PhonePe Introduces UPI Circle Feature: A Game-Changer in Group Payments

PhonePe’s Latest Innovation Simplifies Group Transactions Without Needing Multiple Bank Accounts

A New Way to Handle Group Payments

PhonePe, one of India’s leading digital payments platforms, has launched its innovative UPI Circle feature, aiming to revolutionize how families and close-knit groups manage transactions. With the surge in digital payment adoption, this latest upgrade removes the traditional hassle of linking multiple bank accounts or sharing UPI IDs, streamlining financial interactions within trusted circles.

The UPI Circle feature empowers one designated primary user to approve and control payments on behalf of other members in the group. This move underscores PhonePe’s continued commitment to financial inclusivity, security, and user-friendly technology.

How PhonePe’s UPI Circle Works

The UPI Circle allows users to form a group in which one member—usually a parent, guardian, or financial head—acts as the primary user. This user has full authority over all transactions initiated by secondary members. While secondary users can request payments using their own UPI credentials, these payments only go through after the primary user’s approval.

Key functionalities include:

• Authorization of payments by the primary user

• Transaction history tracking and spending limit settings

• Member management, including additions or removals

• A cap of five secondary users per circle to maintain control

The setup process is straightforward. After updating the PhonePe app, users can locate the UPI Circle option on the home screen. Adding members requires inputting UPI IDs or scanning QR codes, followed by setting spend limits and a UPI PIN. Activation is completed within 30 minutes, ensuring a quick and secure onboarding.

Why UPI Circle Is a Digital Payment Breakthrough

UPI Circle addresses the needs of specific user groups such as families, the elderly, and students. It’s especially helpful for:

• Parents wanting to monitor and manage their children’s spending

• Senior citizens who face challenges using digital platforms

• Individuals who manage group expenses for small teams or households

The primary benefit lies in its security-first design, offering tight controls without sacrificing flexibility. Secondary users are required to authenticate each transaction using biometrics or passcodes, and only the primary user can finalize payments, ensuring misuse is virtually impossible.

A Secure and Scalable Solution

PhonePe’s UPI Circle also includes built-in security protocols such as:

• Dual-layer authentication

• UPI PIN requirement for the primary user

• Biometric/passcode verification for secondary users

• A maximum group size of five, maintaining a secure and manageable network

This feature enhances transparency in group spending and reduces the dependency on traditional banking infrastructure for every individual in the group. With such strong privacy and permission settings, PhonePe continues to lead the charge in India’s digital payments evolution.