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Home / Health Insurance / Articles / Government Schemes / Pradhan Mantri Jan Dhan Yojana (PMJDY): Financial Inclusion For All

Pradhan Mantri Jan Dhan Yojana (PMJDY): Financial Inclusion For All

Team AckoJan 18, 2024

Pradhan Mantri Jan Dhan Yojana was introduced with the vision of ensuring access to various financial services for every citizen, especially the unbanked population. The scheme aims to bring the marginalised and economically weaker sections of society into the formal banking system, providing them with a range of financial services and opportunities. In this comprehensive article, we will explore the Pradhan Mantri Jan Dhan Yojana, its significance, key features, eligibility criteria, and the benefits it offers.




What is the Pradhan Mantri Jan Dhan Yojana?

Pradhan Mantri Jan Dhan Yojana (PMJDY) is a mission to connect every Indian with a bank account. By promoting financial inclusion, the program strives to provide easy access to banking services, insurance, and pension schemes to the underserved sections of society. The scheme was launched on August 28, 2014, by Prime Minister Narendra Modi and has since made significant progress in expanding financial services across the country.

Key Features of Pradhan Mantri Jan Dhan Yojana

The Pradhan Mantri Jan Dhan Yojana is designed with several key features to ensure its effectiveness and reach. Let's take a look at some of these features:

  1. Zero Balance Accounts: Empowering the Unbanked: One of the key features of PMJDY is the provision of zero balance accounts. This means that individuals can open a bank account without any minimum balance requirement. This provision is especially beneficial for those who have limited financial resources, as they can access banking services without the burden of maintaining a minimum balance.

  2. Overdraft Facility: Financial Support During Emergencies: PMJDY accounts come with an overdraft facility of up to Rs. 10,000, subject to certain conditions. This feature provides a safety net to account holders during emergencies. It allows them to withdraw additional funds from their account even if their balance is insufficient, helping them meet urgent financial needs.

  3. RuPay Debit Card: Enabling Cashless Transactions: Every PMJDY account holder is provided with a RuPay debit card. RuPay is an indigenous card payment network in India. The RuPay debit card enables account holders to make cashless transactions, withdraw money from ATMs, and avail various banking services. This initiative promotes digital payments and financial inclusion, aligning with the government's vision of a cashless economy.

  4. Accidental Insurance Cover: Protecting Account Holders: PMJDY offers an accidental insurance cover of Rs. 2 lakh to account holders. This insurance cover provides financial protection in case of accidental death or disability. It ensures that the account holder's family receives financial support in times of distress.

  5. Life Insurance Coverage: Financial Security for Families: PMJDY provides life insurance coverage of Rs. 30,000 to eligible account holders. This insurance cover offers financial support to the nominee in case of the account holder's demise. It ensures that the family members of the deceased account holder have a safety net to rely on during difficult times.

Eligibility criteria for Pradhan Mantri Jan Dhan Yojana

The eligibility criteria for opening a PMJDY account are simple and inclusive, ensuring that even the most marginalised sections of society can avail the benefits. The following individuals are eligible to open a PMJDY account:

  • Indian citizens: Any Indian citizen, regardless of their gender, age, or occupation, is eligible to open a PMJDY account. The scheme aims to provide financial inclusion to all citizens of India.

  • Minors above the age of 10 years: Minors who are at least 10 years old can open a PMJDY account with the consent of their guardians or parents. This provision allows young individuals to have access to banking services from an early age, promoting financial literacy and inclusion.

  • Individuals without valid identity or address proof: PMJDY recognizes that there may be individuals who do not possess valid identity or address proofs, which are traditionally required to open a bank account. In such cases, PMJDY allows individuals without these documents to open accounts by providing alternate forms of identification, as prescribed by the participating banks.

It is important to note that while the eligibility criteria are inclusive, individuals must still comply with the requirements set by the participating banks. This may include providing necessary documents and fulfilling any additional criteria specified by the banks.

The simplicity and inclusivity of the eligibility criteria aim to ensure that the benefits of financial inclusion reach individuals from all walks of life, including those who have historically been excluded from the formal banking system.

Benefits of Pradhan Mantri Jan Dhan Yojana

The Pradhan Mantri Jan Dhan Yojana has brought about numerous benefits for the unbanked population and the overall economy. Let's delve into some of the advantages it offers:

  • Financial Inclusion: PMJDY has played a crucial role in promoting financial inclusion by bringing the unbanked population into the formal banking system. It has provided millions of people access to various financial services, enabling them to save, invest, and secure their future.

