Sorry, Kroger Cardholders, Your Extra Gas Discount Is Gone

Depending on your location and spending habits, signing up for a credit card that rewards you for shopping at certain stores can be a great way to save on regular expenses. However, Kroger just showed that registering for one of those cards doesn't guarantee those benefits indefinitely. In Summer 2026, Kroger announced it was winding down its partnership with U.S. Bank — a move that significantly impacts Kroger World Elite Mastercard holders. U.S. Bank made its own announcement confirming the split, and revealed that those with an active Kroger World Elite Mastercard would have their accounts transitioned into U.S. Bank Smartly Visa credit cards by Fall 2026. In late September, the banking institution made good on that promise. 

Among other changes, this separation means that Kroger World Elite Mastercard holders have lost the 5-cent-per-gallon discount their cards once gave them access to at Kroger gas stations. This will be a particular blow to those who used their cards frequently, as that perk increased to a 25-cent-per-gallon discount for users that spent $6,000 or more per year with their cards.

This change is likely to cost cardholders significantly over time: A May 2026 report by the U.S. Department of Energy found that cars achieve an average fuel economy of 25.6 miles per gallon. meanwhile, per 2022 data from the Federal Highway Administration, the average American drives over 13,476 miles per year. Assuming Kroger's gas prices match AAA's early October 2026 national average of $4.40 per gallon, the loss of this perk alone could cost the average driver between $26.32 and $131.60 per year.

While you should always beware of credit card red flags before opening a new account, some experts have pointed out that this change isn't all bad. For one thing, several of the other rewards that come with a Kroger World Elite Mastercard are still being honored by the grocery chain. For instance, any Kroger loyalty points that cardholders have earned will still be eligible for use at Kroger locations, and any Boost by Kroger Plus memberships that were granted when registering for the card will remain active until their designated expiration dates. Additionally, the replacement Smartly Visa card offers higher cash back on general purchases than both the Kroger World Elite Mastercard did and the new credit card that Kroger started offering after its split from U.S. Bank.

Still, many users online have still decided to close their Kroger credit card accounts ahead of the transition in pursuit of credits cards with better cash back rewards, while others moved to close their new Smartly Visas after the change was enacted due to lackluster terms. With that in mind, it's important to remember that closing certain credit accounts can tank your credit score.