An under-display camera is positioned underneath a display of a mobile device. The under-display camera captures an image using light passing through a portion of the display. The mobile device displays a display image on the display, the display image based on the image. The mobile device displays an indicator overlaid over the display image on an indicator area of the display that overlaps with the portion of the display. The indicator may identify the position of the camera. The mobile device can compensate for occlusion of the camera by continuing to display a previous display image if a more recently captured image includes an occlusion. The mobile device can give users alternate ways to select areas of the display image to avoid camera occlusion, for instance using hardware buttons and/or touchscreen interface elements.