Vehicle owners with FASTag accounts have received a significant upgrade to ease their travel experience. The Reserve Bank of India (RBI) has revised the e-mandate framework, enabling the automatic replenishment of funds into FASTag and National Common Mobility Card (NCMC) accounts. This move ensures smoother toll payments and uninterrupted travel, particularly for frequent highway users.
Automatic Recharge for FASTag and NCMC
Under the new system, funds will be automatically added to your FASTag or NCMC account whenever the balance falls below a specified threshold. Key features include:
- One-Time Activation: Users need to activate the auto-recharge option once.
- Hassle-Free Travel: Low balances will no longer cause delays at toll plazas, as funds are automatically deducted from the linked bank account.
- No Separate Notifications: Unlike traditional recharges, users won’t receive individual notifications for each top-up.
This feature is particularly advantageous for those who frequently travel on highways and may overlook checking their account balance before departure.
What is the e-Mandate Framework?
The e-mandate framework introduced by the RBI in 2019 ensures customer protection by offering pre-debit notifications. Here’s how it applies to FASTag and NCMC accounts:
- Pre-Debit Alerts: Customers receive a notification 24 hours in advance of any deductions.
- Automatic Recharge: The framework now supports seamless replenishment of FASTag balances, enhancing convenience for users.
This mechanism ensures transparency and eliminates manual intervention for regular top-ups.
What is FASTag?
FASTag is an Electronic Toll Collection (ETC) system designed for easy and contactless toll payments on national highways. It uses Radio Frequency Identification (RFID) technology to deduct toll charges directly from a linked account. Here are some key highlights:
- Issued by 37 Banks: Managed by the National Highway Authority of India (NHAI) through its subsidiary, the Indian Highway Management Company Limited (IHMCL).
- Mandatory Implementation: FASTag became compulsory for all toll road vehicles in January 2021, now accounting for over 90% of toll collections.
- Efficiency Boost: The system reduces waiting times and eliminates cash payments at toll plazas, addressing transportation delays.
Why is FASTag Important?
India faces an estimated USD 6.6 billion in annual losses due to transportation delays. FASTag’s implementation as part of the National Highways Program aims to:
- Streamline Toll Payments: Ensure faster, contactless toll collection.
- Enhance Grid Efficiency: Improve the management and performance of national highways.
- Reduce Congestion: Minimize delays at toll plazas, leading to time and fuel savings.
How to Enable Auto-Recharge
To activate auto-recharge for your FASTag or NCMC account:
- Log in to your FASTag or bank account linked to your card.
- Select the “Auto Recharge” option.
- Set the minimum balance threshold and link your bank account.
Once enabled, the system will automatically top up your balance, ensuring uninterrupted travel.
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.
