IndianOil Kotak Credit Card Review 2026: 4% Back on IndianOil Fuel, 2% on Groceries and Dining, Fees
The IndianOil Kotak is a ₹449 fuel co-brand that pays 4% back in Reward Points on IndianOil fuel spends, 2% on grocery and dining, and 0.5% on everything else. Kotak markets it as "5% savings on IndianOil fuel" — which is 4% in points plus a 1% surcharge waiver, and its own footnote says so.
Two caps decide whether the card is worth holding, and both are tight.
Quick Overview
| **Card type** | Fuel co-brand |
|---|---|
| **Joining / annual fee** | ₹449 + GST. Annual fee waived on **₹50,000** in the previous anniversary year |
| **Add-on card** | **Free** |
| **Network** | Visa and RuPay |
| **IndianOil fuel** | **4%** — 24 Reward Points per ₹150, capped at **1,200 points (₹300) a cycle** |
| **Grocery and dining** | **2%** — 12 Reward Points per ₹150, capped at **800 points (₹200) a cycle** |
| **Everything else** | 0.5% — 3 Reward Points per ₹150 |
| **Point value** | ₹0.25 catalogue / ₹0.20 cash |
| **Welcome** | 1,000 Reward Points (₹250) on a single ₹500 transaction in 30 days |
Reward Structure
| Spend | Reward Points per ₹150 | Rate | Monthly cap |
|---|---|---|---|
| **IndianOil fuel** | 24 | **4%** | 1,200 points (₹300) |
| **Grocery and dining** | 12 | **2%** | 800 points (₹200) |
| Everything else eligible | 3 | **0.5%** | Uncapped |
| Excluded categories | 0 | 0% | — |
A point is worth ₹0.25, and Kotak's own caps prove it: it describes 1,200 points as ₹300 and 800 points as ₹200. Both work out at exactly 25 paise. Cash redemption fell to ₹0.20 on 1 June 2025.
The caps bind early
| Category | Cap | Binds at |
|---|---|---|
| IndianOil fuel | 1,200 points a cycle | **₹7,500** of fuel spend |
| Grocery and dining | 800 points a cycle | **₹10,000** of such spend |
Fill up more than about ₹7,500 a month at IndianOil and the excess earns nothing. For a daily commuter that's roughly one tank a week — reachable.
The fuel surcharge waiver caps even earlier: ₹100 per statement cycle, which is ₹10,000 of qualifying fuel spend.
Kotak doesn't publish what accrues past either cap. This review assumes nothing does.
The grocery and dining MCC list — published in full
Unusually, Kotak names the exact codes: 5812, 5814, 5813, 5411, 5311, 5399, 5422, 5451, 5499 and 5441 — restaurants, fast food, bars, grocery stores, department stores, general merchandise, freezer and meat lockers, dairy, miscellaneous food stores and confectionery.
Most Kotak cards name categories in words and leave you guessing. This one doesn't.
Two things that turn 4% into 0.5%
1. Paying by UPI. All credit-card-on-UPI transactions earn 0.5% across every spend category, including the accelerated ones. Scan a QR code at the pump and your 4% becomes 0.5% — and the fuel surcharge waiver doesn't apply to UPI either.
2. Filling up anywhere other than IndianOil. The 4% applies only at IndianOil outlets. Shell, BPCL and HPCL earn the 0.5% base rate. Kotak's pump locator is at locator.iocl.com.
Both of these are invisible to any calculator working from merchant category codes alone, because both are conditions MCC can't express.
The Fuel Surcharge Waiver — unusual at both ends
1% on transactions between ₹100 and ₹5,000, capped at ₹100 per statement cycle, only at IndianOil outlets.
- The ₹100 transaction floor is the lowest in Kotak's range. Most cards start at ₹400 or ₹500, so small fills don't qualify. Here they do.
- The ₹100 monthly cap is the tightest in the range. Most cards cap at ₹2,500–₹10,000 a year; this one is ₹1,200 a year at best.
- Not applicable on UPI transactions.
Kotak adds the 4% and the 1% together and calls it 5%. Its own footnote confirms the arithmetic: "5% savings is calculated as 4% back in the form of Reward points and 1% back as Fuel Surcharge waiver."
A carve-out worth knowing about
Every other Kotak card charges a 1% fee on cumulative fuel spend above a threshold — ₹25,000 to ₹50,000 a statement cycle depending on the card.
The MITC exempts this one by name: the fuel transaction fee is "Not applicable on ... IndianOil Kotak Credit Card."
On a fuel co-brand, that exemption matters more than it would elsewhere. Heavy fuel spend here earns nothing past ₹7,500 a cycle — but it also costs nothing.
Welcome Benefit
1,000 Reward Points on a single transaction of ₹500 or more within 30 days of issuance.
At ₹0.25 a point that's ₹250, and it's available only on the variant that charges a joining fee.
The June 2025 revision
| Category | Reward Points earned |
|---|---|
| Utility | Up to **₹35,000** per statement cycle |
| **Education, insurance, government, wallet loading, rent, online skill-based gaming** | **Nothing at any level** |
Fuel is conspicuously absent from that list — because it's the card's accelerated category.
