See the real rupee cost of a foreign-currency card spend: markup, 18% GST on the markup and rewards, against a zero-markup card.
Quick answer
Foreign-currency card spends cost the converted amount + the card's forex markup + 18% GST on that markup. At a 3.5% markup, the real fee is 4.13% of the spend: ₹4,130 on every ₹1 lakh. Zero-markup cards remove this, leaving only the network rate.
Credit card forex markup calculator
Work out the real cost of paying abroad, or in a foreign currency online, with your credit card.
The default rate is a reference rate. Card networks apply their own rate on the settlement date. GST of 18% is charged on the markup fee. Dynamic currency conversion (paying in rupees at a foreign terminal or website) usually costs more, so choose the local currency. Some cards charge a markup even on rupee payments to merchants based abroad.
Picking a card? See our scored picks
Zero forex markup credit cards · Best credit cards for international travel
Tips to pay less
- Always pay in the local currency. Decline "pay in INR" (dynamic currency conversion) at foreign terminals and checkout pages.
- Use a zero or low-markup card for travel and foreign-site shopping. See best credit cards for international travel.
- Check whether your card earns rewards on foreign spends. Some offer accelerated rates that offset part of the markup.
FAQs
Is the markup charged on rupee payments to foreign websites?
Many banks charge a cross-border fee on rupee transactions with merchants registered abroad. Check your card's schedule of charges.
Is GST charged on the forex markup?
Yes. The markup is a fee, and 18% GST applies to it.