ICICI Bank to increase DCC on debit cards: What is it and how will it impact customers?

ICICI Bank has reportedly increased the Dynamic Currency Conversion (DCC) charges on debit card transactions from the current 1% to 3.5% of the transaction value.

Several ICICI Bank customers on Tuesday, May 19, 2026, shared screenshots of an official communication from the bank regarding increased DCC. However, the bank has not yet issued any statement on the proposed hike in DCC.

Multiple news websites have also reported the proposed hike.

Reports say that the higher revised charges will come into effect from June 21, 2026.

What is DCC?

DCC is a payment functionality that helps cardholders in transacting in their home currency as against the local foreign currency when making any international transaction. For example, when making any purchase at overseas retail outlets, customers get a choice to complete the payment in Indian rupees instead of other currencies like dollar etc. So, this is an extra charge added when you prefer to complete the payment in your home currency.

The new higher DCC charges mean ICICI Bank customers will now have to incur a higher fee on some cross-border transactions even when the transaction is completed in Indian rupees.

Consequently, going forward all eligible transactions completed in Indian rupees with Indian merchants registered internationally or at international locations will attract a higher DCC fee.

With the revised higher charges in place, ICICI Bank debit cardholders choosing DCC for making international transactions will have to bear a higher cost beginning June 21, 2026. This said they now need to review payment choices diligently-specifically the choice with regard to the billing currency as a hike from 1% to 3.5%, marks a significant increase in charges on eligible transactions.

For enabling international transactions on your debit card follow the steps below

1. Login into your net banking account using your credentials
2. Choose the ‘Cards’ option from the main menu. Click on the debit card option.
3. Select the ‘Manage debit card limits’ option
4. Now select your account and debit card
5. Click on ‘International’ for enabling international transactions and set the limit in respect of the maximum transaction amount.