Opening a Jan Dhan Yojana Account is the key to financial inclusion in India

Financial inclusion has always been and continues to be a major concern in many developing nations across the world. However, in India, Pradhan Mantri Jan Dhan Yojana or PMJDY, launched in 2014, has been able to address it quite noticeably, by enabling the weaker section of the society to access financial services easily and affordably. In fact, till date, 41.93 crore people who were previously unbanked, have benefited from the program, and now have bank accounts. And their total account balance is a staggering number indeed, at Rs. 138,901.65 crore. Are you eager to know more?

Well, by virtue of this scheme, a person who does not have any bank account can open a BSBD or basic savings bank deposit account with any bank branch or Bank Mitra. The aim of this national mission is to ease your access to insurance, remittance, credit and pension as well. Read on to know why Jan DhanYojana is beneficial and how you can open an account.  

Also Read: Can India ensure financial inclusion for its unbanked millions

The Many Advantages of Pradhan Mantri Jan Dhan Yojana

All the benefits of this financial inclusion program are listed below:
 

• An unbanked individual can open one basic savings bank account. This will improve their awareness about the formal financial sector and its benefits.
   
• Having a Jan Dhan Yojana account means you do not need to maintain a minimum balance.This can be a relief for economically challenged people who work hard to meet even the basic needs. However, if you need a cheque book, you have to maintain a certain minimum balance as per the bank’s rules.
   
• The deposit in your PMJDY account will earn you interest as well, which is a smart way to grow wealth.
   
• Every PMDJY account holder receives a Rupay debit card for convenient transactions at shops, ATMs or even on online platforms.
   
• The Rupay debit card also comes with accident insurance cover of Rs. 1 lakh (if the PMJDY account was opened before or on 28.8.2018) or Rs. 2 lakh (if the account was opened after 28.8.2018). This means, anyone who opens a Jan Dhan Yojana account now will get a cover of Rs. 2 lakh, which can come in handy in case of an unforeseen event. Especially for financially challenged people, having insurance means they will not have to dip into their meager savings to get treatment.
   
• PMJDY account holders can enjoy an overdraft facility of up to Rs. 10,000 if they are eligible for the same. This can be immensely helpful if you need funds urgently for any personal or business-related need. 
   
• If you have a PMDJY account, you will also be eligible for the following:
   
  • Pradhan MantriJeevanJyotiBimaYojana (PMJJBY)
     
  • Atal Pension Yojana (APY)
     
  • Pradhan Mantri Suraksha BimaYojana (PMSBY)
     
  • Micro Units Development & Refinance Agency Bank (MUDRA) scheme
     
  • Direct Benefit Transfer (DBT)

Now that you know about the different benefits offered under Pradhan Mantri Jan Dhan Yojana, it is time to understand the process of opening an account.

Also Read: Government Schemes for Women Entrepreneurs in India

Steps to Open a Jan Dhan Yojana Account

Follow the steps listed below to enjoy the benefits of a Jan DhanYojana account without delay:
 

1. Open PradanMantri Jan DhanYojana’s official website or the website of any bank to procure the application form.
    
2. Fill up the form and get the necessary documents in place. You can provide any of the following documents:
    
   1. Permanent Account Number or PAN card
       
   2. Driving license
       
   3. Passport
       
   4. Voter identity card
       
   5. Letter (containing name, address and Aadhaar number) issued by the Unique Identification Authority of India
       
   6. Job card, signed by a state government officer and issued by NREGA
       
   7. Any other document affirmed by the central government, post consultation with the regulator
       
3. Next, visit your nearest bank branch with the form and documents. Once the authorities examine the same, they will open a Jan Dhan Yojana account for you.
    

Facilities you Get to Enjoy with a PMDJY Account Even Without a Minimum Balance

Having a PMDJY account means you can deposit cash at the bank branch and ATMs too. You will be able to receive money through electronic channels or by depositing cheques that are drawn by government entities. Money transfer will also become smooth and hassle-free.

Most importantly, there is no Jan Dhan Yojana account limit that you need to keep in mind when it comes to the value or number of deposits done per month. Essentially, you can deposit as much money as you want in it. However, a maximum of 4 withdrawals are allowed on a monthly basis, whether you use an own bank ATM or others. In case you need to withdraw money from your PMDJY account more than 4 times, you will need to bear some charge for it.

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To conclude
If you wish to know more about the PM Jan Dhan Yojana account, check online and see what leading financial institutions have to say about it. This novel scheme, launched in 2014, has changed the lives of a large number of unbanked people till date. It educates and empowers those who lack banking or financial literacy, earn a low income, or live in areas lacking urban conveniences. Moreover, since opening a PMJDY account is simple and requires minimal documentation, everyone can make the most of it.