Fintech

Paytm Payments Bank fiasco puts FASTag network in a jam

Gaurav Tyagi

February 09, 2024 | 4 Min Read

Paytm Payments Bank fiasco puts FASTag network in a jam

February 09, 2024 | 4 Min Read

The RBI’s ban on Paytm Payments Bank could throw a wrench into the smooth functioning of India’s toll network. With users unsure what to do with their FASTags and no officially mandated protocol to port FASTag accounts, the bank’s involvement in the FASTag network could prove hard to navigate.

It has been a tough couple of weeks for Vijay Shekhar Sharma-led One97 Communications Ltd and its associate company Paytm Payments Bank Limited (PPBL). After barring the payments bank from accepting any deposits or undertaking credit transactions in customer accounts, prepaid wallets, and FASTags after February 29, the central bank has reportedly refused to extend this deadline after meeting with the promoter and his senior officials earlier this week.

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