The recent spotlight on FASTag, the primary toll payment method, arises from significant developments unfolding on two fronts. Firstly, the National Highway Authority of India (NHAI) has set a deadline for completing the Know Your Customer (KYC) process for FASTag users. Secondly, the buzz around Paytm’s FASTag services following a directive from the Reserve Bank of India (RBI) instructing the financial tech platform to cease its payments bank operations.
Here’s a complete overview of these developments and the necessary actions you need to take: –
- The NHAI noticed instances of multiple FASTags issued to a single vehicle and one FASTag being used by multiple vehicles. So, to streamline toll collection and eliminate these disruptions, NHAI has recently introduced the “One Vehicle, One FAStag” initiative.
- In this initiative, vehicle owners with multiple FASTags linked to a single vehicle number must ensure completion of the KYC process for the intended vehicle and discard all other issued FASTags.
- Initially set for January 31, the deadline for the FASTag KYC process has been moved to February 29, 2024.
- If KYC is not done before the deadline, the FASTag of your vehicle will be deactivated, even if it still has some balance left.
- If your vehicle has multiple FASTags registered with valid KYC, only the most recently purchased one will remain active, while the others will be blacklisted.
- Vehicle owners can complete the FASTag KYC process both online and offline.
Paytm FASTag Validity
As mentioned above, RBI has instructed Paytm to cease its payment bank services and discontinue accepting new deposits in existing accounts and wallets after February 29. Following this development, vehicle owners who utilise Paytm FASTags are unsure what to do. Until the end of February 2024, customers can still add money to their Paytm FASTags and keep using them. But once the FASTag balance is finished, they won’t be able to add more, rendering it unusable for toll payments.
While CEOs of various startups are urging the RBI to reconsider its decision, the possibility of the RBI rescinding the ruling remains uncertain. To be safe, it’s a good idea to get a new FASTag from an alternative provider and complete the KYC process accordingly.