How To Avoid Fuel Surcharge On Credit Card
To avoid fuel surcharge on a credit card, you can use specific methods or choose the right cards that waive this fee. Here’s how to keep from paying extra when you use your credit card at fuel stations:
✅ How to Avoid Fuel Surcharge on Credit Cards
1. Use a Credit Card That Offers Fuel Surcharge Waiver
- Many cards offer fuel surcharge waivers (typically 1%).
- Make sure your card has this benefit—check your card’s terms under “fuel surcharge waiver” or “fuel benefit.”
2. Transact Within the Waiver Limit
- Most cards waive the fuel surcharge only for transactions within a specific range, such as ₹400 to ₹5,000 (India) or $1 to $100 (US).
- Stay within the eligible transaction amount range to qualify.
3. Use Partnered Fuel Stations
- Some cards waive the surcharge only at specific fuel brands (e.g., Indian Oil, Shell, ExxonMobil).
- Use your card at these partnered outlets.
4. Watch Out for GST/Taxes
- While the 1% fuel surcharge might be waived, GST or service tax on the surcharge may still apply.
- These small fees are often not waived, but using a good card still minimizes your total cost.
5. Opt for Co-Branded Fuel Credit Cards
- Cards like:
- IndianOil Citi Card
- BPCL SBI Card
- ICICI HPCL Coral Card
- Shell Fuel Rewards Mastercard (US)
- These offer full waiver + additional cashback or rewards at selected pumps.
6. Use Debit Cards or UPI for Small Transactions
- For minor refueling amounts, debit cards or UPI (in India) typically don’t attract surcharges.
7. Keep an Eye on Reward Redemption
- Some credit cards offer reward points instead of a direct waiver, which you can redeem later. Track and use those.
✅ Summary:
| Tip | How it Helps |
|---|---|
| Use the right card | Waives surcharge at approved stations |
| Stay within limits | Eligible only within set transaction ranges |
| Swipe at right locations | Many waivers are partner-specific |
| Co-branded fuel cards | Offer best savings and added benefits |