[Omkar]

The National Payments Corporation of India (NPCI) has yet again added a new feature to the Unified Payments Interface (UPI) platform. The new feature, UPI Circle-Delegate Payments, will help primary holders of UPI accounts to delegate transaction rights to secondary users.

This platform will serve as a means to facilitate seamless and secure financial exchanges among trusted parties such as family members, friends, employees, and acquaintances.

UPI Circle-Delegate Payments is a feature where a UPI user acts as a primary to link with their trusted secondary users on their UPI App for either partial or full delegation.

Full Delegation: In this scenario, the primary user bestows upon the secondary user the power to both initiate and execute transactions within specified spending thresholds. The secondary user is not required to seek additional approval to successfully carry out these transactions.

Partial Delegation: Under this arrangement, the secondary user possesses the capability to kickstart transactions, but the primary user is mandated to authenticate and finalise the payment via their UPI PIN. This model ensures heightened oversight for significant transactions while still allowing for flexibility in managing routine payments.

For linking, the primary user shall scan the QR code/enter UPI ID followed by a selection of contact numbers from the contact list. In the later phase, the primary user shall be able to link the secondary user in lieu of a QR code scan by selecting of contact number from the contact list only, details to be notified. Manual entry of mobile number shall be restricted.

Members shall ensure limits control to be available for the primary user to set usage controls over their secondary users. Members shall ensure that the primary user has visibility of transactions performed by the secondary user for both full and partial delegation.

To bolster security measures, every secondary user is mandated to employ either passcodes or biometric validations like fingerprint or facial recognition to fortify the integrity of all financial transactions.

When it comes to delegation limits, a primary user is empowered to bestow payment authorization onto a maximum of five secondary users. Conversely, a secondary user is only eligible to accept delegation from a single primary user, ensuring transparency and averting any potential conflicts arising from overlapping responsibilities.

UPI delegate payments offer a convenient and inclusive solution for customers, enabling dependents such as minors or elderly parents to manage expenses without the necessity of individual accounts. Furthermore, employees are granted the ability to conduct business transactions under the supervision of their employers, fostering empowerment and efficiency within the workplace.

Source - Business Today

Here's the official statement from NPCI stating all the guidelines -





As of now, I haven't seen this feature on UPI apps like Google Pay. Now that the guidelines are out, hopefully, we will soon see the feature on all UPI apps.

[itwasntme]

Great move! I currently use IDFC FamPay to allow my minor son to use his own smartphone UPI for sundry payments like auto rides, school tuck shop etc.

This delegation tweak will make things easier.

[fordday]

Is it already working or is it a circular to start the service?
I didn't see anything related in Gpay app.

[Burgman_tales]

This is just another way to fall into scams like the infamous AEPS

[dailydriver]

This, to me, appears like a scheme borne out of a Jamtarian's wet dream! I can clearly foresee many posts detailing novel UPI scams getting added to the fraud threads on the forum. A nation obsessed with technology but ignorant of cyber security is a dangerous notion.

[dgindia]

Originally Posted by Omkar

Attachment 2642824

Source - Business Today

Here's the official statement from NPCI stating all the guidelines -

Attachment 2642819

Attachment 2642818

As of now, I haven't seen this feature on UPI apps like Google Pay. Now that the guidelines are out, hopefully, we will soon see the feature on all UPI apps.

UPI Circle (Delegation of Payment) can be compared to supplementary credit cards, where your loved ones spent on shopping and you paid the credit card bill.

Now with UPI Circle, your loved ones (pun intended) can indulge in shopping, utilising hard earned fund lying idle in your bank account.

National Payment Corporation of India (NPCI) has been kind enough, so you don't have to follow the additional step of making payment for shopping done
with your UPI Circle (unlike payment to bank for supplementary credit spend). The money is directly deducted from your bank account.

This should make the Home Minister and Retailers happy.

[callvvijay]

Two sides of a coin

A very useful move. Would be convenient for the elders who do NOT have the UPI enabled.

At the same time, a bit risky move as we have already been witnessing a lot of scams around this UPI area.

I feel we can/should bite the bullet and launch it asap - considering that the elders are becoming tech-savvy at a fast pace

Cheers!

[itwasntme]

Originally Posted by callvvijay

At the same time, a bit risky move as we have already been witnessing a lot of scams around this UPI area.

Don't sass elders; my 83 year old FiL is a champ at UPI since BHIM days.

But seriously, I like the dual nature of the delegation. You can either choose to approve (maker-checker) the pending transaction OR set a limit on the transaction itself, i.e. without maker-checker.

For example, a delegated minor or elderly relative cannot transfer your life savings out to a scammer because their transaction/daily limit might be set at 2K.

I personally feel it will bring in millions of people safely into UPI.

[searacer932]

This is a good concept and should get launched. I will delegate this only to a person who is already familiar with UPI ways of working and not to an elderly person or a kid who may not be familiar with UPI!

[NPV]

As always, security and convenience are usually inversely proportional

Convenience comes at a cost and the only way to mitigate the security risks is with education. All UPI users must be aware of the pitfalls, Do’s and Dont’s and how to safely transact.

I’m a recent adopter of UPI and have it linked to a zero balance account for all the sundry, small expenses and it works like a charm. I also have a Rupay credit card linked for UPI. I don’t have to go vegetable shopping or to eat street food transacting in cash and small change anymore!

It would be nice to now have the same account linked for my family members to use with UPI instead of having their own separate zero balance accounts, it becomes a headache managing all of them.

[androdev]

This is a great feature for those dependant family members who have financial discipline but my experience has been that such members are rare! It's mostly kids buying a lot of junk food and adults ordering random stuff off e-commerce portals.

[somersault]

A useful feature getting introduced at the time, when my 16 year daughter is entering the college world and I am unable to provide her Gpay access on her Iphone.

[itwasntme]

Originally Posted by somersault

A useful feature getting introduced at the time, when my 16 year daughter is entering the college world and I am unable to provide her Gpay access on her Iphone.

Use IDFC FamPay which I am using for my 17 year old.

[searacer932]

Has any app implemented UPI Circle yet? I am unable to view this feature on BHIM, GPay, PhonePe & PayTM.

[Jaguar]

Originally Posted by searacer932

Has any app implemented UPI Circle yet? I am unable to view this feature on BHIM, GPay, PhonePe & PayTM.

Any luck? I tried on GPay and PayZapp today but couldn't find the option.