In an exciting development for users of digital payment systems, Google Pay is set to introduce its services on the UPI Circle. This innovative facility allows two or more individuals to make UPI (Unified Payments Interface) payments using the same bank account, facilitating seamless transactions among family members or trusted friends. Currently, this feature is in pilot testing with a select group of users. Let’s delve deeper into what UPI Circle entails and its implications for users.
Understanding UPI Circle
The UPI Circle enables a primary account holder to authorize multiple family members as secondary users to utilize the same bank account for UPI transactions. This could significantly simplify money management within families, especially for those who wish to allocate monthly spending limits or retain control over their financial activities.
Delegation Options Available
The system offers two main types of delegation for the primary user to choose from:
- Full Delegation: Here, the primary user can set a spending limit for the secondary user, allowing them to initiate UPI payments without needing prior approval. The maximum monthly limit can go up to Rs 15,000. For example, if the limit is set at Rs 5,000, the secondary user can make multiple transactions within that cap without seeking permission every time.
- Partial Delegation: In this scenario, the primary user retains complete control over all transactions. Any payment request initiated by the secondary user must be reviewed and approved by the primary user. This option offers enhanced security and oversight, especially suitable for transactions that require careful management.
Joining the UPI Circle
For individuals wishing to join an existing UPI Circle, the process is straightforward. The secondary user must open their Google Pay UPI app, navigate to their profile section, and tap on the QR code icon. This generates a unique QR code that the primary user can scan, thus adding the secondary user to their UPI Circle.
Key Considerations for Primary Users
As a primary user, it’s crucial to select trusted individuals as secondary users. Depending on your preference for control, you will decide between partial or full delegation. Keep in mind that:
- With partial delegation, you will receive notifications on every payment request and must approve each within 10 minutes.
- In full delegation, you can specify the duration for which the delegation will be applicable, providing flexibility for future transactions.
Benefits and Flexibility of Full Delegation
Opting for full delegation has its perks. It allows for smoother and faster transactions, especially for frequent users of UPI. The primary user sets a spending cap but enjoys the ability to manage transactions effortlessly. This arrangement is perfect for families where one person handles the finances for others.
Final Steps: Acceptance from Secondary Users
After a primary user sends out an invitation to join their UPI Circle, the secondary user must accept the presented request. Upon acceptance, the secondary user is officially part of the UPI Circle, ready to make transactions as per the set delegation rules.
In conclusion, the UPI Circle feature from Google Pay is poised to revolutionize how family members interact with their digital finances. It’s a progressive step towards more flexible, secure, and cooperative financial management within households, making daily transactions simpler and more efficient.
