What is UPI Circle

UPI Circle: What is it | How does it work | Benefits

Delegate and manage payments securely

Shreya Garg

Cotodel Apr 11, 2025 3 min read

In an era of digital transactions, managing payments securely and efficiently is crucial. The National Payments Corporation of India (NPCI) introduced UPI Circle to simplify payment delegation while ensuring complete control and security. With this feature, users can authorize trusted individuals to make transactions on their behalf while maintaining oversight of payments being done done.

Read on to discover how UPI Circle can make your financial transactions more seamless and secure!

What is UPI Circle?

UPI Circle is a feature that enables a primary user to delegate payment rights to a trusted secondary user within predefined limits. This means you can authorize a family member, staff, or assistant to make payments while keeping control over transaction limits and security.

For example, you can allow your child, domestic help, or office assistant to handle certain payments without directly giving them access to your bank account. UPI Circle makes this possible with built-in security measures such as biometric authentication and UPI PIN verification.

Additionally, UPI Circle is designed to be user-friendly, requiring minimal setup. Users can activate this feature through their preferred UPI-enabled app and configure delegation settings within minutes.

UPI Circle Approval & Delegation by Primary User to Secondary User

Key Features of UPI Circle

1. Add Up to 5 Secondary Users: A Primary user can delegate payment rights to a maximum of five trusted individuals. However, a Secondary user can accept delegation from only one Primary user.

2. Secure Transactions with Bio-metric & UPI PIN: Every transaction made by a Secondary user requires bio-metric authentication or UPI PIN verification, ensuring security of the transaction.

3. Real-time Transaction Alerts: The Primary user receives live updates on all transactions, ensuring transparency and control.

4. Flexible Delegation Options: Primary user can choose if they want to give each Secondary user Full Delegation or Partial Delegation for transactions.

5. Transaction Limits for Security: The system ensures that delegated transactions remain within safe limits—up to ₹5,000 per transaction and ₹15,000 per month for full delegation.

6. Works Across Multiple Payment Scenarios: Whether it's managing household expenses, helping elderly parents, or handling team finances in a business setup, UPI Circle caters to various real-world needs.

Full Delegation vs. Partial Delegation

UPI Circle offers two types of delegation to suit different user needs:

UPI Circle Full Delegation

Full Delegation: The secondary user can make transactions up to ₹5,000 per transaction and ₹15,000 per month without requiring further approval.

UPI Circle Partial Delegation

Partial Delegation: The secondary user must send a payment request to the primary user, who then approves the transaction by entering their UPI PIN.

This flexibility allows users to set financial boundaries while granting convenience to trusted individuals.

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Why UPI Circle is a Game-Changer for Delegated Payments

UPI Circle is perfect for scenarios where controlled payment delegation is needed. Here’s how it can help:

  • • Assist Elderly Parents: Easily manage their digital transactions while keeping their accounts secure and not linking them to UPI.
  • • Budgeting for Children: Set spending limits for your school-going child without directly sharing your bank account access with them.
  • • Simplifying Household Expenses: Allow domestic help or administrative staff to handle small purchases while maintaining full financial control and without giving cash upfront.
  • • Managing Business Transactions: Employers can delegate specific payment responsibilities to team members while keeping overall control of company expenses.
  • • Emergency Situations: If a primary user is unable to make payments due to travel or health reasons, a trusted secondary user can handle transactions securely.

How to Activate UPI Circle?

Setting up UPI Circle is simple and quick:

1. Open your UPI-enabled app (BHIM, Google Pay, PhonePe, Paytm, etc.).

2. Navigate to the UPI Circle section in the app settings.

3. Add a secondary user by entering their UPI ID or registered mobile number.

4. Set delegation type (Full or Partial) and define transaction limits.

5. Authenticate the setup using bio-metric verification or UPI PIN.

Once activated, secondary users can begin making payments within the assigned limits while the primary user maintains full control.

Conclusion

UPI Circle is revolutionizing delegated payments by offering a secure, flexible, and transparent way to authorize transactions. Whether you want to manage household expenses, assist family members, or handle office expenditures, UPI Circle ensures peace of mind while keeping financial control in your hands.

With its seamless activation process, built-in security features, and real-time tracking, UPI Circle is a smart solution for modern digital payments.

At Cotodel, we’re building smart solutions that enable Targeted Business Spends on UPI. So, let us make your Business spends as seamless as your personal UPI spends!
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