Pradhan Mantri Jan-Dhan Yojana is a government scheme launched by the government of India to provide easy access to financial services such as Remittance, Credit, Insurance, Pension, Savings and Deposit Accounts to poor and needy section of our society.
|Interest Rate||Based on the saving’s account interest rate offered by the bank|
|Minimum Balance||Zero balance account|
|Accidental Insurance Cover||Under Rupay Scheme, Rs.1 lakh. Accounts opened after 28 August 2018, Rs.2 lakh|
Table of Contents
The Indian Government launched the Pradhan Mantri Jan Dhan Yojana (PMJDY) in order to provide financial services and products to individuals who do not have access to a bank account.
- No minimum balance to be maintained
- As per bank’s saving’s account interest rate
- Transfer of money is simple
- Overdraft facility available
About Pradhan Mantri Jan Dhan Yojana
The scheme was launched in August 2014, and according to the Ministry of Finance, over 4 crore banks accounts have been opened till September 2014. Under the PMJDY scheme, some of the financial services that are offered to individuals are pension, insurance, and banking.
Under PMJDY zero balance account can be opened by individuals. However, in case individuals would like to have access to the cheque facility, maintenance of a minimum balance is mandatory. No charges will be levied on the individual to open an account under the PMJDY scheme.
How to open a Jan Dhan Yojana Account?
To open a Jan Dhan Yojana Account, you need to get the application form, that is available in both English and Hindi and is available on the official website of PMJDY (https://www.pmjdy.gov.in/scheme). Fill it up and submit it along with the necessary documents. The application form is called the financial inclusion account opening form. It consists of three sections where in you need to provide details of yourself, nominee and the bank where the account is being opened.
In order for individuals to open a PMJDY account, the below given criteria must be met:
- You must be citizen of India
- You should be at least 10 years of age
- You should not have a bank account
Documents required to open PMJDY account
In case individuals wish to open an account, viable documents must be submitted. The list of documents required for PMJDY account under the scheme are mentioned below:
- Permanent Account Number (PAN) Card
- The National Rural Employment Guarantee Act (NREGA) issued job card.
- Driving licence
- Voter ID
- Identity card with photo which has been issued by the central or state government departments, public sector undertakings, scheduled commercial banks, public financial institutions and statutory or regulatory authorities.
- A photograph which has been attested along with a letter from a Gazetted officer must be submitted.
Rate of interest under PMJDY
Based on the savings account interest rate offered by the bank.
Benefits of the PMJDY scheme
Given below are the main benefits of PMJDY scheme:
- Interest is offered on the deposits that are made towards the savings account opened under the scheme.
- Individuals need not maintain a minimum balance under the scheme. However, in case they wish to avail cheque facilities, a minimum balance must be maintained.
- In case individuals maintain the account in a good manner for 6 months, an overdraft facility is provided.
- Individuals receive Accidental Insurance cover of Rs.1 lakh under the RuPay scheme.
- In case the account was opened between 20 August 2014 and 31 January 2015, life cover of Rs.30,000 is provided in case the beneficiary passes away.
- Under the scheme, insurance products and pension access are provided.
- In case individuals are beneficiaries of government schemes, Direct Benefit Transfer option is provided.
- An overdraft facility of Rs.5,000 is provided to one account in the household. The facility is usually provided to the lady in the house.
- The Personal Accident cover can be claimed only after the RuPay Card holder has made a successful non-financial or financial transaction. Transactions made within 90 days of the accident are considered to be PMJDY eligible transactions under the scheme. However, the transaction must be made at an E-COM, POS, ATM, Bank Mitra, bank branch, etc.
- Account holders can check their balance using the mobile banking facility.
Banks that provide the PMJDY scheme
Individuals can open an account under the PMJDY scheme at both public and private sector banks. Given below are the list of banks that participate in the scheme:
Private Sector Banks:
- Dhanalaxmi Bank Ltd.
- YES Bank Ltd.
