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LoansJagat Team

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04 Aug 2025

FASTag: What It Is, How It Works & Benefits for Vehicle Owners

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FASTag is a fully electronic way to pay toll charges on highways. It uses a prepaid tag fixed on your vehicle and allows toll payments without stopping.

For example, Rahul drives from Delhi to Agra and crosses 3 toll plazas. Earlier, he paid cash and spent 15–20 minutes at each stop. Now, with FASTag, he drives through quickly, and the toll amount is deducted automatically from his account.

Here’s how much he paid on his trip:
 

Toll Plaza

Old Cash Toll (₹)

FASTag Toll (₹)

Time Saved

Delhi Toll Gate

100

90

15 mins

Mathura Bypass

80

75

12 mins

Agra Entry

120

110

18 mins


Total Paid with FASTag: ₹275
Total Time Saved: 45 minutes

FASTag not only saves time but also offers small discounts. From 15 December 2019, it is compulsory for all vehicles on Indian highways.

How Does FASTag Work?

FASTag is an easy and cashless way to pay toll charges on highways. It helps vehicles pass through toll plazas without stopping, saving both time and fuel.

Here’s how FASTag works:

  • A small electronic tag is fixed to the vehicle’s windscreen.
     
  • This tag is linked to a prepaid account registered to the vehicle owner.
     
  • As the vehicle drives through the toll gate, a scanner reads the tag automatically.
     
  • The toll amount is deducted from the prepaid account without any need for cash.
     
  • No stopping is needed, making the journey smoother and faster.

FASTag has made travelling on highways more convenient and efficient by removing the need for long queues and manual toll collection.

How to Get a FASTag?

Getting a FASTag is now simple and important, as it is mandatory for all vehicles on toll roads. You can choose from several easy options based on your convenience.

Read More – How to Check FASTag History – View Your Recharge & Toll Records

Ways to Obtain FASTag:

  • Visit POS counters at toll plazas, RTOs, or petrol pumps.
     
  • Buy from select banks like ICICI Bank, which offers FASTag for ₹399 (includes deposit and balance).
     
  • Order online from trusted websites and retailers.

Depending on where you buy it, your FASTag can be:

  • Linked to a prepaid wallet, which you need to recharge regularly.
     
  • Connected directly to your bank account, allowing automatic deduction.

For example:-
 

Source of FASTag

Cost (₹)

Type of Link

Where to Use

Toll Plaza POS

Varies

Prepaid wallet

All national toll roads

ICICI Bank

399

Bank account or wallet

Online, app, or nearest branch

Online Retailer

Varies

Mostly prepaid wallet

Delivered to the home after an online request


In all cases, you must provide your vehicle details, ID proof, and registration number. Once active, you can enjoy cashless, quick toll payments on the go.

Documents Required for FASTag and Its Growing Use

To get a FASTag for your vehicle, you need to submit a few simple documents. These help verify your identity and vehicle ownership.

Documents you must provide:

  • Vehicle Registration Certificate (RC)
     
  • Passport-sized photo of the vehicle owner
     
  • KYC documents, including valid ID and address proof

Once you submit these, your FASTag will be issued and activated for use.

Wider Use of FASTag:

  • FASTag is now accepted at around 450 toll plazas across India.
     
  • Most toll plazas have dedicated FASTag lanes for vehicles using the tag.
     
  • The government is expanding this system, and more lanes will become FASTag-only.
     
  • This step supports the fast development of road infrastructure, making long journeys easier.

With FASTag, long-distance driving has become smoother, quicker, and more comfortable for all travellers.

Key Benefits of Using FASTag

FASTag makes highway travel easier, quicker, and smarter. It not only saves time but also offers a smoother and more eco-friendly experience. Here are the main benefits explained simply:
 

Benefit

Explanation

Saves Time and Fuel

You pass through toll plazas without stopping, reducing long queues and delays.

Online Recharge

Recharge your FASTag anytime using mobile apps or websites.

