The National Payments Corporation of India originated the National Electronic Toll Collection program to simplify the electronic toll payment process. This initiative provides a unified solution for toll payments through FASTag. FASTag is an electronic toll-collection system that operates through tags fitted on vehicles.

NPCI FASTag is widely praised for its seamless payment interface. However, many people are unaware of its many aspects, such as what it is and how it works, which we will discuss in this blog.

What is NPCI FASTag?

NPCI FASTag is a Radio Frequency Identification Tag designed for convenient toll payments directly from the associated customer’s linked savings/current or prepaid account. The FASTag is placed on the vehicle’s windshield, allowing customers to pass through toll plazas without stopping for payment. The toll fee is automatically subtracted from the customer’s linked account.

How Does NPCI FASTag Work?

Here’s how NPCI FASTag works:

1. Registration: To get a FASTag, the vehicle owner must approach a certified bank or financial institution authorised to issue it. The vehicle owner provides the required documents, including vehicle registration details, KYC documents, and a passport-sized photograph. After verification, the bank issues a FASTag.
2. Activation: Once issued, the FASTag must be activated. This can usually be done through a mobile app or the issuer’s website.
3. Affixing the FASTag: The FASTag comes with an adhesive sticker, which the vehicle owner affixes to the windshield just behind the rear-view mirror.
4. Usage at toll plazas: When a vehicle with an active FASTag approaches a toll plaza, he must pass through the dedicated FASTag lanes that lanes are equipped with RFID (Radio-Frequency Identification) technology.
5. RFID scanning: As the vehicle approaches the toll booth, the RFID reader scans the FASTag on the windshield. The reader communicates with the FASTag’s microchip to deduct the amount is appropriate toll amount from the linked prepaid or savings account.
6. Toll payment confirmation: Once the toll is deducted, a green light and a beep signal indicate a successful payment.
7. Transaction notifications: Vehicle owners receive SMS and email notifications for each FASTag transaction, including the toll amount deducted.
8. Recharge: Vehicle owners must maintain a sufficient balance in their account to ensure uninterrupted use of FASTag. When the balance runs low, they can recharge the FASTag online through their account online.
9. Checking account balance: Vehicle owners can also check their FASTag account balance, transaction history, and other details through the bank’s app or website.

Conclusion

FASTag is an effective way to make cashless transactions, and it also helps resolve traffic jams and bottlenecks at toll plazas, especially in India. More and more people are now aware of this, and the tradition of paying toll in cash is dying down for the better.