- Kotak Mahindra Bank Ltd.
- Karnataka Bank Ltd.
- ING Vysya Bank Ltd.
- IndusInd Bank Ltd.
- Federal Bank Ltd.
- HDFC Bank Ltd.
- Axis Bank Ltd.
- ICICI Bank Ltd.
Public Sector Banks:
- Oriental Bank of Commerce (OBC)
- Union Bank of India
- Allahabad Bank
- Dena Bank
- Syndicate Bank
- Punjab & Sind Bank
- Vijaya Bank
- Central Bank of India
- Punjab National Bank (PNB)
- Indian Bank
- IDBI Bank
- Corporation Bank
- Canara Bank
- Bank of India (BoI)
- Bank of Maharashtra
- Andhra Bank
- Bank of Baroda (BoB)
- State Bank of India (SBI)
FAQ’s On PMJDY
- Can I open a joint account under Pradhan Mantri Jan Dhan Yojana?
- Where do I open a bank account under PMJDY?
- Can I link my link mobile number with my bank account opened under PMJDY?
- What is a small account or chota khata account under PMJDY?
- Am I eligible to enjoy life insurance coverage under my PMJDY Bank Account?
- How much life insurance cover is offered under PMJDY?
- If I have multiple bank accounts under PMJDY, will my dependents receive multiple health insurance cover?
- Does the PMJDY scheme offer accident life insurance cover?
- Is overdraft/loan facility available under PMJDY?
- Is it possible to extend my loan amount taken against my PMJDY Bank Account?
- How much processing fees do I need to pay for processing g the loan against my account?
- What about mobile banking facility? Does my account opened under the PMJDY scheme provide mobile banking?
- What is death benefit eligibility under PMJDY?
- Is a minor eligible to open a bank account under PMJDY?
- What is the minimum age required for minors to be eligible for a bank account under PMJDY?
- Are minors eligible to receive RuPay Cards offered under PMJDY Bank accounts?
- What are the documents required for opening a bank account under PMJDY?
Yes, you can open a joint account under Pradhan Mantri Jan-Dhan Yojana.
You can open a bank account under PMJDY with a nominated bank providing this scheme or any other Business Correspondent outlets.
Yes, you can link your mobile number with your bank account. You can do so by contacting your bank where you have opened your bank account under PMJDY. Bank will enter your mobile number in the CBS system based on the information provided by you.
A small account is a kind of bank account opened under PMJDY for 12 months. A small account PMJDY can be opened by a person who does not have valid documents to open an account. However, after 12 months, the account holder needs to submit required documents to continue the account.
Yes, your family members would receive life insurance cover in case something unexpected happens to you.
The scheme offers a life insurance cover of Rs. 30,000.
No, your family members will not receive multiple life insurance cover. Only one account will be considered and based on it, the life insurance cover will be issued to one individual.
Yes, the scheme offers accidental insurance cover as well. The scheme offers up to Rs. 1 lakh as accidental life insurance coverage.
Yes, it is available under the Pradhan Mantri Jan Dhan Yojana. An account holder can avail loan up to Rs. 5000 against his/her bank account opened under PMJDY. However, in order to avail this benefit any account holder needs to continue the account for six months.
Yes, it is possible to extend your loan/overdraft taken against your PMJDY Bank Account. Bank may increase this amount, provided you make your repayments on time.
You don’t have to pay any processing fees to get a loan against your account.
Yes. You can enjoy mobile banking facility with your bank account opened under the PMJDY scheme. You can transfer can check and transfer balance by using a normal cell phone.
The death benefit eligibility is applicable to nominee chosen by the account holder. The select nominee would receive a death benefit of Rs. 30,000 in case something unexpected happens to the life assured.
Yes, a minor is also eligible to open a bank account under PMJDY under the guidance of seniors.
The minimum age of a minor should be 10 years.
Yes, minors are also eligible to get RuPay Cards. They can use the card 4 times in a month for cash withdrawal.
