Free shopping at Costco? The amazing policy if you meet this condition

Costco’s device trade-in program can give you up to $2,550 in store credit while helping the environment.

Brendan McDermid

Update: Jan 17th, 2026 18:23 EST

If you have old electronics lying around, don’t throw them away. Costco has launched a trade-in program that could earn you up to $2,550 in digital store credit. Eligible devices include smartphones, laptops, tablets, smartwatches, desktop computers, and media players. Keep in mind the credit comes on a digital Costco card and cannot be redeemed for cash.

How the Costco trade-in program works

To participate, fill out a form on Phobio’s website, the company handling Costco’s electronics buyback and recycling. First, select the device you want to trade, evaluate its condition, and accept the offer. The platform will then guide you on how to reset, safely pack, and drop off your device at a designated location. Shipping is free. Within three to five business days, you’ll receive a Costco digital gift card with your credit.

Environmental benefits beyond the credit

Costco’s trade-in program is more than a money-saving opportunity. It also helps reduce demand for minerals used in electronics production, like lithium, copper, and cobalt.

Phobio emphasizes its environmentally responsible approach to e-waste management. By recycling your old gadgets, you help prevent harmful materials like mercury and lead from reaching landfills or contaminating water sources.

The growing problem of e-waste

The United Nations Environment Program estimates that around 50 million tons of electronic waste are generated each year. Most of these devices are not properly recycled, even though they contain valuable materials like iron and aluminum that can be reused. Some gadgets contain up to 60 elements from the periodic table, making proper disposal crucial for environmental safety.

Other trade-in options

Costco isn’t the only option for trading in old electronics. Major brands like Apple and Samsung offer credit toward new devices. Retailers including Target and GameStop also run trade-in programs, giving consumers multiple ways to turn old tech into cash or store credit.