The National Payments Corporation of India (NPCI) has launched a new ‘UPI Circle’ feature on its Unified Payments Interface (UPI) platform, allowing primary UPI account holders to delegate payment responsibilities to trusted secondary users securely. This feature enables primary users to maintain control while facilitating partial or full delegation of payment tasks. According to NPCI, the initiative aims to enhance convenience and security in digital transactions, particularly for managing payments for dependents, such as parents paying for their children or elderly citizens delegating payments to their family members.
The UPI Circle feature allows primary users to set transaction limits for secondary users, ensuring a balance between accessibility and security. Primary users can authorize up to five secondary users, who can only accept delegation from one primary user. Full delegation permits secondary users to complete transactions within predefined limits without further approval. In contrast, partial delegation requires primary user authentication for each transaction. This innovation is expected to broaden the scope of UPI by enabling micro-communities and collaborative financial interactions while reinforcing safeguards against fraud and misuse.
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