you simply do not show up for your reservation without canceling, you should expect to lose the entire value of what you prepaid.

Mixed situations are also possible. You may have a partially refundable package where the hotel portion is flexible but the flight is not, or a resort stay where the first night is nonrefundable if canceled within a certain window while the remaining nights are refunded on a sliding scale.

The key is to slow down at checkout and read the cancellation policy text line by line, paying attention to phrases like “penalty period,” “full payment forfeited,” and specific dates and times.

How to Cancel or Change a Costco Hotel or Resort Booking

Costco Travel encourages members to use their online accounts for straightforward hotel only cancellations. To do this, you sign in, navigate to your bookings or upcoming reservations, choose the relevant hotel, and select the cancel option.

The system will display any applicable penalties before you finalize your decision. After confirming, you should receive an email noting that the booking was canceled on the current date, which serves as your record of the request.

For more complicated reservations, including vacation packages that bundle resorts with airfare, Costco expects travelers to call customer service directly. The contact information is prominently displayed on Costco Travel’s site, with separate numbers for planning, travel support while on the road, and post trip inquiries.

Calling is also required for last minute cancellations within 24 hours of travel or when online cancellation is not available for a particular property or rate type.

When you call to cancel or change, have your Costco Travel booking number handy and be prepared to make decisions on the spot. The representative can walk you through applicable supplier penalties and what portion of your payment is refundable, but availability for alternate dates or properties can shift quickly.

In some cases, agents may suggest booking a new itinerary first then canceling the old one, especially if pricing has improved and you are still well outside penalty windows.

Regardless of channel, Costco emphasizes that canceled reservations cannot be reinstated. If you change your mind after canceling, you must make a brand new booking, which could carry higher rates or fewer inclusions.

That finality makes it important to confirm alternative arrangements, such as new dates or different hotels, before you pull the plug on an existing reservation.

Resort Specific Nuances: All Inclusive, Condos and Holiday Stays

Costco Travel works with a wide range of resort types, and not all are governed by the same cancellation logic as a standard urban hotel. All inclusive properties, condo style resorts and destinations that depend heavily on peak season tourism often layer additional conditions on top of basic policies.

Travelers who assume that a resort will behave like a traditional hotel risk underestimating the penalties involved.

All inclusive resorts usually package lodging, meals, drinks and activities into a single nightly rate. Because of the value of those inclusions, many all inclusive properties enforce longer cancellation windows, sometimes requiring changes or cancellations a week or more before arrival to avoid forfeiting a significant portion of the stay.

During peak holiday periods, cancellation policies can tighten even further, and minimum stay requirements may mean that shortening the trip is treated as a rebooking that incurs fees.

Condo and villa style resorts, which are also available through Costco in many destinations, can operate more like vacation rentals. It is not unusual for these properties to charge higher deposits, set stricter final payment dates, and apply tiered penalties that escalate as you approach arrival.

For example, you might forfeit a deposit if you cancel within 60 days of arrival and the full value if you cancel within 30 days. When booking through Costco, these rules will still apply, even if you never interact directly with the property.

Holiday stays around dates such as Christmas, New Year’s, Thanksgiving or major local festivals can be subject to blackout style cancellation policies. Resorts may insist on nonrefundable bookings for those periods or require cancellation far earlier than for shoulder season dates.

Costco Travel reflects these variations in the fine print, but it falls on the traveler to recognize that a December holiday stay at a beach resort does not carry the same flexibility as a midweek night in February.

Trip Protection and When It Makes Sense

Because supplier penalties on packages and resort bookings can be substantial, Costco Travel highlights optional trip protection sold through a third party insurer. This coverage is not mandatory, and Costco is transparent that trip protection premiums are generally nonrefundable.

However, for travelers booking expensive peak season resorts or nonrefundable packages, insurance can be a way to recoup costs in certain covered situations.

Trip protection typically covers scenarios such as serious illness, injury, certain family emergencies, or disruptions beyond your control that force you to cancel or interrupt your trip. It can also include benefits for travel delay, lost baggage and medical expenses abroad, though exact coverage depends on the specific plan.

It does not usually cover voluntary changes of heart, like deciding you simply prefer a different resort, nor does it guarantee reimbursement if you ignore cancellation deadlines.

The right way to think about trip protection with Costco booked hotels and resorts is as a safety net that sits beneath the supplier’s own cancellation policy. You must still follow the procedures to cancel with Costco Travel or the appropriate supplier, and the insurer will then evaluate your claim against the policy’s terms.

