Paytm FASTag Users Urged to Switch as Deadline Looms

The Indian Highways Management Company (IHMCL) has issued a crucial advisory, urging highway users to secure FASTags from authorized banks ahead of the looming deadline. With Paytm Payments Bank excluded from the list of approved banks, over 20 million Paytm FASTag users face the urgent need to transition to new RFID stickers.

As per IHMCL’s directive shared on its official platform, travelers are encouraged to purchase FASTags from a specified list of 32 banks. Notably missing from the list is Paytm Payments Bank, following the Reserve Bank of India’s (RBI) decision to halt its services from next month, rendering Paytm FASTags inoperative after February 29.

The move, insiders reveal, aims to mitigate potential disruptions for millions of Paytm FASTag users on toll roads post the deadline. Government sources express concern over the inconvenience users may face, prompting IHMCL’s proactive measures.

However, sources indicate that no bank currently accommodates Paytm FASTag users, leaving them with the sole option to replace their FASTags from the authorized banks mentioned by IHMCL.

With over 70 million FASTag users nationwide, Paytm Payments Bank claims a significant 30% share. Yet, amid regulatory hurdles and non-compliance with mandatory KYC norms, the bank finds itself excluded from issuing new FASTags.

While RBI Governor Shaktikanta Das maintains the decision stands firm, IHMCL advocates for a seamless transition of Paytm FASTag users to alternative bank FASTags, emphasizing the importance of uninterrupted toll services. Banks authorized for FASTag issuance include prominent names like SBI, HDFC, ICICI, and others, offering a lifeline for Paytm FASTag users to ensure continued hassle-free travel on India’s highways.