New Delhi: PhonePe has launched a new feature, UPI Circle, aimed at expanding access to digital payments by allowing users to authorise trusted individuals to make UPI payments on their behalf.
The move by PhonePe comes at a time when fintech platforms are increasingly focusing on financial inclusion and simplifying digital transactions, especially for users with limited access to banking infrastructure. Google Pay already offers a similar feature.
What is UPI Circle?
UPI Circle enables a primary PhonePe user to create a group of trusted individuals, such as family members or close contacts, who can then make UPI transactions using the primary user’s account.
The feature is designed to benefit people who may not have a bank account or are unfamiliar with using digital payment services. Once a circle is created, secondary users can initiate transactions that are subject to approval by the primary user.
How the Feature Works
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User Control: The primary user retains full control over the authorisation of payments. Every transaction request from a secondary user must be approved before processing.
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Adding Members: The primary user can add others to their UPI Circle by sharing a UPI ID or QR code. Invitations must be accepted by secondary users to join the circle.
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Security & Oversight: All payment requests can be reviewed, and transaction history can be tracked by the primary user. Access can also be revoked at any time.
Steps to Use UPI Circle on PhonePe
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Open the PhonePe app and enable the UPI Circle feature from the home screen.
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Tap on ‘Invite Secondary Contact’ to add members. This can be done by scanning a QR code or entering a UPI ID.
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Once the invitation is accepted, secondary users can select the primary user’s account while making a payment.
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The primary user receives a request and must approve it for the payment to proceed.