Google Pay has introduced a revolutionary new UPI feature aimed at transforming digital transactions in India, allowing users to make payments without needing a bank account. Tailored specifically for the Indian market, this innovation is designed to make everyday payments more accessible and convenient, easing the process of sharing expenses or transferring money to family and friends. This feature marks a significant shift in India’s digital payments landscape, supporting millions of users, including those without access to traditional banking services, in joining the cashless economy.

At the heart of this update is the “UPI Circle” feature, which enables primary Google Pay account holders to authorize trusted family members or friends to make payments using the primary account, even if they don’t have their own bank account. This dual-user setup within a single UPI account offers both flexibility and enhanced convenience, making it possible for individuals without bank accounts to participate in digital payments. For instance, UPI Circle could be especially beneficial in households where only one person has a bank account, yet other family members need access to funds for essential transactions.

Security and control are core considerations in this new feature, and Google Pay has introduced two levels of account delegation for primary users: Partial Delegation and Full Delegation. These options provide account holders with customizable control over how secondary users access and use the funds in the UPI account.

1. Partial Delegation: This option is ideal for users who want to keep a close watch on all outgoing funds. In Partial Delegation, primary users can limit secondary users to “requesting payments” only, ensuring that all transactions require approval from the main account holder. This setting is perfect for scenarios where a primary user, such as a parent or guardian, wants to enable a young family member to make payments under supervision. It empowers secondary users to initiate payments but still gives the main account holder the final say, ensuring peace of mind for all parties involved.
2. Full Delegation: This option provides even more independence to secondary users while maintaining a controlled spending environment. In Full Delegation, primary users can set a monthly spending cap—capped at Rs 15,000—for secondary users. Once this cap is set, secondary users can make payments freely up to this amount without requiring further approval. This level of delegation is well-suited for families who wish to allocate a fixed amount for monthly expenses, such as groceries or school fees, and trust secondary users to manage these funds independently within the limit. It offers a practical way to empower family members while ensuring responsible usage within a set budget.

Complementing the UPI Circle feature, Google Pay has also introduced UPI Voucher (or eRUPI), adding another layer of convenience and accessibility. UPI Vouchers are prepaid, digital vouchers that can be linked to a mobile number and used for payments without a bank account. These vouchers are perfect for a variety of use cases, such as gifting funds to friends and family or enabling cashless transactions for individuals without direct bank access. Whether it’s a birthday gift, a one-time allowance, or a donation to a cause, eRUPI vouchers allow users to share funds easily, quickly, and securely.

eRUPI vouchers also have the potential to support small businesses or individuals who receive payments for goods or services. Recipients can use these prepaid vouchers as digital currency, bypassing the need for bank-linked digital payments. This feature not only broadens access but also aligns with India’s broader push toward financial inclusion, providing greater access to digital finance for those outside the formal banking system.

With these new UPI features, Google Pay has reimagined digital transactions in India, making payments easier, safer, and more inclusive. This update enhances the Google Pay experience, opening up new possibilities for users across the country and helping bridge gaps in financial access. By making transactions accessible to those without bank accounts and enhancing control for primary users, Google Pay is supporting financial inclusion while ensuring that the platform remains flexible, secure, and user-friendly.