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NEXMAXOSmart money decisions

Forex markup on credit cards, explained

Banking & Deposits4 min read
By NexMaxo Editorial TeamPublished 16 Jun 2026Updated 22 Jun 2026

Forex markup is a fee — usually 1.5% to 3.5% — added to every transaction you make in a foreign currency or on an overseas website. It's easy to miss and adds up fast.

Where it applies

Any card payment in a non-INR currency: overseas travel, international shopping sites, foreign subscriptions, even some merchants that bill abroad. The markup sits on top of the exchange rate.

Why it can matter more than rewards

On a ₹1 lakh overseas spend, a 3.5% markup is ₹3,500 — more than most cards' reward value. A card with low or zero forex markup can save more than its points earn, which is why frequent travellers prioritise it.

Decline Dynamic Currency Conversion (DCC): if a foreign terminal offers to bill you in rupees, say no — it usually costs more than your card's own markup.

Where to go next

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