Paytm Payments Bank has announced the launch of Paytm FASTag, an electronic RFID that will enable automatic collection of toll fee on highways across the country. The Paytm FASTag will allow its users to pass through 380 toll plazas across the country without having to stop. Also Read - How to book COVID-19 vaccine slot via Paytm App, get Covaxin and Covishield shots with these simple stepsAlso Read - Alert! Paytm cashback scam: Fake Paytm website, it's a trick to steal your money
The Paytm FASTag is a reusable radio-frequency identification technology (RFID) that can be placed on a vehicle’s windscreen and it is linked to a registered Paytm account to facilitate instant collection of toll charges. With the government having mandated use of FASTag on every new vehicle being purchased from December 1, Paytm FASTag aims to tap into this growth segment. Also Read - 5 apps helping people get through the COVID-19 second wave: Twitter, CoWIN, Aarogya Setu
The company is also working with leading car and commercial vehicle manufacturers and dealers including Maruti Suzuki, Tata, Hyundai, Mercedes, BMW, Renault, Volkswagen, Volvo among others to make Paytm FASTag available for customers purchasing new vehicles across India.
“Cash payments at toll plazas result in precious man hours and fuel being unnecesarily spent, as attendants and motorists are left grappling with the hassles of dealing in exact change. The Paytm FASTag will facilitate non-stop movement of vehicles through toll plazas and bring the benefits of cashless payments to every toll booth in India,” said Renu Satti, MD & CEO Paytm Payments Bank in a statement.
Those who already own a vehicle can buy FASTag online on their Paytm app. The vehicle owners using Paytm FASTag will get 7.5 percent cashback on every transaction at toll plazas.
Paytm says that Paytm FASTag will bring enhanced convenience to commuters and will improve transparency and overall efficiency of the toll network across the country. The rollout of Paytm FASTag is being run in partnership with the National Highways Authority of India (NHAI) and NPCI.
Paytm says its Payments Bank platform has already processed over 1 million FASTag toll transactions in November. It expects to cover over 10 lakh vehicles using Paytm FASTag by the end of this financial year.