IDFC FIRST Bank keeps 0% forex markup — and restores rewards on international spends
IDFC FIRST Bank introduced Zero Forex Markup on all credit cards from 9 September 2026. A same-week letter had said rewards would not apply on forex spends. Fresh communication dated 13 September 2026 restores cashback and reward points on eligible international transactions — so cardholders get both 0% markup and earn.
On 9 September 2026, IDFC FIRST Bank removed forex markup on all credit cards and, in that same announcement, said cashback or reward points would not apply on forex spends because markup was waived. Four days later — letters dated 13 September 2026 — the bank changed course: customers should get both zero markup and earn on international purchases.
There are two parallel letters. The cashback letter restores cashback on eligible international transactions. The rewards letter restores reward points the same way. Both still stress Zero Forex Markup versus the usual ~3.5% markup on many Indian cards.
That combination — 0% issuer FX fee plus earn as applicable for your card — makes IDFC FIRST much more interesting for overseas travel, foreign websites, and international subscriptions.
What the bank said on 9 September — and what changed
- 9 September 2026: Zero Forex Markup on all IDFC FIRST Bank credit cards; that letter also said rewards/cashback would not apply on forex.
- 13 September 2026: Bank says it reflected on the proposition and wants customers to enjoy earn on international purchases as well.
- Cashback cards: cashback continues on eligible international transactions.
- Rewards cards: reward points continue as applicable for the respective cards on international transactions.
What Zero Forex Markup actually means
A forex markup is the extra percentage your issuer adds when a spend is billed in a currency other than INR. Typical Indian credit cards still charge around 3.5% (plus GST on that fee). Zero markup means the bank does not add that line. You still pay the Visa or Mastercard settlement rate into rupees — that network FX is not the same as issuer markup.
On a ₹1 lakh international spend, 3.5% markup is about ₹3,500 before GST on the fee. That is the “up to 3.5%” saving in the earlier mail. Cards that were already cheap on FX (IndiGo at 1.49%, Select at 1.99%, Wealth at 1.5% + GST) save less in rupees, but the whole portfolio is now at the same 0% floor.
Which cards are covered
Zero Forex Markup applies on all IDFC FIRST Bank credit cards — new issues and about 5 million existing cards. The bank’s forex-benefits page lists FIRST Classic, Millennia, Select, Wealth, Ashva, Mayura, Diamond Reserve, HPCL Power / Power+, IndiGo IDFC FIRST Dual, FIRST WOW!, WOW! Black, Quantum+, Hello Cashback, FIRST EARN, and LIC Classic / Select among others. Existing holders are included; you do not need to upgrade or hit a spend gate.
| Card (published before this change) | Old forex markup |
|---|---|
| IndiGo IDFC FIRST Dual | 1.49% |
| FIRST Select | 1.99% |
| FIRST Wealth | 1.5% + GST |
| FIRST Classic / Millennia / EARN / Quantum+ | 3.5% |
| HPCL Power / Power+ / FIRST SWYP | 3.5% |
| FIRST WOW!, WOW! Black, Diamond Reserve, Gaj, FIRST Private | Already 0% |
Those older published rates are why the saving is “up to” 3.5%. If you already held WOW! or Diamond Reserve, markup was not the gap. If you held Classic, Millennia, EARN, HPCL, or Quantum+, this is a large overnight cut. Browse IDFC FIRST cards on this site via Travel & forex cards and the IndiGo IDFC FIRST card page.
What spends count
The bank’s international-spend framing covers travelling overseas, shopping on international merchants, paying for subscriptions, and making fee payments billed in foreign currency — described as every international transaction for Zero Forex Markup. The 13 September letters say earn continues on those international purchases as applicable for your card.
- Travelling overseas (POS, hotels, restaurants, local transport billed in foreign currency).
- Shopping on international merchants (foreign websites charged in USD, EUR, GBP, AED, and so on).
- Paying for subscriptions (Netflix, iCloud, ChatGPT, and other foreign billers).
- Making fee payments billed in foreign currency.
On the IndiGo dual-card kit, the Mastercard is the one that typically works abroad. The RuPay card is mainly domestic and UPI. Enable international usage on the Mastercard before you fly.
Do not let DCC eat the saving
Zero issuer markup does not protect you from Dynamic Currency Conversion. If a terminal or website offers to charge you in INR “for convenience,” that INR amount usually embeds a poor exchange rate — often worse than a 3.5% markup. Always pay in the local currency. Read How to avoid DCC abroad and What is DCC?.
How to use it
- In the IDFC FIRST Bank app or net banking, open Card Controls and turn on International Transactions.
- Abroad or on a foreign site, pay in the local currency — never the INR conversion prompt.
- After the first overseas swipe, check the statement: the forex-markup line should be missing or show 0%, and cashback or points should post as your card allows.
- Keep the 13 September letters and your MITC handy if a statement looks off.