Govt Removes Minimum Balance Rule For FASTags: How Will It Benefit You?
The requirement of maintaining a minimum amount in FASTag wallet will soon be done way with by the National Highways Authority of India(NHAI). This move is aimed to ensure seamless movement at electronic toll plazas.
What is FASTag?
Operated by the NHAI, it is an electronic toll collection system which is uses radio frequency identification (RFID) technology and is affixed on the windscreen of vehicles which are prepaid rechargeable tags. As long as they are not tampered and are readable, they can be used and have no expiry date.
From February 15, 2021, FASTag will become mandatory as far as payment on toll plazas is concerned. NHAI is aiming at 100 per cent cashless tolling at the toll plazas across the country.
In addition to the security deposit for the passenger segment (Car/Jeep/Van), there was a threshold amount which was paid by the user. National Highways Authority of India plans to remove the mandatory threshold amount for the FASTag account / wallet.
Non Negative FASTag Balance :
The statement by NHAI said that in addition to the security deposit amount, the issuer banks were unilaterally mandating some threshold amount value for the FASTag account/wallet. Despite of having sufficient balance in their FASTag account/wallet, many of the FASTag users were not allowed to pass through a toll plaza which created unwanted hassles and avoidable delay at toll plazas.
According to the new changes, the users will now be allowed to pass through the toll plaza, if the FASTag account/ wallet balance is non-negative.
NHAI said that the bank can recover the amount from the security deposit in case the account balance becomes negative, which then should be replenished at the time of the next recharge.