For travelers whose plans are relatively firm and who choose flexible, refundable rates, insurance may feel unnecessary. But for families investing heavily in holiday packages or long haul resort vacations, the additional cost can be modest compared with the potential loss if something goes wrong.

When considering trip protection, it is important to read the coverage documents just as carefully as you read the hotel or resort cancellation policy. Look for definitions of covered reasons, exclusions and claim procedures.

Costco Travel provides contact information for the insurer, and asking clarifying questions before purchase is far easier than arguing over benefits after the fact.

The Takeaway

Costco Travel offers compelling value on hotels and resorts, particularly when you take advantage of member only inclusions such as resort credits, free breakfasts or waived fees. Yet the benefits only tell half the story. The other half is the cancellation framework sitting behind every reservation.

Because Costco acts as a middleman between you and a wide array of hotel and resort partners, there is no single universal policy. Instead, your protection depends on rate type, destination, seasonality, and whether your stay is part of a larger package.

Hotel only reservations booked through Costco Travel tend to be the most flexible, especially when you choose refundable rates and remain outside the hotel’s penalty window.

Vacation packages that combine resorts with airfare can deliver bigger savings but lock you into stricter rules, particularly on the flight side. All inclusive properties, condo resorts and holiday period stays often add another layer of rigidity that can catch the unwary off guard.

The best defense for Costco members is a disciplined approach at checkout. Before you confirm any hotel or resort stay, slow down and read the cancellation details on the screen and on your confirmation email.

Note the latest penalty free cancellation date and time, recognize whether any portion of your payment is nonrefundable, and consider whether optional trip protection makes sense given your total investment. If your plans change, act early and work with Costco Travel directly to minimize fees.

With that level of attention, Costco Travel’s hotel and resort offerings can be both high value and reasonably safe for flexible travelers. You will enter each booking understanding not just how much you are saving, but what it would cost to walk away if life intervenes.

FAQ

Q1. Are Costco Travel hotel only reservations generally refundable?
Most Costco Travel hotel only reservations can be canceled without Costco added fees as long as you are outside the individual hotel’s penalty period. Whether your money is refunded in full depends on the rate type and cancellation deadline shown for that specific property.

Q2. How do I find the cancellation policy for my Costco hotel or resort booking?
The cancellation policy is displayed during booking in the room category or terms section and is also included on your confirmation invoice. It typically lists a date and time by which you must cancel to avoid penalties and explains what charges apply after that.

Q3. Can I cancel a Costco Travel hotel reservation online?
Yes, most hotel only reservations can be canceled online through your Costco Travel account up to 24 hours before arrival. If you are within 24 hours of travel or cannot see the cancel option, you will need to call Costco Travel for assistance.

Q4. What happens if I simply do not show up for my Costco booked hotel or resort?
No shows are considered nonrefundable. In practice, this usually means you will be charged at least the first night’s room and tax, and for nonrefundable rates or certain resort stays you may forfeit the full cost of the reservation.

Q5. Are Costco Travel vacation packages more restrictive than hotel only bookings?
They can be. Vacation packages often include nonrefundable or limited change airfare in addition to hotel or resort components. Canceling may trigger airline penalties, supplier fees, or partial forfeiture of prepaid amounts, even if the hotel portion itself is relatively flexible.

Q6. Does Costco charge its own cancellation fees on top of hotel or resort penalties?
For most hotel only bookings made online, Costco does not add its own change or cancellation fee outside of the hotel’s penalty period. With packages and more complex arrangements, Costco passes along supplier fees and follows the rules set by airlines, resorts and other partners.

Q7. Are all inclusive resort bookings through Costco easier or harder to cancel?
All inclusive resorts often have stricter cancellation windows and higher penalties than standard hotels because their rates include extensive extras. When booked through Costco, those tighter rules still apply, and penalties can escalate during peak seasons or holiday dates.

Q8. If I rebook to different dates, will Costco waive cancellation penalties?
Rebooking usually functions as a new reservation alongside a cancellation of the original, and supplier penalties still apply if you are inside the penalty window. Costco cannot generally waive hotel or airline fees simply because you move your stay to different dates.

Q9. Is trip protection through Costco Travel worth buying for resort vacations?
Trip protection can be valuable for costly or nonrefundable resort trips, especially during peak seasons or when airfare is bundled into a package. It may reimburse you for covered cancellations or interruptions, though it will not cover every reason for changing your plans, so reading the policy details is essential.

Q10. How quickly will I receive a refund after canceling a Costco Travel hotel or resort?
Once Costco and the supplier process your cancellation, refunds are typically returned to your original form of payment. The timing varies by bank and card issuer, but many travelers see funds reappear within several business days, while some refunds can take longer depending on the provider.