Pradhan Mantri Jan-Dhan Yojana: Know its Features, Requirement, Benefits and more
WHAT IS Pradhan Mantri Jan-Dhan Yojana
An integrated strategy is used by the Pradhan Mantri Jan Dhan Yojana, a national mission on financial inclusion, to achieve full financial inclusion and offer banking services to all families in the nation. The programme guarantees accessibility to a number of financial services, including the provision of a basic savings account, access to need-based credit, remittances capability, insurance, and pension.The accomplishments made possible by the Pradhan Mantri Jan Dhan Yojana have also been honoured by Guinness World Records. According to their certification, “the Department of Financial Services, Government of India, achieved the most number of bank accounts opened in one week as part of the Financial Inclusion Campaign, which is 18,096,130.”
Documents needed to create a Pradhan Mantri Jan-Dhan Yojana account
A legally recognised document must be presented in order to create an account.
1) travel document.
2) a driver’s licence.
3) a card bearing a permanent account number (PAN).
4) the Election Commission of India’s Voter’s Identity Card.
5) NREGA job card properly signed by a state government authority.
6) a letter from India’s Unique Identification Authority that includes a person’s name, address, and Aadhaar number.
7) any more documents that the Central Government may notify after consulting with the Regulator:
8) The following papers will be regarded as legally legitimate documents in cases when simplified procedures are used to confirm the customers’ identities.
What are the Benefits of Pradhan Mantri Jan Dhan Yojana (PMJDY)?
- Deposit interest is available to beneficiaries.
- People who don’t immediately have access to legal documents or valid identification papers can create modest accounts without showing identification for at least a year.
- The programme gives recipients simple access to insurance and pension benefits.
- Beneficiaries are eligible for up to a $10,000 overdraft facility. This, however, is restricted to one account per household.
- Beneficiaries of this programme can also get loans of up to 5,000 after completing six months of account activity.
- If the beneficiary dies within the stated time, they are eligible for a life insurance payout of up to 30,000.
Features of Jan Dhan Yojana
The Jan Dhan Yojana’s services have generally been
sufficient for the country’s economically poorer regions.To fully comprehend
the programme, one might take into account the Pradhan Mantri Jan Dhan Yojana
elements listed below.
Account for Basic Savings Bank Deposit (BSBDA)
A BSBDA can be opened by any Indian citizen who is qualified
to open a standard bank account.Such an account has no minimum balance
requirement, and its owners are free to deposit and withdraw money at ATMs as
well as bank locations. The maximum number of cash withdrawals per month is
Low Balance/Chota Khata Account
People can open minor bank accounts via the Jan Dhan Yojana
without showing any official paperwork.They can select modest accounts, which
typically have a 12-month validity.Before this time, the account holder must
provide the required paperwork; else, the account will be shut off.A maximum of
50,000 can be deposited into these accounts by beneficiaries. The maximum
withdrawal is 10,000 per month.
Card Debit RuPay
To the owner of a Basic Savings Bank Account, PMJDY issues a
RuPay Debit Card.It is a well-known international card payment network that
safeguards consumers against phishing in India.If the accounts are managed
properly, the card will have credit capabilities.A cardholder must apply for a
new card before the current one expires.
Injury Insurance Protection
The Jan Dhan Yojana plan offers accidental insurance up to
$2,000 to holders of non-premium cards, and up to $1,000 to holders of premium
cards.This insurance will be available to everyone using a PMJDY-issued RuPay
Debit Card.The recipients will get the money in their bank accounts if they
properly file all the necessary paperwork within 60 days of the disaster.
Life Insurance Coverage
Under the PM Jan Dhan programme, owners of RuPay Debit Cards
can also obtain life insurance coverage up to 30,000.It will only be applicable
to those using debit cards to create their first bank accounts under the Jan
Dhan Yojana.The individual should also be the family’s head or a main earner.
Under the Jan Dhan Yojana, Bank Mitra Business Correspondent
Agents or Bank Mitras are primarily in charge of providing advising services to
the beneficiaries.Retail agents chosen by banks are frequently employed by Bank
Mitras.It is intended for rural regions with dispersed bank branches.Bank
Mitras establishes connections with the locals and offers assistance with
banking services including savings accounts, deposits, payments, withdrawals
and also the micro account statements, etc.