FASTag Smartwatch Scam Is Fake, Confirm Paytm And NPCI


A video pertaining to an alleged FASTag scam went viral across social media platforms last week. It warned people that there is a widespread scam related to FASTag, the electronic toll collection service on highways. Now, Paytm and NPCI have confirmed that it is a fake video and only authorized merchants can collect the toll fee.

FASTag Smartwatch Scam Is Fake, Confirm Paytm And NPCI

Notably, FASTag, the prepaid rechargeable tag is fitted on vehicles for electronic toll collection, thereby avoiding human intervention. Launched in 2017, it is now implemented across India and is operated by 23 banks governed by the NPCI (National Payment Corporation of India) and NHAI (National Highway Authority of India).

FASTag Viral Video

The video has been recorded from inside a car and shows a young boy cleaning the car's windshield. After cleaning, the boy starts leaving and the person recording the clip calls him and questions why he is not charging for the cleaning service. He then asks the boy about the watch he is wearing and he runs away.

Another person in the car chases him while the person behind the camera details the alleged FASTag scam. He points out that fraudsters give smartwatches to youngsters to scam the FASTag RFID in the pretense of cleaning the vehicles. The watch will scan the FASTag and money will be deducted from the account connected to the vehicle.

Paytm Declares Video As Fake

Now, Paytm has taken to Twitter to confirm that the video is fake. It has further confirmed that the FASTag payments can be initiated only by authorized merchants. Notably, it authorizes merchants after several rounds of testing to make sure they are reliable.

Besides this, NPCI added that the FASTag ecosystem is built on a 4-party model, which comprises NPCI, Issuer Bank, Acquirer Bank and Toll Plazas. Also, it noted that FASTag uses multiple layers of security protocols that are in place to ensure safe end-to-end processing of transactions.


As NETC FASTag operates only for P2M (person to merchant) transactions, NPCI notes that any individual cannot receive the money from the FASTag account linked to a vehicle due to fraudulent activities. Only the authorized System Integrators (SI) can initiate transactions on behalf of concessionaires at the toll plazas.

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