Connected car owners can now refuel and complete transactions directly from their vehicle dashboards without relying on smartphones, physical credit cards, or external payment applications. Bengaluru-based payment technology company ToneTag has officially introduced DrivePay, marking India's first in-car fuel payment solution developed in strategic partnership with TATA.CARS and IndianOil.
The system made its public debut at the Global Fintech Fest 2026, where developers demonstrated its core capability to integrate cloud-based payment architecture into native automotive interfaces. Initial physical installations are currently underway at select IndianOil retail outlets across the country, setting the stage for a broader commercial rollout over the coming months.
Architecture of the DrivePay Platform
DrivePay operates by bridging connected vehicles directly to digital payment networks through the car dashboard. The underlying technology layer is managed entirely by ToneTag, which securely connects the vehicle hardware to the cloud infrastructure. Rather than forcing motorists to open mobile applications or swipe cards at terminal counters, the system processes transactions within the vehicle cabin.
This setup relies on an IoT-enabled implementation of the National Payments Corporation of India framework. By adapting this infrastructure for connected hardware, the collaboration transforms the automobile itself into a secure financial terminal. ToneTag handles the complex data exchange layer that securely authenticates transactions originating from the dashboard interface.
Integration With Fuel Retail and Loyalty Networks
The infrastructure brings together four distinct institutional stakeholders to establish a unified operational workflow. IndianOil contributes its extensive nationwide fuel station network, TATA.CARS supplies the connected vehicle platform, ToneTag provides the payment technology layer, and the National Payments Corporation of India underpins the digital payment framework.
In addition to processing transactions, DrivePay incorporates IndianOil's XTRAREWARDS loyalty programme directly into the payment flow. Eligible motorists earn reward points automatically during the refuelling process. The system executes this loyalty crediting without requiring customers to verbally provide or type their mobile numbers into station terminals during transactions.
Expansion Plans Across the Connected Mobility Ecosystem
Following the initial deployment with TATA.CARS and IndianOil, ToneTag intends to scale the technology across the broader automotive sector. The company is actively planning discussions with other vehicle manufacturers and mobility providers to integrate similar in-vehicle commerce capabilities into different car models.
Industry stakeholders view fuel payments as the initial application for this technology stack, but the underlying framework opens pathways for future in-cabin purchases. Connected dashboards could eventually authorize payments for various mobility-related services, tolls, and digital goods without requiring external authentication devices.
Industry Perspective on Connected Vehicle Commerce
Payment systems are evolving past traditional physical cards and handheld mobile devices, with connected hardware emerging as a primary frontier for digital commerce. Industry leaders emphasize that embedding financial gateways directly into vehicles changes how consumers interact with everyday services during transit.
"Payments are rapidly moving beyond traditional interfaces such as cards and smartphones, and connected devices are emerging as the next frontier for commerce," said Vivek Kumar Singh, Co-Founder and Director - Labs, ToneTag, during the official launch at Global Fintech Fest 2026. "This initiative with IndianOil, TATA.CARS and NPCI demonstrates how payment infrastructure can seamlessly extend into connected devices, enabling the vehicle itself to become a secure payment interface."
Initial deployment phases are focused on validating transaction security and user adoption at active IndianOil retail stations. Engineering teams from the participating companies are monitoring pilot performance metrics while preparing the infrastructure for widespread commercial availability across all compatible Tata connected vehicle models.
