Traveling with a Forex Card? Here’s What You Need to Watch Out For

A forex card is a convenient and cost-effective way for travellers to manage expenses abroad. Compared to carrying cash, a forex card offers better exchange rates, security, and lower transaction fees. Travelling abroad is exciting, and prepaid Forex cards are a quick and convenient way to pay when exploring a new country. But, they come with fees, some of which may be less obvious than others, varying based on the card and bank.

Understanding how these fees are levied can help you plan how to spend smarter, avoid financial surprises, and stretch your travel budget. So, let’s dive in so you can make the most of your card benefits.

• Initial load/reload fee: After you’ve got your Forex card and want to load it with a currency of your choice, some banks levy a charge for it, as well as when you reload your card any consecutive time.

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• Currency conversion markup: Banks and payment networks (Visa, MasterCard, etc.) apply a currency conversion markup over the actual exchange or interbank rate. This fee varies across banks.
• ATM withdrawal & balance enquiry fees: ATM transactions, especially withdrawals, done abroad attract steep charges. To avoid this, plan your trip expenses and carry a backup form of currency or payment method.

• Inactivity fees: If your Forex card remains unused for an extended period, some banks charge an inactivity fee. The duration of inactivity that triggers this charge varies across banks.

• Refund/unload fees: Banks often levy a refund or unloading fee when you withdraw the remaining balance from your card or close the card. This can vary across banks depending on your card or the refund amount.

• Replacement fees: If you lose your Forex card, getting a replacement usually comes at a cost, which varies based on the delivery location–higher charges for internal locations and lower for locations within India.

How do forex rates affect your travel card?

Currency exchange rates directly affect the value you get when loading, spending, or converting currency on your Forex travel card. Keeping track of these rates can help you make informed decisions and manage travel expenses better. For example, here’s a comparison of forex rates across leading banks.

Buy

Bank

Forex/Travel Card Top-up

Cash

SBI

86.32

86.6

Bank of Baroda

86.60

87.05

Canara Bank

86.3554

NA

IndusInd Bank

88.03

88.33

Kotak Bank

87.62

88.19

HDFC

87.53

87.98

ICICI

87.40

89..03

Axis Bank

NA

87.65

Yes Bank

88.19

88.19

Thomas Cook

86.0575

87.4525

Note: Data collected from the website of respective entities as of 26 Mar 2025; Rate mentioned in the table denotes INR/USD. The rate is as mentioned on the website of the Bank/FI and it may vary according to different amount slab. Compiled by BankBazaar.com.

For security, ensure that you memorise your PIN, do not share card details, and report any loss immediately. Most forex cards have a mobile app that allows you to track transactions, reload funds, and block the card if necessary. Keeping customer care numbers handy can also be useful in case of any emergencies. To avoid being stranded in case of any issues, always carry a backup forex card or an international debit/credit card. While forex cards are reliable, technical glitches, loss or theft can happen anywhere in the world.

Forex cards are a convenient choice for international travel, and understanding their charges can help you plan expenses more effectively. Monitoring forex rates can further maximise the value of your money, ensuring you have a hassle-free trip without financial worries.