Pradhan Mantri Jan Dhan Yojana

About Pradhan Mantri Jan Dhan Yojana

• Pradhan Mantri Jan Dhan Yojana is a government scheme of financial inclusion
• It offers life cover of Rs 30,000 on natural death and Rs 1 lakh on accidental death
• Multi-benefit scheme (zero-balance savings bank account, loan, insurance, debit card)
• Loan benefit of up to Rs 5,000
• It aims to provide easy financial access to everyone at the national level
• This is a suitable scheme to provide financial independence to economically backward members of society

 How Does Pradhan Mantri Jan Dhan Yojana Work? 

Any individual above the age of 10 years can open a zero-balance savings account under the Pradhan Mantri Jan Dhan Yojana scheme and get a RuPay debit card for any retail transactions. He/she gets multiple benefits:

• Death cover: In case the individual dies due to natural causes within a year after opening  the savings account under this scheme, his nominee receives Rs 30,000. Also, additional cover of Rs 1 lakh is provided if the individual dies due to an accident, subject to the condition that the card holder has performed at least one financial transaction successfully within 90 days from the date of the accident.
• Overdraft/Loan facility: After a satisfactory operation of the account for 6 months, an overdraft of Rs 5,000 can be availed. If this overdraft is repaid punctually, then the bank could increase the individual’s borrowing limit to Rs 15,000.
• Mobile banking: A facility specifically designed to support any basic mobile phone handset. Basic banking transactions can be done conveniently through this feature.
• Zero balance: No minimum balance amount required in the savings account, hence minimum limit amount as low as zero balance is acceptable.
• Interest and Security on savings: Since it is a savings bank account, regular interest is paid by the bank on the remaining amount in the account. Due to Aadhar Card being linked with the account, the bank maintains security and transparency of the account details.
• Direct government scheme benefit: This scheme provides Direct Benefit Transfer for beneficiaries of government schemes like LPG subsidy.
• Debit card facility: The RuPay debit card is helpful for an individual to withdraw money anytime from the bank through ATM and allows access to transactions via swiping. 

 Why Should You Buy the Pradhan Mantri Jan Dhan Yojana Scheme? 

• Secure the family’s financial future in case of one’s unfortunate death
• Easy withdrawals from ATM anytime and easy retail transactions
• Minimum balance amount is not required
• Earn regular interest on savings

 Who Should Go for the Pradhan Mantri Jan Dhan Yojana scheme? 

• Anyone who is from an economically backward society
• Any individual who resides in rural India
• Any individual who works in the unorganised sector