Highway toll collector IHMCL removes Paytm Payments Bank from list of banks authorised to issue FASTag

Indian Highways Management Company Ltd (IHMCL), toll collecting arm of state-owned NHAI, has advised highway users to buy FASTags from 32 authorised banks sans Paytm Payments Bank for hassle-free travel.

In a post on X, IHMCL said for hassle-free travel, buy your FASTag from 32 authorised banks.

The 32 authorised banks include Airtel Payments Bank, Allahabad Bank, Bank of Baroda, HDFC Bank, ICICI Bank, IDBI Bank, Punjab National Bank, State Bank of India, and Yes Bank, among others.

A senior NHAI official told PTI that India has over 8 crore FASTag users and Paytm Payments Bank (PPBL) has around 30 per cent market share.

Earlier, IHMCL in a letter dated January 19, 2024 had barred Paytm Payments Bank from issuing fresh FASTags.

On January 31, the Reserve Bank directed Paytm Payments Bank (PPBL) to stop accepting deposits or top-ups in any customer accounts, wallets, FASTTags and other instruments after February 29.

However, any interest, cashbacks, or refunds may be credited back to customers anytime.

“No further deposits or credit transactions or top-ups shall be allowed in any customer accounts, prepaid instruments, wallets, FASTags, NCMC cards, etc. After February 29, 2024, other than any interest, cashbacks, or refunds which may be credited anytime,” the RBI said.

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