Kotak Mahindra Bank Credit Card International Transaction Charges – Forex Markup & Fees (2026)

International transaction charges on Kotak Mahindra Bank credit cards apply when you make foreign purchases or use your card for transactions outside India. These fees are levied to cover the costs of processing and converting foreign currency transactions.

Kotak Mahindra Bank Credit Card international transaction charges are generally calculated on the converted transaction value in Indian Rupees (INR). The total cost may include foreign currency markup charges, currency conversion costs, and any other applicable fees as per the card variant.

The calculation typically works as follows:

• Transaction conversion: The foreign currency amount is first converted into INR using the exchange rate determined by the card network.
• Markup fee application: The applicable foreign currency markup fee is then charged on the converted INR amount.
• Additional charges: Other charges, taxes, or fees may be added depending on the transaction type and card terms.

For example:

• Purchase amount: USD 100
• Exchange rate: ₹75 per USD
• Converted transaction value: USD 100 × ₹75 = ₹7,500
• Foreign currency markup fee: 3.5%
• Markup charge: ₹7,500 × 3.5% = ₹262.50
• Total amount billed: ₹7,500 + ₹262.50 = ₹7,762.50 (excluding applicable taxes and other charges)

This means that the foreign transaction is first converted into Indian Rupees (INR), after which the applicable markup fee is calculated on the converted amount, increasing the total amount billed.

Disclaimer: The above example is for illustrative purposes only. Actual charges may vary depending on the card variant, exchange rate, transaction currency, and applicable taxes.

International transaction charges can add to the overall cost of spending abroad. While these charges may not always be avoidable, there are some practical ways to minimise them when using a Kotak Mahindra Bank Credit Card international transaction facility.

• Choose cards with lower forex markup fees: Before travelling, compare the foreign currency markup fees applicable to different Kotak Mahindra Bank Credit Card variants. A lower markup fee can help reduce the overall cost of overseas transactions.
  
  
• Pay in the local currency: When making purchases abroad, merchants may offer to charge your card in Indian Rupees through Dynamic Currency Conversion (DCC). Paying in the local currency is often preferable, as DCC rates may be less favourable than the exchange rates applied by the card network.
  
  
• Use prepaid travel cards for planned expenses: Prepaid travel cards allow you to load foreign currency in advance and lock in exchange rates. This can help manage currency fluctuations and reduce dependence on credit card transactions.
  
  
• Limit international cash withdrawals: Overseas ATM withdrawals may attract cash advance fees, foreign currency markup charges, and applicable taxes. Using cash withdrawals only when necessary can help control costs.
  
  
• Track exchange rates before travel: Monitoring currency movements and planning transactions accordingly may help optimise spending while abroad.

These measures can help reduce the overall cost of international transactions and improve expense management during overseas travel.

When a Kotak Mahindra Bank Credit Card is used for an international transaction, the purchase amount is converted from the foreign currency into Indian Rupees (INR) before it appears on the card statement. The exchange rate is generally determined by the card network, such as Visa or Mastercard, at the time the transaction is processed. As a result, the final billed amount may differ from the amount estimated at the time of purchase.

How Currency Conversion and Exchange Rates Work

The exchange rate and final transaction amount are influenced by several factors, such as the card network's conversion rate, processing date, and applicable charges.

• Foreign currency transaction: Purchases made outside India or on international websites are billed in the merchant's local currency, such as USD, EUR, or GBP.
• Network conversion rate: Visa or Mastercard converts the foreign currency amount into INR using the applicable exchange rate at the time of processing.
• Dynamic Currency Conversion (DCC): Some merchants offer the option to pay directly in INR at the point of sale. While this provides upfront visibility of the amount, the exchange rate may be less favourable than the card network's rate.
• Exchange rate fluctuations: The conversion rate may change between the purchase date and settlement date, which can affect the final amount billed.
• Applicable markups: Foreign currency markup charges and other applicable fees may increase the total transaction cost beyond the converted INR amount.

The final amount reflected in the card statement depends on the exchange rate applied by the card network, the transaction settlement date, and any applicable charges associated with international transactions.

Before using a card for a Kotak Mahindra Bank Credit Card international transaction, international usage must be enabled through the bank's approved channels. Depending on the card variant, controls may be available through Net Banking, the mobile app, or SMS-based requests.

1. Net Banking

1. Log in to Kotak Net Banking.
2. Navigate to the credit card section.
3. Open Card Controls or the international usage settings.
4. Enable international transactions for applicable channels such as POS, online purchases, or ATM usage.
5. Save and confirm the changes.

2. Mobile App

1. Sign in to the Kotak Mobile Banking App.
2. Go to Service Requests.
3. Select Credit Card Service Requests and then Card Controls.
4. Choose the credit card and enable international usage settings.
5. Confirm the request to activate international transactions.

3. SMS

1. From the registered mobile number, send: CCINTLON Last 4 digits of your Kotak Mahindra Bank Credit Card Number
2. Send the SMS to 9971056767 or 5676788.
3. Wait for confirmation from the bank regarding activation of international usage.

Note: International transaction settings can usually be enabled or disabled as per the cardholder's instructions. Some card variants may also allow separate controls for ATM, online, and merchant transactions.

The processing time for international transfers using Kotak Mahindra credit cards can vary depending on the type of transaction:

• International Purchases

These transactions are generally authorised instantly at the point of sale or ATM

• Funds Transfers or Remittances

The exact time depends on factors such as the currency being transferred and the destination country

Please note that while purchases abroad are processed quickly, international remittances may require additional processing time.