Paying for fuel is a big expense for a lot of people in India. Most fuel stations tack on an extra 1% if you pay with a credit card, though some companies will offer to wave the fee with certain cards, saving their users money on every trip. It discusses the best credit cards in India that let you save on fuel surcharges and also bring extra benefits at fuel stations.
Understanding Fuel Surcharge Waivers
A surcharge of 1% (in addition to taxes) is usually added by Indian oil marketing companies to cover the charges they pay to card networks when fuel is bought with credit cards. A fuel surcharge waiver on some credit cards saves you money as soon as you use them for fuel.
Comparison Table: Top Fuel Surcharge Waiver Credit Cards
| Credit Card | Annual Fee | Surcharge Waiver | Monthly Cap | Transaction Range | Total Value Back | Fee Waiver Threshold |
| IndianOil Axis Bank | ₹500 + GST | 1% | ₹50 | ₹400 – ₹4,000 | Up to 5% | ₹3.5 lakh annually |
| IndianOil RBL XTRA | ₹1,500 + GST | 1% | ₹200 | ₹500 – ₹4,000 | Up to 8.5% | Not specified |
| BPCL SBI Octane | ₹1,499 + GST | 1% | ₹100 | Up to ₹4,000 | Up to 7.25% | ₹2 lakh annually |
| ICICI HPCL Super Saver | ₹500 + GST | 1% | Not specified | Up to ₹4,000 | Up to 6.5% | ₹1.5 lakh annually |
| IndianOil Kotak | ₹449 + GST | 1% | ₹100 | ₹100 – ₹5,000 | Up to 5% | ₹50,000 annually |
Top Credit Cards for Fuel Surcharge Waiver
1. Indian Oil Axis Bank Credit Card: This card offers a total value-back of up to 5% on IOCL fuel purchases, making it suitable for moderate fuel spenders who prefer Indian Oil outlets. While its monthly surcharge waiver limit is lower than some competitors’, the additional benefits on online shopping and dining enhance its overall value.
- Annual Fee: ₹500 + GST
- Fuel Surcharge Waiver: 1% waiver, up to ₹50 per month on transactions between ₹400 and ₹4,000 at IOCL outlets
- Additional Benefits:
- 4% back as 20 EDGE reward points per ₹100 spent at IOCL outlets (up to 1,000 points monthly)
- Welcome benefit of EDGE points equivalent to first fuel spend (up to ₹250)
- 1% back on online shopping (up to 250 EDGE points monthly)
- 15% off on dining bills via EazyDiner (once a month)
- Annual fee waiver on spending ₹3.5 lakh annually
2. Indian Oil RBL Bank XTRA Credit Card: Despite its higher annual fee, this card offers the highest value-back percentage among fuel cards, making it ideal for high-volume fuel consumers. Regular users can save up to 250 litres of fuel annually with this card.
- Annual Fee: ₹1,500 + GST
- Fuel Surcharge Waiver: 1% waiver, up to ₹200 per month on transactions between ₹500 and ₹4,000
- Additional Benefits:
- 15 Fuel Points per ₹100 spent at IndianOil stations (up to 2,000 points monthly)
- Total value-back of up to 8.5% on IOCL fuel spends
- 3,000 Fuel Points as a welcome benefit
- 1,000 bonus points on quarterly spends of ₹75,000
Also read: SBI Aurum vs. HDFC Infinia: Which Luxury Card Is Really Worth It?
3. BPCL SBI Card Octane: You will earn valuable points for everyday spending, this card is great for people who want more rewards than just saving at the pump.
- Annual Fee: ₹1,499 + GST.
- Fuel Surcharge Waiver: Buyers of BPCL fuel can claim a 1% off their purchase at outlets across India, up to ₹100 per month for all transactions under ₹4,000.
- Additional Benefits:
- You earn 25 reward points on every ₹100 spent at BPCL pumps.
- You can earn rewards 10 times faster when you use your card for these purchases.
- Once each year, four times a year, you can be used to visiting a domestic airport lounge.
- If you spend ₹2 lakh a year, your fee is waived for one year.
4. ICICI HPCL Super Saver Credit Card: A unique advantage of this card is that it offers a fuel surcharge waiver on all fuel spends, not just at partner outlets, providing greater flexibility for cardholders.
- Annual Fee: ₹500 + GST
- Fuel Surcharge Waiver: 1% waiver on all fuel spends up to ₹4,000 per transaction
- Additional Benefits:
- 4% cashback (up to ₹200 monthly) on HPCL fuel spends
- 1.5% additional savings via the HP Pay app
- 5% back on grocery, departmental store, and utility bill payments
- Quarterly airport lounge access (with spending criteria)
5. Indian Oil Kotak Credit Card
- Annual Fee: ₹449 waived on spending INR 50,000 in the previous year
- Fuel Surcharge Waiver: 1% fuel surcharge waiver on transactions between ₹100 to ₹5000
- Additional Benefits:
- Save 4% as Reward Points on IndianOil Fuel Spends.
- Save 2% back as Reward Points on Grocery and Dining spends.
Conclusion
Credit cards that waive fuel surcharges help regular car users and commuters save a lot of money. If you do not use a lot of fuel, the IndianOil Axis Bank Credit Card is the best option, but if you regularly buy a lot, the IndianOil RBL Bank XTRA Card has better offers, even with its higher price. Anyone wanting to use multiple fuel brands can benefit from surcharge waivers at every outlet offered by the ICICI HPCL Super Saver Card. Decide on a card according to your usual fuel spending, your favourite fuel and any extra areas you spend.
Written by Promita Ghosal
