New FASTag Rule: UPI Payments to Attract 25 Percent Higher Fee

Starting November 15, 2025, if you don’t have a working FASTag and decide to pay tolls using UPI, you’ll have to pay 25% more than the regular fee.

What’s the New FASTag Rule?

The government has announced a new change in how toll fees are collected at highway plazas across the country. This change comes under the Third Amendment Rules, 2025.

According to the new rule:

• If your vehicle doesn’t have a valid or functional FASTag and you choose to pay toll using UPI, you’ll be charged 1.25 times the normal fee.
• However, if you pay in cash without a valid FASTag, you’ll be charged double the normal toll amount.

This means that paying via UPI is still cheaper than paying by cash — but having an active FASTag remains the most economical option.

Why Was This Rule Introduced?

The main reason behind this change is to promote digital payments and discourage cash transactions at toll plazas. The government wants to make toll collection faster, safer, and more transparent.

With digital systems like FASTag and UPI, toll queues move quickly, fuel is saved, and there’s less human error in fee collection. This rule also encourages more people to buy or reactivate their FASTags to avoid paying extra.

When Will the New Rule Start?

The new FASTag rule will officially come into effect on November 15, 2025. From this date onward, all national highway toll plazas across India will follow the updated fee structure. So, if your FASTag is not active before this date, you might end up paying more at the toll booth.

What This Means for You (With a Simple Example)

Let’s understand this rule with a real-life example:

If the normal toll amount for your car is ₹100, here’s what you’ll pay depending on your payment method:

• With FASTag – ₹100 (normal fee)
• With UPI and no FASTag – ₹125 (25% extra)
• With Cash and no FASTag – ₹200 (double charge)

So, using UPI without FASTag is better than cash, but it still costs you more than simply using FASTag.

Who Will Be Affected by This Rule?

This rule applies to all drivers whose vehicles:

• Do not have a FASTag installed
• Have an invalid, expired, or non-functional FASTag
• Are you using toll plazas on National Highways

If your FASTag is active and working properly, you don’t need to worry. You’ll continue paying the normal toll fee as usual.

What You Should Do Now

Here are a few important actions you can take to avoid extra charges under the new rule:

• Check Your FASTag: Make sure your FASTag is valid, linked to your correct vehicle, and has enough balance.
• Recharge Regularly: Keep your FASTag wallet topped up to avoid getting marked as “invalid” at toll booths.
• Avoid Cash Payments: Paying in cash will cost you twice the normal fee, so go digital whenever possible.
• Use UPI Only If Necessary: If your FASTag doesn’t work or you don’t have one, use UPI for payment — it’s still better than paying in cash.
• Stay Updated: Always check government notifications about toll payment rules to avoid surprises while travelling.

Benefits of the New Rule

For Drivers

• Quicker movement at toll booths
• Less waiting time and traffic
• Encourages easy digital payments

For the Country

• Promotes cashless transactions
• Saves time and fuel at toll gates
• Reduces corruption and manual errors
• Makes highway management more transparent and efficient

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Concerns and Challenges

While the new FASTag rule brings many benefits, a few concerns still exist:

• Some drivers, especially from rural areas, may not have access to UPI or may face difficulty using smartphones.
• Occasional highway users might not find it worth getting a FASTag for limited travel.
• Technical glitches like scanner failures or poor network can confuse toll plazas.

That’s why it’s important to keep your FASTag device active and your balance checked before every long trip.

Why the Government Is Focusing on FASTag

FASTag is part of India’s move toward Digital India and Smart Mobility. The government wants to make every toll booth contactless, quick, and cash-free. Today, over 98% of toll payments in India are already made through FASTag, and this new rule will help cover the remaining few percent who still rely on cash or manual payments.

Key Message for You

The message is simple: If you want to save money, avoid long queues, and have a stress-free drive, make sure your FASTag is working and recharged.

Paying toll via UPI will now cost you 25% more, and paying in cash will cost you double. So, before you hit the highway after November 15, check your FASTag once!