Paytm launched its Pocket Money feature on May 18, enabling teenagers aged 13 to 19 to make UPI payments without holding a bank account. The product is built on NPCI's UPI Circle delegated payment framework. All payments settle against the parent's linked bank account.
Individual transactions are capped at Rs 5,000. Monthly aggregate spending is limited to Rs 15,000 across the UPI network. During the first 30 minutes after activation, the spending limit is Rs 500.
Parents retain the ability to freeze access, modify limits, or revoke delegation at any time. Cash withdrawals and international payments are prohibited under the feature.