Unified Payments Interface (UPI) has become a cornerstone of digital transactions in India, offering a seamless and efficient way to transfer money. To further enhance its utility, the National Payments Corporation of India (NPCI) introduced UPI Circle.
This innovative feature allows users to share their UPI ID with trusted individuals, enabling them to make transactions from a single bank account. In this article, we will explore what UPI Circle is, how to use it, its benefits, and answer some frequently asked questions. We will also list the banks that offer this service.
What is UPI Circle?
UPI Circle is a feature that allows a primary user (account holder) to authorize a secondary user (trusted individual) to make UPI transactions from the primary user’s bank account. This feature is particularly beneficial for individuals who do not have their own bank accounts but need to make payments via UPI. The primary user can set transaction limits and monitor all activities, ensuring security and control.
How to Use UPI Circle
Using UPI Circle involves a few simple steps:
- Set Up UPI Circle:
- Primary User: The primary user needs to set up UPI Circle by logging into their UPI app and navigating to the UPI Circle section.
- Add Secondary User: The primary user can add a secondary user by entering their mobile number or UPI ID.
- Set Limits: The primary user sets transaction limits for the secondary user, specifying the maximum amount they can spend.
- Secondary User Transactions:
- Receive Authorization: The secondary user receives a notification or SMS confirming their authorization to use UPI Circle.
- Make Payments: The secondary user can now make payments using the primary user’s UPI ID within the set limits.
- Transaction Authorization: For each transaction, the secondary user will need to enter the UPI PIN provided by the primary user.
- Monitoring and Control:
- Transaction Monitoring: The primary user can monitor all transactions made by the secondary user through their UPI app.
- Revoke Access: The primary user can revoke the secondary user’s access at any time if needed.
Benefits of UPI Circle
UPI Circle offers several benefits, making it a valuable feature for various user groups:
- Financial Inclusion: Enables individuals without bank accounts to make digital payments.
- Convenience: Simplifies the process of managing family or household expenses.
- Security: Provides controlled access to the primary user’s bank account, with the ability to set limits and monitor transactions.
- Flexibility: Allows multiple users to share a single UPI ID, making it easier to manage shared expenses.
- Ease of Use: Simple setup and transaction process, making it accessible for all users.
Frequently Asked Questions (FAQs)
Q1: What is UPI Circle?
A1: UPI Circle is a feature that allows a primary user to authorize a secondary user to make UPI transactions from the primary user’s bank account, with set transaction limits.
Q2: Who can use UPI Circle?
A2: Any UPI user can set up UPI Circle for trusted contacts, such as family members, friends, or employees.
Q3: How do I set up UPI Circle?
A3: To set up UPI Circle, log into your UPI app, navigate to the UPI Circle section, add a secondary user, and set transaction limits.
Q4: Can I set different transaction limits for different secondary users?
A4: Yes, you can customize transaction limits for each secondary user.
Q5: Is UPI Circle secure?
A5: Yes, UPI Circle is secure as the primary user maintains control over transaction limits and can monitor all activities.
Q6: Can secondary users make all types of UPI transactions?
A6: Secondary users can make payments to merchants and individuals but may not be able to set up UPI autopay or lite transactions.
Q7: Do secondary users need their own bank accounts?
A7: No, secondary users do not need their own bank accounts to use UPI Circle.
Q8: How can I revoke access for a secondary user?
A8: The primary user can revoke access at any time through their UPI app.
Q9: Are there any charges for using UPI Circle?
A9: UPI Circle is generally free to use, but it’s best to check with your bank for any specific charges.
Q10: Which banks offer UPI Circle?
A10: Several banks offer UPI Circle, including State Bank of India (SBI), HDFC Bank, ICICI Bank, Axis Bank, and Punjab National Bank (PNB).
List of Banks Offering UPI Circle
Here is a list of banks that currently offer UPI Circle:
- State Bank of India (SBI)
- HDFC Bank
- ICICI Bank
- Axis Bank
- Punjab National Bank (PNB)
- Bank of Baroda
- Kotak Mahindra Bank
- Yes Bank
- IndusInd Bank
- IDFC First Bank
Conclusion
UPI Circle is a groundbreaking feature that extends the convenience of UPI transactions to a broader audience. By allowing primary users to authorize secondary users to make transactions, UPI Circle promotes financial inclusion and simplifies expense management.
Whether you are a parent managing your child’s expenses, a senior citizen needing assistance with digital payments, or a busy professional delegating household purchases, UPI Circle offers a secure and flexible solution.