SBI Credit Card International Charges Explained

More and more Indians are travelling abroad these days. Visa applications from India grew by 11% in 2024, even surpassing pre-pandemic levels. And there was a 32% increase in people taking 2 or more international trips per year between 2023 and 2024. 

However, before you get too busy ticking off that international vacation from your bucket list, here's something you should know—every time you swipe your credit card abroad, you're paying more than just the currency exchange difference.

These extra charges are called international transaction fees. They may seem small at first, but they pile up with every swipe. By the time you return home, you might find that you've spent way more than you planned, all because of these extra fees.

The good news? You don't have to worry about them! With the best SBI credit cards for international usage, you can enjoy lower foreign transaction fees and even earn rewards for spending abroad. 

In this article, we will cover all you need to know about international transaction charges and how you can reduce the burden of spending abroad with the right credit card. Ready? Let's go!

Table of Contents

• Understanding SBI International Transaction Charges
• How to Activate SBI Card for International Transactions
• Best SBI Credit Cards for International Usage

Understanding SBI International Transaction Charges

Picture yourself on a vacation in Dubai, enjoying the sights, and you decide to treat yourself to a fancy breakfast. You enjoy a spread of pancakes, fresh juices, and Arabic coffee, feeling like royalty. The bill arrives: AED 500. You quickly do the match mentally (AED to INR… should be around ₹23.7 per AED), so you expect to pay ₹11,850.

You confidently swipe your SBI credit card, thinking, "That was a bit pricey but worth it."
Fast-forward to when your credit card statement arrives—and surprise! The amount isn't what you expect. Instead of ₹11,850, you've been charged a few hundred rupees more. 

That extra charge you see piles up every time you use your credit card abroad. Let's break it down so you don't get caught off guard.

1. Foreign Currency Transaction Fee

When you make a payment in a foreign currency (like AED, USD, or EUR), your bank doesn't just convert the amount to INR; it also charges a fee for processing the transaction. This is called the foreign currency transaction fee, and it varies depending on your SBI credit card:

• Most SBI Cards: 3.5% 
• SBI Card Miles: 3% 
• SBI Card Miles Prime: 2.5% 
• SBI Card Elite, SBI Aurum & SBI Card Miles Elite: 1.99% (lowest fee)

Now, let's see how this applies to your breakfast bill. You thought your meal would cost ₹11,850, but here's how much you end up paying:

• Regular SBI card (3.5% fee): ₹11,850 + ₹414.75 (fee) = ₹12,264.75
• SBI card Miles (3% fee): ₹11,850 + ₹355.5 (fee) = ₹12,205.5
• SBI card Miles Prime (2.5% fee): ₹11,850 + ₹296.25 (fee) = ₹12,146.25
• SBI card Elite, SBI Aurum & SBI Card Miles Elite (1.99% fee): ₹11,850 + ₹253.815 (fee) = ₹12,085.81

Sure, a few hundred rupees may not seem like much for one meal, but imagine swiping your card multiple times for hotels, shopping, and activities—the costs quickly add up. And even if you cancel the purchase or get a refund, this fee is non-refundable. 

2. Currency Conversion Markup Fee

Now, let's say the cafe waiter asks, "Would you like to pay in INR instead of AED"? You might think, "Oh, perfect! No conversion fee then". However, choosing INR still triggers a markup fee.

This is the dynamic & static currency conversion markup fee, and it applies to transactions ₹1,000 or more. It follows the same structure as the foreign transaction fee.
So, even if you choose to pay in INR, SBI will still apply an extra fee, costing you ₹250 to ₹450 more.

One more thing to keep in mind: the exchange rate you see today might not be the one you actually get. When you swipe your SBI credit card abroad, the final amount in INR is determined by Visa or Mastercard on the day they process the transaction, not the day you made the purchase. Since exchange rates keep changing, this means you could end up paying a little more (or less) than expected by the time it reflects on your statement. So, don't be surprised if the numbers don't match exactly.

How to Activate SBI Card for International Transactions

So, you've booked your flights, packed your bags, and have your travel itinerary set to go. You think you are all ready, but before you start swiping your credit card abroad, there's one crucial thing you need to do: activate international transactions on your card.

Well, here's the thing—your SBI credit card might not be activated for international transactions by default. And if you don't change it before your trip, you could end up stranded with a useless card in a foreign country. 

