BHIM UPI – Major news for BHIM UPI users. To make digital payments in India even easier and more secure, the BHIM UPI app has launched a new feature called UPI Circle. This feature now allows you to make payments to trusted family members or friends even if you have a zero balance in your bank account. This feature is especially useful for those who often need to send money quickly in an emergency but don’t have sufficient balance in their account.
How does the UPI Circle feature work?
UPI Circle allows you to make payments from your bank account to people you trust. You first need to decide which family members or friends will be included in the Circle and how much you want them to send. You must have funds in your account. Those you add to UPI Circle will be able to make payments even if they don’t have funds in their account. This gives you complete control over your transactions, as you can set permissions for each transaction.
How to activate UPI Circle?
Activating this feature is very easy. Open the BHIM UPI app, then go to the Circle section. Here you can add new members and set limits for each member. Once set, people you trust will be able to transfer limited amounts from your bank account without your permission, at no additional cost.
What is UPI Circle?
Payment processing in UPI Circle is simple. There’s a primary user who adds trusted individuals as secondary users. These secondary users can send money from the same bank account, but their access rights are limited.
For example, suppose a father (Primary User) adds his son and wife (Secondary Users). The son can now make payments like grocery bills or school fees using UPI. However, the money will be deducted from the father’s bank account. If the father has set auto-approval, the payment will be processed immediately. However, if manual approval is set, the father will receive a notification on his mobile phone for each transaction and will need to approve it.
What are the benefits of UPI Circle?
The biggest advantage is that you don’t need to keep your account pre-loaded with money all the time. You can keep your money safe by trusting your family or close friends with payments when needed. This feature is especially important for families where elderly people handle financial transactions themselves or children help their parents. Furthermore, with UPI Circle, you can avoid fraud during digital transactions because your permission is required for every transaction.
The UPI Circle feature further strengthens the Digital India vision under the government’s Digital India mission. This feature promotes cashless transactions in India and provides users with a more secure digital payment experience.