What is a zero-markup forex card?

A zero-markup forex card loads INR onto a multi-currency prepaid card at the live interbank mid-market rate, with no spread added by the issuer. BookMyForex was the first to offer it for retail customers; IDFC First Wow, Niyo Global, and a handful of others followed. You still pay a small one-time loading fee (typically ₹150–₹500) and 18% GST on that fee, but the actual FX conversion is at the real rate. Compared to a typical bank-issued forex card with 2.5–3.5% markup, the savings on a $5,000 trip are usually ₹10,000–₹15,000.

Does Wise work for sending money abroad from India?

Yes. Wise (formerly TransferWise) operates in the Indian outbound corridor under the RBI's Liberalised Remittance Scheme through a domestic collection partner. You initiate the transfer from the Wise app, pay in INR via NEFT / UPI / bank transfer, and Wise pays out in the destination currency at the real mid-market rate. The all-in fee is shown up front in INR and typically lands at 0.5–1.5% of the transaction depending on currency and amount — much smaller for INR / EUR / GBP corridors than for smaller-volume currencies. TCS applies to Wise transfers above the ₹10L annual LRS threshold just as it does to a bank wire.

What is forex markup?

Forex markup is the difference between the real interbank mid-market exchange rate and the rate your bank or card issuer actually gives you. If the mid-market USD/INR rate is ₹84 and your bank charges ₹86.50 per INR, the markup is ₹2.50 — roughly 2.97%. Markups are quoted as percentages: typical bank wires run 2–3%, standard bank forex cards run 2.5–3.5%, standard international credit cards run 3.5%, while Wise and zero-markup forex cards run 0%. The markup is almost always larger than the visible flat fee — a ₹500 fee on a ₹4 lakh transfer is 0.125%, while a 3% markup on the same transfer is ₹12,000.

Why is the bank wire fee so high?

A bank wire (SWIFT / Telegraphic Transfer) routes your payment through the SWIFT correspondent-bank network, where each intermediary bank may deduct a small fee. The sending bank charges its own flat fee (SBI ~₹500, HDFC / ICICI / Axis ~₹1,500), plus 18% GST on that fee. There's also an opaque exchange-rate markup of 2–3% above mid-market that's where the bank earns most of its profit. On top of that, the receiving bank may deduct $15–$50 from the credited amount, depending on the chosen 'OUR / SHA / BEN' charge code. For small transfers under ₹2 lakh, this fixed-cost stack often makes a wire the most expensive option by far.

Forex Comparison Calculator — Card vs Wire vs Wise

Forex Comparison

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Forex Card vs Bank Wire vs Wise Calculator

Compare total cost of sending money abroad across 4 channels: forex card, bank wire (SWIFT), Wise (mid-market), and credit card swipe abroad. Factors in markup %, GST, TCS, and per-transaction fee. Picks the cheapest option.

Reviewed by the CalculatorKosh Editorial TeamUpdated June 2026Free · No sign-up

Transaction Details

Amount in foreign currency

110000000

In USD

Currency

Mid-market rate (₹ per 1 unit)

₹

₹0.1₹1 K

Use Google's top-of-page rate or xe.com for an honest mid-market reference.

TCS rate (if applicable)

0%20%

Set 20% (general LRS), 5% (loan-funded education), or 0% if below ₹10L threshold.

Cheapest channel

₹4,20,590total

Saves ₹16,756 vs the most expensive option · Effective cost 0.14%

Base INR cost

₹4.2 L

Cheapest total

₹4.2 L

Most expensive total

₹4.4 L

Savings vs worst

₹16,756

4-channel comparison (sorted by total cost)

Channel	Markup	Fee	GST	TCS	Total ₹	₹/USD
Forex Card (zero markup)(cheapest)	₹0	₹500	₹90	₹0	₹4,20,590	₹84.12
Wise (mid-market)	₹0	₹2,100	₹0	₹0	₹4,22,100	₹84.42
Bank Wire (SWIFT)	₹10,500	₹1,500	₹2,160	₹0	₹4,34,160	₹86.83
International Credit Card(most expensive)	₹14,700	₹0	₹2,646	₹0	₹4,37,346	₹87.47