Luckily, turning on international transactions is super easy and takes just a few minutes. You can do it via the SBI Card app, website, or chatbot (ILA). Here's how!

1. Activate international transactions via the SBI Card app: If you're glued to your phone (like most of us), using the SBI Card app is the quickest way to enable international transactions. Here's what you have to do:

• Step 1: Open the SBI Card app and log in with your credentials
• Step 2: Tap on "Manage Card Usage" from the menu
• Step 3: Select "Manage Card Transactions" to see all the transaction settings
• Step 4: Look for "International Transactions" and switch it “ON”
• Step 5: Set a custom transaction limit based on your needs (this is optional)
• Step 6: Verify your request by entering the OTP sent to your registered mobile number

That's it; your card is now ready for international use.

2. Activate international transactions via the SBI Card website: If you're more comfortable using a desktop, then you can activate international usage through the SBI Card website in just a few clicks. Here's how:

• Step 1: Go to the SBI Card website and log in to your account
• Step 2: Click on "Menu" and select "Manage Card Usage"
• Step 3: Select "Manage Card Transactions" to access your settings
• Step 4: Find "International Transactions" and toggle it “ON”
• Step 5: Set a spending limit if you want to stay within a budget
• Step 6: Verify your request by entering the OTP sent to your registered mobile number

Your card is now activated for global spending.

3. Activate international transactions via SBI chatbot (ILA): If you like a more interactive approach, you can use ILA, SBI's virtual assistant, to enable international transactions:

• Step 1: Open the ILA chatbot on the SBI Card website
• Step 2: Type "Manage Card Usage" in the chat and hit enter
• Step 3: Log in to your SBI Card account when prompted
• Step 4: Select "International Transactions" and slide the toggle "ON"
• Step 5: Set a transaction limit if needed
• Step 6: Confirm using the OTP sent to your registered mobile number

Done! Your card is now ready for you to use it worldwide. 

Once you've activated international transactions, try making a small online purchase in a foreign currency (like booking a train ticket or subscribing to a global service). If the payment goes through, you're all set for your trip.

Best SBI Credit Cards for International Usage

Travelling abroad is exciting, but unexpected credit card fees? Not so much. Foreign transaction charges can eat into your budget, making every swipe costlier than you planned. 

The good news? SBI offers credit cards that help you save on international transactions, earn rewards on global spending, and even enjoy premium travel perks like lounge access. Here are some of the best of them:

1. SBI Card Miles:

SBI Card Miles is designed for travellers who want to make the most of their international spending with a lower forex markup and rewarding travel benefits.

Fees and charges:

• Joining fee: ₹1,499 (one-time)
• Renewal fee: ₹1,499 per year

Why it's great for international spending:

• Foreign currency markup of just 3% on international transactions.
• Earn 2 travel credits per ₹200 spent on travel and 1 per ₹200 on all other spends, which can be redeemed for air miles, hotel stays, and travel bookings.

Other benefits:

• Complimentary Priority Pass membership for access to over 1,000 international airport lounges worldwide worth $99 (~₹8,613).
• 4 complimentary domestic airport lounge visits every year (maximum of 2 per quarter).
• 1% fuel surcharge waiver across all petrol pumps in India (maximum waiver of ₹250 per statement cycle).
• 1,500 travel credits as a welcome gift on spending ₹30,000 within 60 days of card issuance.
• 5,000 bonus travel credits on annual spending of ₹5 lakh
• Additional domestic lounge visit for every ₹1 lakh spent, maximum of 8 extra visits per year

With the SBI card Miles, international travel becomes more rewarding and cost-effective.

2. SBI Card Miles Elite

SBI Card Miles Elite is a premium travel credit card designed for frequent flyers who want to maximise rewards and enjoy exclusive travel benefits.

Fees and charges:

• Joining fee: ₹4,999 (one-time)
• Renewal fee: ₹4,999 per year

Why it's great for international spending:

• Low foreign currency markup of just 1.99%.
• Complimentary Priority Pass membership worth $99 (~₹8,613).
• 6 complimentary international lounge visits per year (maximum 2 per quarter).
• 6 travel credits for every ₹200 spent on travel and 2 for every ₹200 spent on all other purchases.