Cashless Payments

Pay tolls automatically without handling cash.

SMS Alerts

Get instant messages for every toll deduction and account update.

Faster Toll Payment

Toll is deducted quickly, making your journey smoother and faster.

Environment Friendly

Less idling at tolls cuts down fuel use and pollution.

Easy to Manage

View balance, recharge, and track use through apps and online portals.


How to Activate a FASTag?

Activating a FASTag is easy and can be done in two main ways. Once you buy your FASTag, you can either activate it yourself or get help from your bank. This process ensures that your tag is linked to your vehicle and ready to use at toll plazas.

Ways to Activate FASTag:

  1. Self-Activation

    Use the FASTag mobile app to activate it. You will need:
     
  • Vehicle details
     
  • Bank account details
     
  • Basic KYC documents (ID and address proof)
     
  1. Bank Activation

    Visit your nearest bank branch (like ICICI, HDFC, SBI, etc.). You must:
     
  • Submit KYC documents
     
  • Provide the Registration Certificate (RC) of your vehicle

Alternative Option: Prepaid Wallet

You can skip linking your bank account by using the NHAI prepaid wallet. This wallet is easy to recharge before trips.

Also Read  - How to Check FASTag Balance – Step-by-Step Guide

Recharge Methods:
 

Method

Example

UPI ID

rahul123@upi

Debit/Credit Card

Visa, Mastercard, RuPay cards

Net Banking

Through any major bank portal

NEFT

Transfer using IFSC code


For example, Riya activates her FASTag using the mobile app and links it to her prepaid wallet. Before going on a road trip, she adds ₹1,000 to her wallet using UPI. At each toll plaza, money is deducted smoothly, and she receives an SMS alert.

FASTag activation is simple and gives you the freedom to travel without cash or long queues.

Why Should You Use FASTag?

FASTag has become mandatory for all four-wheelers since 16 February 2021, as per government rules. It helps manage traffic better, reduces waiting time at toll plazas, and makes highway travel smooth and efficient. With FASTag, your journeys become faster, cleaner, and fully cashless.

Example:
Sanjay drives from Pune to Mumbai and crosses two toll plazas. Earlier, he waited 10–15 minutes at each booth. With FASTag, he drives through in seconds, saves fuel, and gets SMS alerts for each toll charge.

Benefits of Using FASTag:
 

Advantage

How It Helps

Saves Time and Fuel

Avoids stopping at tolls and reduces fuel use during idle time.

Less Traffic Congestion

Keeps toll lanes moving quickly, especially during peak hours.

Tracks Spending

Sends SMS alerts for every payment, helping monitor toll expenses.

Easy Conversion

Switch from old toll cards to FASTag with simple steps for continued ease.


FASTag not only follows the rules but also makes long drives more comfortable, efficient, and cost-effective.

Conclusion

FASTag is a smart, cashless way to pay tolls on highways. It saves time, fuel, and effort by letting vehicles pass through toll plazas without stopping. With easy setup, online recharge, and automatic payments, FASTag makes long-distance travel smoother, quicker, and more convenient for everyone.

FAQ’s

1. What is FASTag?
FASTag is a prepaid electronic toll payment system that lets vehicles pass through toll booths without stopping.

2. How does FASTag work?
It uses a tag on your windscreen. A scanner reads it and deducts toll from your linked account automatically.

3. Is FASTag mandatory?
Yes, from 16 February 2021, FASTag is required for all four-wheelers on national highways in India.

4. How can I recharge my FASTag?
You can recharge it online using UPI, net banking, or mobile apps.

5. Can I use FASTag at all toll plazas?
Yes, FASTag works at most national highway toll plazas and many state toll booths too.
 

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LoansJagat Team

We are a team of writers, editors, and proofreaders with 15+ years of experience in the finance field. We are your personal finance gurus! But, we will explain everything in simplified language. Our aim is to make personal and business finance easier for you. While we help you upgrade your financial knowledge, why don't you read some of our blogs?

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