Per-channel breakdown

Trade-offs (not just the cheapest)

Forex card — best for travel + study; lock-in rate at load (good when rupee is weakening; bad when it's strengthening). Mostly accepted at PoS abroad; some online merchants reject prepaid cards.
Wise — best for one-time large transfers (tuition, vendor payment); uses real mid-market and the fee is shown up front. Slower than a card for in-store spending.
Bank wire — high fees but most "official" record; recipient bank may take an extra cut. Useful when you need a wire-trace document (legal, immigration).
Credit card — convenient but expensive on a standard card. Zero-forex cards (IDFC First Wow, Niyo Global, Fi Federal) flip this on its head and become the cheapest channel for most overseas spending.

Related calculator

Check TCS on this remittance →

Use the TCS Foreign Remittance Calculator to see what TCS rate applies and how much you can reclaim at ITR filing.

Cost stack by channel (Markup / Fee / GST / TCS)

Base INR cost (₹4,20,000) is excluded — bars show only the extra cost above the mid-market conversion.

How It Works

Sending or spending money abroad has four realistic channels — and the cost difference between the cheapest and most expensive can be ₹10,000–₹30,000 on a single trip-sized transaction. This calculator stacks all four costs (markup, flat fee, GST, TCS) side-by-side so the right pick is obvious for your specific amount, currency, and LRS situation.

The Four Channels

1. Forex Card — Prepaid multi-currency card loaded in INR up front. Zero-markup options (BookMyForex, IDFC First Wow, Niyo Global) lock in the mid-market rate at load; standard bank-issued cards add 2.5–3.5% markup. Loading fees typically ₹150–₹1,000. 18% GST on the markup + fee.

2. Bank Wire (SWIFT) — Direct telegraphic transfer from your bank account. Bank adds 2–3% to mid-market rate, charges a flat wire fee (₹500–₹1,500), and 18% GST on the fee. The receiving bank may also deduct $15–$50 from the credited amount.

3. Wise — Uses the real interbank mid-market rate with a transparent transfer fee (~0.5–1.5% all-in). Fee billed in source currency and not subject to GST. Best for medium-to-large one-time transfers in major currencies.

4. International Credit Card — Per-swipe convenience with a 3.5% forex markup plus 18% GST on the markup (~4.1% all-in). Zero-forex cards (IDFC First Wow, Niyo Global, Fi Federal) waive the markup and bring this down to near zero.

TCS on Outbound Remittances

Under the RBI's Liberalised Remittance Scheme (LRS), the cumulative outbound remittance per individual per financial year above ₹10 lakh triggers TCS — currently 20% for most purposes, 5% for education funded by loan, 5% (or 0–5% per Budget 2026) for education / medical. TCS is collected by the remitting bank or forex provider and reflected in your Form 26AS — you can claim it back at ITR filing. Credit-card swipes abroad are not directly TCS-collected at swipe under the current rules.

How To Use This Calculator

Enter the foreign-currency amount, currency, and the current mid-market rate (use Google's top-of-page rate or xe.com for an honest mid-market reference). Set TCS rate if you're above the ₹10L annual threshold. Tweak the per-channel markup, fee, and GST toggles in the advanced section to match your actual provider's spec.

Frequently Asked Questions

For most retail use-cases (travel, study-abroad semester fees, small business payments under ₹5L), a zero-markup forex card is the cheapest — the only cost is a one-time loading fee of ₹500–₹1,000 plus 18% GST on that fee, working out to roughly 0.1–0.3% of the transaction.

Wise comes next at ~0.5–1.5% all-in because the mid-market rate is real but the transfer fee is non-trivial. Bank wires (SWIFT) at 2.5% markup plus ₹1,500 fee land around 3–4% all-in. International credit-card swipes are usually the most expensive at ~4.1% (3.5% markup + 18% GST on the markup) unless you hold a zero-forex card like IDFC First Wow, Niyo Global, or Fi Federal — those bring credit-card cost down to almost zero.

The exception: if you're sending a very large amount that triggers 20% TCS and you can route a meaningful portion through credit-card spends (which aren't directly TCS-collected at swipe), the cheapest pick flips on you. Run your specific number through this calculator before committing.