What is a fuel surcharge waiver on a credit card?

Summary: Fuel surcharge waivers on credit cards eliminate the excess charges on fuel purchases. Several credit cards in India offer fuel surcharge waivers. Find out here!

12 Feb 2026 by IDFC FIRST Bank

Apply Now

Several credit cards in India offer fuel surcharge waivers. Let s examine what fuel surcharge waiver is and how you can avail it.

Credit cards have revolutionised online payments and digital banking. Along with security, credit cards come with numerous offers and rewards on your expenses. However, some financial transactions also include a fee such as purchasing fuel or paying for a product or service. This charge is commonly known as a surcharge.

When using your credit card for fuel purchases, you usually pay a higher fee due to surcharges. But several banks offer fuel surcharge waivers on credit cards to make it convenient. Let us dive into the details of fuel surcharges on a credit card and how to avail of them.

Everything you need to know about the Credit Card over-limit facility

Expecting your first salary? Here’s why it’s time to get a credit card

What does a fuel surcharge on a credit card mean?

Petroleum and fuel industries work differently with transactional charges. Whenever you pay for a fuel purchase at a petrol station, you must pay an additional charge known as a fuel surcharge. Petroleum corporations are not entitled to pay any transactional fee, so this charge is borne by the credit card holder. The banks collect these charges on your behalf.  

Fuel surcharge waivers on credit cards are not discounts, but they eliminate the excess charges on fuel purchases.

However, cardholders may not want to pay an excessive fee. So, several banks offer fuel surcharge waivers on their credit cards to deal with the higher charges. You can track your fuel surcharge waiver in your monthly bills. The waiver can range between 1% to 3% and some banks also offer cashback. To avail of the offers, you need to satisfy certain criteria such as minimum fuel expenditures, etc.

Among the top banks, IDFC FIRST Bank credit cards offer a 1% fuel surcharge waiver of transactional value capped at ₹400 per statement. In addition, you also get up to 10X rewards on your credit card expenses and a range of offers from various brands and outlets.

Important things to remember about fuel surcharge waivers on a credit card

While a fuel surcharge waiver is an added benefit for credit cardholders, there are some terms and conditions to fulfil. So, here are the key things to remember about the fuel surcharge waiver.

Fuel surcharges are usually around 1% to 3% of the transaction amount.
Every bank has a pre-specified amount that is eligible for a fuel surcharge waiver. You can find surcharges and waivers in credit card terms and conditions.
Usually, you must spend anywhere between ₹400 to ₹4000 to enjoy the benefits.
It is crucial to understand that a fuel surcharge waiver is not a discount on fuel purchases. Instead, it reduces the extra cost of using your credit card at fuel stations.

Credit cards can help you save big on your daily shopping, grocery shopping, entertainment, and lifestyle spending. Fuel is a considerable expense for vehicle owners. A fuel credit card with a fuel surcharge waiver can help you eliminate excess charges while still earning rewards and cashback on your spending. However, you need to ensure that your bank does not exclude fuel purchases from reward-earning expenses and meet the minimum spending criteria to avail of these fuel surcharge benefits.

Also, you can easily make UPI payments at any fuel station with the IDFC FIRST Mobile Banking App.

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.

The features, benefits and offers mentioned in the article are applicable as on the day of publication of this blog and is subject to change without notice. The contents herein are also subject to other product specific terms and conditions and any third party terms and conditions, as applicable. Please refer our website www.idfcfirst.bank.in for latest updates.