NPCI will soon launch Delegated Payment System. In this, your family members will be able to use your UPI account with your consent. In this case, family members who do not have a bank account will be able to make payments from your UPI.
To take advantage of UPI payment service, you have to link your bank account to it, but now NPCI is preparing to launch a special service. In such a situation, those who do not have a bank account or do not have a debit card will also be able to make UPI payment. This new service of NPCI can prove to be very helpful for family members.
Know what is special in this
According to the information, NPCI will soon launch Delegated Payment System. In this, your family members will be able to use your UPI account with your consent. In such a situation, those family members who do not have a debit card or a bank account will be able to get the facility of making payment through your UPI. In simple words, in this the bank account will be single, but many people will be able to do UPI transactions from it. Other users will not need a bank account linked to UPI.
This is how UPI’s Delegated Payment System will work
To use ‘Delegated Payments’ on UPI, a savings account will be required. The person from whose account UPI will be used will have master access and if that person wants, he can give access of the account to anyone else for payment. This service will not be available on credit card or UPI credit line facility.
When NPCI officially launches the ‘Delegated Payment System’, users of UPI apps may receive a notification. The notification will ask if you would like to set up UPI for someone else from your savings account. It is yet to be decided how many people can avail the facility of ‘Delegated Payments’ from a main UPI ID and savings account.
Once you choose the facility of ‘Delegated Payment’, the person for whom this service is being set up will be asked for documents like number, Aadhaar card etc. for verification. After verification, you will be able to set a limit for your family or acquaintances as to how much UPI they can do from your account every month.
The secondary user for whom the ‘Delegated Payment’ facility has been set up will be able to use UPI after downloading the app, after verifying his number and Aadhaar, and after approval from the primary user’s main app.
Delegated Payment System’ is expected to increase UPI payments by 25-30%. This service can prove to be very useful for families living in villages and remote areas, where often only one bank account is used, and for the elderly and children who do not have their own bank accounts.
