New UPI feature lets you authorise others to make transactions from your account
The primary user who is the account holder can authorise a secondary user to make transactions using their bank account up to a specified limit.
Unified Payments Interface (UPI) users may now be able to authorise other users to make transactions using their bank account.
Also Read: UPI limit increased from ₹1 lakh to ₹5 lakh per transaction
When was the new feature announced?
This new delegated payment feature was announced by Reserve Bank of India (RBI) Governor Shaktikanta Das on Thursday, August 8, as he announced the RBI's monetary policy outcome.
Also Read: RBI keeps repo rate unchanged at 6.5%; Inflation, GDP growth forecast for FY25 retained
The monetary policy committee on kept the repo rate unchanged at 6.5% for the ninth time in a row.
How does the new delegated UPI payment feature work?
The primary customer who is the account holder can now, authorise another person, known as a secondary user, to carry out transactions using the primary customer's bank account, but up to a specified limit.
“This will further deepen the reach and usage of UPI digital payments,” Das said.
Also Read: India's forex reserves hit record high of $675 billion as of August 2
Further details on the feature and its operations are yet to be announced.
Apart from the new feature, the RBI also increased the UPI limit for individuals to pay tax from ₹1 lakh to ₹5 lakh.