UPI Circle: Even if your bank account has zero balance, you can now make UPI payments! The National Payments Corporation of India (NPCI) has launched a new feature called ‘UPI Circle’, which allows users to authorize trusted people to make limited transactions from their account. Let’s understand how it works, how to activate it, and who can benefit from it.
What Is UPI Circle?
UPI Circle is like a “trust circle” where you can give specific people—like your family members or trusted friends—permission to make limited transactions from your UPI account.
The best part: even if your account currently has no balance, the authorized person can still make payments within the limit you’ve set.
Example: If you set a ₹2,000 limit for your child, spouse, or employee, they can make payments up to that amount without needing your approval each time.
How Does the UPI Circle Feature Work?
There are two types of users under this feature:
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Primary User: The account holder who shares UPI access.
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Secondary User: The trusted person who is allowed to make limited transactions.
The secondary user can make UPI payments, but only within the predefined transaction limit. The primary user can also choose to require approval for every transaction if desired.
How to Activate the UPI Circle Feature
If you’re using the BHIM UPI app, enabling this feature is simple:
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Open the BHIM UPI app on your phone.
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Log in using your registered mobile number.
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Select the option “UPI Circle.”
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Add the person you want to authorize using their phone number, UPI ID, or by scanning a QR code.
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Set the maximum transaction limit they can use.
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Optionally, enable approval for each transaction.
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Enter your UPI PIN and submit.
That’s it! Your UPI Circle is ready. The authorized person can now make payments within the limit you’ve set.
Who Will Benefit the Most?
This feature is especially useful for people who don’t use digital payments directly or don’t have their own bank accounts.
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Parents: Can allow children to make small payments with a preset limit.
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Senior Citizens: Can let their children handle digital transactions safely.
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Business Owners: Can set spending limits for drivers or staff for fuel or travel expenses.
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Households: Busy couples can authorize domestic workers or delivery staff for limited household transactions.
UPI Circle Transaction Limits
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₹5,000 per transaction per device
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₹15,000 monthly limit per device
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₹2,000 limit for the first 24 hours after linking a new device
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Up to 5 devices or software apps can be linked at once
Why This Feature Matters
Even today, many people depend on cash because they either don’t have a bank account or are uncomfortable with digital payments. UPI Circle helps such individuals participate in digital transactions safely.
It promotes India’s cashless economy and makes payment management easier within families and small businesses.
FAQs
1. Can I really make UPI payments with zero balance?
Yes. With UPI Circle, you can authorize trusted people to make limited transactions from your account—even if your balance is zero.
2. Do I need bank approval for this feature?
No. You can activate it directly through BHIM or other UPI apps (as they roll out support).
3. What is the transaction limit under UPI Circle?
₹5,000 per transaction and ₹15,000 per month per device.
4. Is this feature only available on the BHIM app?
Currently, it’s available on BHIM UPI, but it will soon expand to other UPI apps.
5. Is UPI Circle safe?
Yes. It includes approval settings and transaction limits, ensuring complete security and control.
In Summary
The UPI Circle feature makes digital payments more flexible, inclusive, and convenient—especially for families, small business owners, and individuals without direct banking access. It’s a smart step toward India’s goal of a truly cashless economy, empowering people to stay connected through trust-based digital payments.