Fees and Charges
| Charge | Amount |
|---|---|
| Joining / annual fee | ₹449 + GST each — annual waived on **₹50,000** in the previous anniversary year |
| **Add-on card** | **Free** |
| Finance charges | 3.75% per month (45% per annum) |
| Interest-free period | Up to 51 days |
| Cash advance fee | 2.5% of the amount, minimum ₹500 |
| Forex markup | 3.50% |
| Late payment | Nil up to ₹100, rising in slabs to ₹1,300 above ₹50,000 |
| Over-limit | ₹500 |
| Rent payment fee | 1% + GST on MCC 6513 |
| Utility fee | 1% above ₹35,000 per statement cycle |
| **Fuel fee** | **Not applicable** |
| Fuel surcharge waiver | 1% on ₹100–₹5,000 at IndianOil outlets, capped at **₹100 per statement cycle** |
| **Railway surcharge waiver** | **Not eligible** |
₹50,000 a year is ₹4,200 a month — easily cleared.
Add-on cards are free, carry all the primary card's benefits, can be given their own spend limit, and have their spends tracked separately.
The RuPay variant adds a personal concierge line on 1800-26-78729.
No lounge access, and no railway surcharge waiver.
Worked Example
A commuter spending ₹7,500 a month at IndianOil, ₹10,000 on groceries and dining, and ₹15,000 on everything else:
| Source | Monthly | Points | Monthly value |
|---|---|---|---|
| IndianOil fuel at 4% | ₹7,500 | 1,200 (at cap) | ₹300 |
| Grocery and dining at 2% | ₹10,000 | 800 (at cap) | ₹200 |
| Everything else at 0.5% | ₹15,000 | 300 | ₹75 |
| Fuel surcharge waiver | — | — | ₹100 (at cap) |
| **Monthly total** | **₹32,500** | **2,300** | **₹675** |
| **Annual** | **₹3,90,000** | **₹8,100** |
Plus ₹250 of welcome benefit in year one, with the ₹449 fee waived at ₹50,000. That's 2.1% on ₹3.9 lakh — strong for a ₹449 card.
Note that this example sits exactly at all three caps. Spend more in any of those categories and the marginal rate on the excess is 0% (fuel, grocery/dining) or 0.5% (base). The card is designed for a specific spend profile and doesn't scale past it.
Who Should Get the IndianOil Kotak Credit Card
Good fit if:
- You fill up at IndianOil specifically, and spend roughly ₹7,500 a month there
- You spend around ₹10,000 a month on groceries and dining
- You pay at the pump with the card, not by UPI
- You redeem on the catalogue rather than for cash
Look elsewhere if:
- You fill up wherever is convenient — the 4% applies only at IndianOil
- You pay by UPI out of habit — that drops you to 0.5% and voids the surcharge waiver
- Your fuel spend is well above ₹7,500 a month — the excess earns nothing
- Your spend is concentrated in education, insurance, government, rent or wallet loads — all zeroed
Frequently Asked Questions
What's the fee? ₹449 + GST for both joining and annual, with the annual fee waived on ₹50,000 of spend in the previous anniversary year. Add-on cards are free.
Is it really 5% on fuel? It's 4% in Reward Points plus a 1% fuel surcharge waiver, at IndianOil outlets only. Kotak's own footnote spells out the arithmetic.
What are the caps? 1,200 Reward Points (₹300) per statement cycle on IndianOil fuel, binding at ₹7,500 of fuel spend, and 800 points (₹200) on grocery and dining, binding at ₹10,000. The surcharge waiver caps at ₹100 per statement cycle.
Does it work at other petrol pumps? Not at the accelerated rate. Non-IndianOil fuel earns the 0.5% base rate. Find IndianOil outlets at locator.iocl.com.
Does UPI earn 4% on fuel? No. All credit-card-on-UPI transactions earn 0.5%, across every category, and the fuel surcharge waiver doesn't apply to UPI either.
Which grocery and dining merchants qualify? Kotak publishes the MCC list in full: 5812, 5814, 5813, 5411, 5311, 5399, 5422, 5451, 5499 and 5441.
What's a point worth? ₹0.25 on the Kotak Rewards catalogue and ₹0.20 in cash since 1 June 2025. Kotak's own caps confirm it — 1,200 points described as ₹300.
What's the welcome benefit? 1,000 Reward Points (₹250) on a single transaction of ₹500 or more within 30 days of issuance, on the joining-fee variant only.
Is there a fuel transaction fee? No. The MITC exempts this card by name from the 1% fuel fee that every other Kotak card charges above a threshold.
Is there lounge access or a railway waiver? No to both.
Fees, rates and benefits verified against the IndianOil Kotak Credit Card product page, its FAQ page, the IOCL Kotak launch offer T&C and the Kotak credit-card MITC, as at 23 September 2026. The 4% rate applies only at IndianOil outlets, which is a merchant condition that merchant category codes cannot express — any calculator working from MCCs alone will overstate the card for fuel bought elsewhere.
Cards Mentioned in This Article
