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Travelling abroad for summer vacations? These five credit cards charge low forex markup fee

Banks charge foreign exchange markup fee when you are making a payment in a foreign currency. So spend wisely while travelling abroad

April 12, 2022 / 08:10 AM IST
After the resumption of regular international flights, people are travelling abroad for business tours or with families for a much-awaited summer vacation after two years because of the COVID-19 pandemic. While swiping your credit card abroad to make payment in a foreign currency, you must keep in mind that banks charge a foreign exchange markup fee. This fee can be as high as 3.5 percent of your transaction amount. However, there are a few cards that charge a low markup fee on your foreign currency transactions and are especially useful to people who frequently travel abroad.  Paisabazaar  has identified the five best low forex markup fee credit cards in India.
After the resumption of regular international flights, people are travelling abroad for business tours or with families for a much-awaited summer vacation after two years because of the COVID-19 pandemic. While swiping your credit card abroad to make payment in a foreign currency, you must keep in mind that banks charge a foreign exchange markup fee. This fee can be as high as 3.5 percent of your transaction amount. However, there are a few cards that charge a low markup fee on your foreign currency transactions and are especially useful to people who frequently travel abroad. Paisabazaar has identified the five best low forex markup fee credit cards in India.
Image Source:  HDFC Bank  | HDFC Regalia Credit Card offers four reward points per Rs 150 on all retail spends, including insurance, utilities, education and rent. It has a foreign currency markup fee of 2 percent. It offers complimentary airport lounge access: 12 in India and six overseas, and other benefits. The annual fee is Rs 2,500 on this card.
Image Source: HDFC Bank | HDFC Regalia Credit Card offers four reward points per Rs 150 on all retail spends, including insurance, utilities, education and rent. It has a foreign currency markup fee of 2 percent. It offers complimentary airport lounge access: 12 in India and six overseas, and other benefits. The annual fee is Rs 2,500 on this card.
Image Source:  SBI Card  | SBI Card Elite offers 5X reward points on dining, departmental stores and grocery spends and two reward points per Rs 100 on all other spends, except fuel. The cardholders get a complimentary Trident Privilege Membership and Club Vistara membership. It has a foreign currency markup fee of 1.99 percent. It offers six complimentary airport lounge access internationally and two complimentary domestic lounge access and other benefits. The annual fee is Rs 4,999 on this card.
Image Source: SBI Card | SBI Card Elite offers 5X reward points on dining, departmental stores and grocery spends and two reward points per Rs 100 on all other spends, except fuel. The cardholders get a complimentary Trident Privilege Membership and Club Vistara membership. It has a foreign currency markup fee of 1.99 percent. It offers six complimentary airport lounge access internationally and two complimentary domestic lounge access and other benefits. The annual fee is Rs 4,999 on this card.

Image Source:  IndusInd Bank  | IndusInd Legend Credit Card offers one reward point for every Rs 100 spent on weekdays and two reward points for every Rs 100 spent on weekends. The cardholders get a complimentary stay at Oberoi Hotel in the country and Various discount vouchers from Yatra, Charles and Keith, Louis Philippe, Hush Puppies, Urban Ladder, Montblanc, etc. It has a foreign currency markup fee of 1.8 percent. There is a one-time joining fee of Rs 9,999, thereafter, no annual fee will be levied on this card.
Image Source: IndusInd Bank | IndusInd Legend Credit Card offers one reward point for every Rs 100 spent on weekdays and two reward points for every Rs 100 spent on weekends. The cardholders get a complimentary stay at Oberoi Hotel in the country and Various discount vouchers from Yatra, Charles and Keith, Louis Philippe, Hush Puppies, Urban Ladder, Montblanc, etc. It has a foreign currency markup fee of 1.8 percent. There is a one-time joining fee of Rs 9,999, thereafter, no annual fee will be levied on this card.
Image Source:  HDFC Bank  | HDFC Diners Club Black Credit Card offers five reward points for every Rs 150 spent and up to 2X reward points on weekend dining. The cardholders get an annual membership of Club Marriott, Forbes, Amazon Prime, Zomato Pro, Times Prime, etc. It has a foreign currency markup fee of 2 percent. It offers unlimited airport lounge access in India and worldwide. The annual fee is Rs 10,000 on this card.
Image Source: HDFC Bank | HDFC Diners Club Black Credit Card offers five reward points for every Rs 150 spent and up to 2X reward points on weekend dining. The cardholders get an annual membership of Club Marriott, Forbes, Amazon Prime, Zomato Pro, Times Prime, etc. It has a foreign currency markup fee of 2 percent. It offers unlimited airport lounge access in India and worldwide. The annual fee is Rs 10,000 on this card.
Image Source:  Axis Bank  | Axis Bank Reserve Credit Card offers 15 edge reward points for every Rs 200 spent in India and 30 edge reward points for every Rs 200 spent internationally. It gives exclusive offers from Oberoi Hotels and Resorts. It also offers complimentary Club ITC Culinaire, Accorplus, Club Marriott Asia Pacific and EazyDiner Prime memberships. The cardholder also gets four complimentary chauffeured luxury airport pick-ups/drops every year, eight complimentary VIP assistance services at the airport, 50,000 reward points on card activation and renewal and several other benefits in various segments of spending. The annual fee is Rs 50,000 on this credit card.
Image Source: Axis Bank | Axis Bank Reserve Credit Card offers 15 edge reward points for every Rs 200 spent in India and 30 edge reward points for every Rs 200 spent internationally. It gives exclusive offers from Oberoi Hotels and Resorts. It also offers complimentary Club ITC Culinaire, Accorplus, Club Marriott Asia Pacific and EazyDiner Prime memberships. The cardholder also gets four complimentary chauffeured luxury airport pick-ups/drops every year, eight complimentary VIP assistance services at the airport, 50,000 reward points on card activation and renewal and several other benefits in various segments of spending. The annual fee is Rs 50,000 on this credit card.

Have a disciplined approach to your credit behaviour. Once you get a credit card, it is critical that you use it smartly and responsibly. Since credit cards offer a significant interest-free period, there may be a tendency to overspend while travelling abroad on vacation at partnered hotels or resorts as well as while shopping from partnered merchants. Banks charge a foreign exchange markup fee when you are making a payment in a foreign currency, so spend wisely. If you spend more than you can repay and cannot pay your credit card bill timely, you will incur hefty interest charges ranging from 28 to 49 percent p.a. along with late payment fees.
Have a disciplined approach to your credit behaviour. Once you get a credit card, it is critical that you use it smartly and responsibly. Since credit cards offer a significant interest-free period, there may be a tendency to overspend while travelling abroad on vacation at partnered hotels or resorts as well as while shopping from partnered merchants. Banks charge a foreign exchange markup fee when you are making a payment in a foreign currency, so spend wisely. If you spend more than you can repay and cannot pay your credit card bill timely, you will incur hefty interest charges ranging from 28 to 49 percent p.a. along with late payment fees.
Paisabazaar has shortlisted the credit cards based on the benefits and low forex markup fees charged. All credit card information is sourced and updated as of March 30, 2022. We arranged these low forex markup fee credit cards according to the least annual and joining fees.
Paisabazaar has shortlisted the credit cards based on the benefits and low forex markup fees charged. All credit card information is sourced and updated as of March 30, 2022. We arranged these low forex markup fee credit cards according to the least annual and joining fees.
Hiral Thanawala is a personal finance journalist with 9 years of reporting experience. Based in Mumbai, he covers financial planning, banking and fintech segments from personal finance team for Moneycontrol.
first published: Apr 12, 2022 08:10 am
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