Digital payments have become a cornerstone of daily life across India, but managing expenses for dependents without bank accounts, senior parents, or family members often involves sharing unlocked phones, revealing sensitive PINs, or relying heavily on cash. To bridge this gap, the National Payments Corporation of India (NPCI) has introduced UPI Circle, a feature that allows a primary account holder to authorize trusted individuals to make digital payments directly from their account while keeping complete financial control.

• What is UPI Circle and How Does It Work?

UPI Circle allows a primary UPI account holder to delegate payment authorization to up to five secondary users (such as children, elderly parents, or domestic staff). A secondary user can accept delegation from one primary user, allowing them to transact digitally without needing a separate bank account linked to UPI.

The feature offers two distinct delegation options based on your comfort and security preferences:

1. Full delegation (spend with limits): The primary user sets a monthly spending limit (up to INR 15,000/- per month, with a maximum per-transaction cap of  INR 5,000/-). Within these set parameters, the secondary user can make payments independently without real-time approval for every transaction.
2. Partial delegation (approve every payment): The secondary user initiates a payment request, but the transaction completes only after the primary user approves it using their UPI PIN. This option is ideal for monitoring expenses closely or introducing younger family members to digital money management.

• Key Benefits of Delegated Payments

1. Financial inclusion: Enables dependents who do not hold an active bank account to make seamless digital transactions for daily necessities, transport, or school supplies.
2. Enhanced security: Eliminates the risks involved in physically handing over unlocked smartphones or sharing account credentials and UPI PINs.
3. Real-time visibility: Primary account holders receive instant notifications and can view detailed records for every transaction made by secondary users.

• How South Indian Bank Empowers Your Digital Journey

As digital payment ecosystems evolve, having a reliable financial partner ensures your money remains secure while you enjoy convenience and support when you need it. South Indian Bank integrates modern payment frameworks with robust account controls to simplify everyday banking for every member of your family.

South Indian Bank’s mobile app, SIB Mirror+, and SIBerNet portal together offer easy access to account management, real-time transaction tracking, and instant security controls such as the e-Lock feature. With round-the-clock helpline support (1800 425 1809) and high-security digital banking protocols behind every login, SIB ensures digital transactions stay safe and stress-free, whether the account holder is managing personal cash flows or delegating family payments.

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Disclaimer: The article is for information purpose only. The views expressed in this article are personal and do not necessarily constitute the views of The South Indian Bank Ltd. or its employees. The South Indian Bank Ltd and/or the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial/non-financial decisions based on the contents and information’s in the blog article. Please consult your financial advisor or the respective field expert before making any decisions.