Other benefits:

• 5,000 travel credits as a welcome gift on spending ₹1 lakh within 60 days of card issuance.
• 20,000 bonus travel credits on annual spending of ₹12 lakh.
• 8 complimentary domestic airport lounge visits per year (maximum 2 per quarter).
• Additional domestic lounge visits for every ₹1 lakh spent, with a maximum of 8 extra visits per year.
• Flight cancellations cover up to ₹3,500 per cancellation, valid for up to 6 cancellations per year.
• Lost card liability covers up to ₹1 lakh.
• Air accident insurance cover of ₹1 crore.
• 1% fuel surcharge waiver at all petrol pumps, with a maximum waiver of ₹250 per month.

With a low forex markup, generous travel rewards, and premium lounge access, the SBI card Miles Elite may be the perfect travel companion.

3. SBI Card Elite

The SBI Card Elite is designed for those who enjoy luxury, travelling and being rewarded for spending money. 

Fees and charges:

• Joining fee: ₹4,999 (one-time)
• Renewal fee: ₹4,999 per year

Why it's great for international spending:

• Low forex markup of just 1.99%.
• Complimentary Priority Pass membership worth $99 (~₹8,613), providing access to 1,000+ international airport lounges.
• 6 complimentary international airport lounge visits per year (maximum 2 per quarter).
• Earn 2 reward points for every ₹100 spent on international transactions.

Other benefits:

• 4 complimentary domestic airport lounge visits per year (maximum 2 per quarter).
• ₹5,000 welcome e-gift vouchers, with brand options like Yatra, Bata, Pantaloons, Aditya Birla Fashion, and Shoppers Stop.
• Free movie tickets worth ₹6,000 per year (maximum ₹250 per ticket, for 2 tickets per month).
• Up to 50,000 bonus reward points worth ₹12,500 per year, based on spending milestones.
• Annual fee waiver on spending ₹10 lakh per year.
• 5X reward points on dining, departmental stores, and grocery purchases.
• 2 reward points per ₹100 spent on all other purchases (except fuel).
• 1% fuel surcharge waiver across all petrol pumps, with a maximum waiver of ₹250 per month.

With premium travel perks, high reward earnings, and a low forex markup, the SBI card Elite is a possible great choice for frequent travellers.

Conclusion

While you're busy planning itineraries and picking the perfect Airbnb, don't forget about the one thing that can make or break your travel budget—your credit card. Those hidden foreign transaction fees can sneak up on you, turning that dream vacation into a pricier affair than expected.

Luckily, you don't have to settle for paying extra. With the right SBI credit card, you can cut down on forex fees, earn travel rewards, and enjoy premium perks like lounge access and travel insurance.

That's why picking the right credit card is so important. But let's be honest—who has the time to sift through all the options? That's where Finology Select comes in to make your life easier. With 90+ credit cards to compare and choose from, you can find the perfect travel companion in no time.

FAQ

1. What are SBI credit card international transaction charges?

SBI credit card international transaction charges apply whenever you make a purchase in a foreign currency using your SBI credit card. These include a foreign currency transaction fee, which varies by card type and is applicable to both in-store and online purchases made outside India.

2. How can I check and manage my SBI credit card international transaction charges?

To monitor and control SBI international transaction charges, you can use the SBI Card app or website. This allows you to track SBI credit card international online transaction charges and prevent unwanted fees.

3. Do SBI Bank international transaction charges apply if I pay in INR abroad?

Yes, even if you choose to pay in INR while shopping internationally, SBI global card international transaction charges still apply. SBI will still charge an additional currency conversion markup fee, which can range from 1.99% to 3.5% based on your card type. 

4. Do SBI international transaction charges apply for foreign website purchases?

Yes, SBI credit card international online transaction charges apply when you shop on foreign e-commerce websites. The forex markup depends on your SBI card type, so choosing a travel-friendly card with a low markup can help reduce international transaction charges (SBI).

5. Which SBI credit card has the lowest international transaction charges?

If you want to minimise SBI global card international transaction charges, opt for a travel-focused SBI credit card. The best options include:

• SBI Card Miles Elite & SBI Card Elite: 1.99% forex markup
• SBI Card Miles Prime: 2.5% forex markup
• SBI Card Miles: 3% forex markup
• Most other SBI Cards: 3.5% forex markup