Any of the following documents is required for opening a bank account under PMJDY:
- Aadhaar Card
- Voter ID Card
- Driving license
Yes. You can still open a bank account. What you have to do is to provide an identity proof issued by the government of India.
Yes. It can be availed by illiterate account holders as well. RuPay Card is a kind of debit card issued for the purpose of ATM withdrawal and making PoS payments. The concerned bank officials will educated the illiterate RuPay Card holders as to how to use this card and keep it safe at the time of card issuance.
Usually, the accounts opened under PMJDY are Zero balance accounts. If an account-holder wishes to get cheque book, he/she will have to fulfill the minimum balance criteria required by a bank.
Normally, the applicable rate of interest is 4%. However, it is subject to change.
The applicable rate of interest is 12%. It is usually counted as base rate +2% or 12 %, whichever is lower.
No. As per rules banks cannot charge any account opening fees. These accounts are completely free from any charges.
Yes, you can easily transfer your PMJDY account from one city/state to another as all banks offering bank accounts have core banking solutions. You can do this by simply requesting the bank.
Bank Mitr refers to the business correspondents agents who provide banking services at select locations. The Bank Mitr represents the bank and helps it expand its outreach. It offers banking services at low cost at areas where establishing a brick and mortar branch is not feasible. Retired Bank Employees, Retired Teachers, Retired Government Employees and Ex-Servicemen can join as a Bank Mitr.
The accounts opened under the PMJDY scheme are zero balance accounts. You don’t have to put any minimum balance in your account.
It is a small device installed at business centers to help you enjoy cashless purchases. PoS stands for point of sale.
Your RuPay Debit Card will remain operative even if you don’t use it for one. But, if you don’t use it for 45 days, it will stop being operative. You need to use this card at least one time in 45 days.
It depends on banks. Some banks may allow you to open a one while others may not. So, it is advisable you persuade one of your family members who don’t have a bank account to reap this benefit offered by PMJDY.
No, income taxpayers and their dependents are not allowed to enjoy life insurance cover offered by PMJDY Bank accounts.
The exit age determined by this scheme is 60 years. The moment you turn 60 years, you need to quit the scheme.
No. You don’t have to service tax if you are a banking correspondent under PMJDY. This is a new inclusion made by the PMJDY scheme.
The minimum age required for opening a BSBDA account is 10 years.
Yes, you renew your debit card once its validity is over. The expiry date of your debit card will be written on your card only. So, check your date and opt for a new card before the expiry date is over.
Yes, you can open an account without an Aadhaar Card. But, you need apply for an Aadhaar Card and submit it your bank in the future. In the absence of Aadhaar Card, you submit any one of the following documents -Voter ID Card, Driving License, PAN Card, Passport or NREGA Card.
You can still open a bank account under the PMJDY scheme and continue it for 12 months. This account is called Small Account. After completion of 12 months, you need to submit required documents to continue the account.
Yes. You can change your address by proving a self-declaration certificate or submitting supporting documents.
PMJDY Top Pages
- Application Form for Jan Dhan Yojana
- Zero Balance Account through PMJDY
- PMJDY Withdrawal
- PMJDY Benefits
- PMJDY Account Eligibility
- PMJDY Overdraft Facilities & Benefits
- Small Account or Chota Khata Account Under Jan Dhan Yojana
- Documents Required for Jan Dhan Yojana Account
- How to Open PMJDY Account for a Minor
PMJDY Other Pages
- How to Transfer Old Accounts Under PMJDY
- How Can You Contact PMJDY Team
- Pradhan Mantri Yuva Yojana
- Pradhan Mantri Krishi Sinchai Yojana
- Pradhan Mantri Garib Kalyan Yojana
- Pradhan Mantri Ebasta Scheme
- Pradhan Mantri Shram Yogi Maan Dhan
- Pradhan Mantri Matru Vandana Yojana
- Pradhan Mantri Vaya Vandana Yojana