Paytm has announced a new feature called Paytm Pocket Money, which aims at helping teenagers with no bank accounts make UPI transactions. The feature has been built on NPCI’s UPI circle, and allows parents or trusted family members to have realtime visibility into the teenager’s Paytm app while allowing them access to safe and controlled spending. Under this feature, parents can invite their teenager through UPI Circle, set a monthly spending limit, and track payments in real time.
Also read: Later You Start, Better You Are: Vijay Shekhar Sharma, Paytm
To keep it safe, each transaction is capped at Rs 5,000, while the total monthly limit is Rs 15,000 across the UPI network. The service works with savings and current accounts, but international payments and cash withdrawals are not allowed. It also has several safety features, including a Rs 500 transaction limit for the first 30 minutes after setup and a Rs 5,000 limit during the first 24 hours. A device lock is compulsory, and parents can change limits or cancel access instantly using their Paytm UPI PIN.
How to Enable Paytm Pocket Money for Teenagers
Users can enable Paytm Pocket Money by following these steps:
- Update the Paytm app from the App Store or Play Store.
- Open the app and tap on ‘To Mobile / Contact’.
- Select ‘Pocket Money’ to begin the setup process.
- Enter or select the contact for whom Paytm Pocket Money needs to be enabled.
- Scan the user’s UPI QR code or enter their UPI ID.
- Complete the verification process using the required document details.
- Set a monthly spending limit by choosing from the available options or entering a custom amount.
- Select the primary bank account and enter the Paytm UPI PIN to complete the setup.
- The selected user must accept the invitation to activate Paytm Pocket Money.
If the ‘Pocket Money’ option is not visible, users may need to update the Paytm app to the latest version from the App Store or Play Store. Recently, Google had announced a similar feature for its users. Google Pay is offering “Pocket Money” through its UPI Circle feature, enabling a Primary user to manage payments for dependents or trusted contacts.
