What Is FASTag

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Things to know about FASTag

Key Takeaways

• FASTag is a Radio Frequency Identification tag developed by the NETC.
• FASTag allows you to make cashless toll payments while the vehicle is in motion.
• It is a physical tag that you must affix on the windscreen of your vehicle.
• The tag is auto-scanned at ETC booths and saves you time and fuel.
• You can buy FASTag from any Point of Sale (PoS) terminal, member banks, or distribution agencies.

What is FASTag And How does it Work?

A FASTag is an online toll payment facility that relies on Radio-Frequency Identification or RFID technology and allows you to pay your toll tax in a cashless manner. By affixing the FASTag on your vehicle’s windscreen, you can pay the applicable toll amount, while your vehicle continues to remain in motion. You can also easily reload or recharge your FASTag using funds in your linked bank account.

The FASTag was developed by the National Payments Corporation of India (NPCI) under the National Electronic Toll Collection (NETC) program to digitalise all toll payments. Once you buy the FASTag, you must affix it to the windscreen of your vehicle. When the vehicle passes an Electronic Toll Collection (ETC) lane, the Toll Plaza system scans the tag ID.

You can buy the tag from any Point of Sale (PoS) location, NETC Bank Members or distribution agents. Upon activating the FASTag, you can also link it to your Savings Account. By connecting your account, you can conveniently recharge the tag when your balances are low.

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NETC FASTag Transaction

Having explained what is FASTag in vehicles, let us understand how these transactions work. When you drive through an ETC lane, the Toll Plaza scans your FASTag ID, and the details are sent to the merchant bank for processing. The merchant bank then sends a request to the NETC mapper to validate the details. Once the tag is validated, the merchant host determines the toll fare and initiates a debit request to your bank account. The toll amount gets debited from your account and passed on to the toll operator account. You receive an SMS alert on your registered mobile number every time the FASTag account gets debited. While the process seems complicated, the transaction is completed within seconds.

The Indian Highways Management Company Limited (IHMCL) has certified 26 banks to issue the FASTag and 12 as acquiring banks.

The objective behind launching FASTag

In recent years, India has seen drastic advancements in online infrastructure and improved internet connectivity. This has led the country to adapt digitalisation wherever conceivable. In FY2019, India housed approximately 296 million operating vehicles causing severe traffic issues. Waiting times at toll plazas was gruelling to daily commutes. To eliminate this situation, the National Highways Authority of India (NHAI) introduced FASTag payments.

Benefits Of Using FASTag

Besides knowing FASTag meaning, you should also understand its benefits, which include the following.

• No waiting in queues at toll plazas
• Continuous vehicle movement leading to minimal traffic at the toll plaza
• No need to carry cash or provide exact change
• It saves your time and fuel
• Instant SMS confirmation and online statement of toll-tax payments
• Instant notification from NETC about FASTag account balance

Conclusion

Now that you know what FASTag is, you should get one for your vehicle. FASTag has truly helped streamline traffic conditions and reduced waiting times at toll plazas. If your daily commute involves passing through toll plazas, you should consider lumpsum recharges, ranging from INR 10,000 to INR 100,000. You can link your DBS Bank Savings Account to FASTag to recharge it effortlessly.

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