Is FASTag smartwatch scam possible? Paytm clarifies
India Today
The viral video spreading on WhatsApp, Twitter, and Facebook alleges that some street urchins are using a smartwatch with an inbuilt scanner, which can scan FASTag stickers on the car.
A video has been doing rounds on the internet claiming that FASTag technology that works with a dedicated sticker on cars and scanners on toll plazas can be compromised. The viral video spreading on WhatsApp, Twitter, and Facebook alleges that some street urchins are using a smartwatch with an inbuilt scanner, which can scan FASTag stickers on the car. As a result, the FASTag account, which is linked to customers' banks or e-wallets like Paytm, will be deducted of money. The video is making fake claims and Paytm has also issued a statement on its social media pages.
The video includes two men talking to a boy who wants to clean their car. The young boy quickly wipes the windshield, which has the FASTag sticker on top, but doesn't take money for cleaning. After realising that the boy did not take money for cleaning and having a smartwatch on his wrist, one of the men starts chasing him. However, the chase was unsuccessful, and the man who remained in the car is now explaining the incident to viewers.
The narrator says that street urchins are now wearing a special smartwatch with an inbuilt scanner capable of scanning FASTag stickers, in this case, FASTag stickers by Paytm. Once they hover the smartwatch over the sticker, money gets deducted from their linked bank account or e-wallet.
For those unaware, FASTags have become fairly common to facilitate electronic toll collection in India. FASTag is a tag fitted on vehicles and is operated by 23 banks governed by NPCI (National Payment Corporation Of India) and NHAI (National Highway Authority of India). It was introduced to eliminate human intervention in the toll collection system by using Radio Frequency Identification (RFID) technology.
Another reason why it is common is because the government made FASTag mandatory for all commercial as well as personal four-wheelers for payments at toll plazas. The rule came into effect in February 2021.
Paytm straight up clarified that the video is fake and the FASTag technology cannot be compromised. On Twitter, the company said, "A video is spreading misinformation about Paytm FASTag that incorrectly shows a smartwatch scanning FASTag. As per NETC [National Electronic Toll Collection] guidelines, FASTag payments can be initiated only by authorised merchants, onboarded after multiple rounds of testing. Paytm FASTag is completely safe and secure".
The NPCI has also issued a statement and said the claims are "baseless". You can read the full statement below.