  • Direct Benefit Transfer: PMJDY accounts have facilitated the seamless transfer of government subsidies, welfare schemes, and other benefits directly to the beneficiaries. This has minimised leakages, eliminated middlemen, and ensured that the benefits reach the intended recipients.

  • Insurance Coverage: The accidental and life insurance coverage provided under PMJDY has given a sense of security to account holders and their families. In case of unforeseen events, the insurance benefits act as a safety net, offering financial support during difficult times.

  • Encouraging Savings: With easy access to bank accounts, individuals are encouraged to save their money in a secure and regulated environment. PMJDY has fostered a culture of savings, which is essential for long-term financial stability and economic growth.

  • Promoting Digital Payments: The issuance of RuPay debit cards to PMJDY account holders has facilitated the adoption of digital payment methods. It has encouraged individuals to move towards a cashless economy, promoting transparency, convenience, and efficiency in transactions.

Pradhan Mantri Jan Dhan Yojana: Documents Required

To open an account under Pradhan Mantri Jan-Dhan Yojana (PMJDY), you need the following documents:

  • Aadhaar Card: If you have an Aadhaar Card and number, no other documents are needed. A self-certification of your current address suffices if it has changed.

  • Officially Valid Documents (OVDs) without Aadhaar: If you don't have an Aadhaar Card, you can use any one of the following OVDs:

   - Voter ID card

   - Driving license

   - PAN card

   - Passport

   - NREGA Card (with address, serving as both identity and address proof)

Low-Risk Category Applicants: If you're categorized as low-risk by banks and lack the mentioned OVDs, you can open an account by providing:

  • An identity card with your photo issued by government departments, regulatory authorities, banks, or public institutions.

  • A letter from a gazette officer with an attested photo.

PMJDY simplifies the account opening process, ensuring financial inclusion for all.

Pradhan Mantri Jan Dhan Yojana (PMJDY): Success Stories

  • Total PMJDY Accounts (as of 19th August 2020): There are a total of 40.35 crore PMJDY accounts, with 63.6% of these accounts located in rural areas and 55.2% held by women.

  • Operative Accounts: Out of the total accounts, 34.81 crores (86.3%) are operative, reflecting the active usage and engagement of beneficiaries with the scheme.

  • Total Deposit Balances: The cumulative deposit balance across PMJDY accounts amounts to Rs. 1.31 lakh crore, underlining the substantial financial resources mobilized through this initiative.

  • First-Year Success: In the inaugural year of the scheme, 17.90 crore PMJDY accounts were opened, signifying the rapid adoption and acceptance of the program.

  • Remarkable Growth: Over the years, PMJDY has witnessed impressive growth, with deposits increasing nearly 5.7 times and the number of accounts growing 2.3 times between 2015 and 2020.

  • Jan Dhan Darshak App: To enhance accessibility and convenience, a mobile application called the "Jan Dhan Darshak App" was introduced. This citizen-centric app assists individuals in locating various banking touchpoints such as bank branches, ATMs, Bank Mitras, and Post Offices.

Rate of interest under PMJDY

It depends on the savings account interest rate offered by the respective bank.

Opening a Jan Dhan Yojana Account: A Simple Guide

  • Access the Application Form: You can obtain the Jan Dhan Yojana application form in both English and Hindi on the official PMJDY website (

  • Complete the Form: The form is known as the "financial inclusion account opening form" and is divided into three sections. You'll need to provide information about yourself, your nominee, and specify the bank where you wish to open the account.

  • Submission: After filling out the form, submit it along with the required supporting documents.

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:

Banks that provide the PMJDY Scheme

Private Sector Banks:

  • Dhanlaxmi 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)

Who offers the Pradhan Mantri Jan Dhan Yojana (PMJDY)?

Because it is a financial scheme, the government of India primarily offers it or private-sector banks and business correspondent outlets (Bank Mitr)

Pradhan Mantri Jan Dan Yojana Form

Here’s the link to the same. Click.

Details Required in PMJDY Application Form

Opening a Jan Dhan Yojana Account involves filling out an application form rather simple, it is bilingual i.e., available in English and Hindi on the official PMJDY website. 

Here's a concise breakdown of the essential details to be included in each of the three sections:

  • Bank Details: In this section, applicants need to provide comprehensive bank information, such as the name of the bank branch, town name, sub-district and block name, district, state, SSA code, village code, and town code.

  • Scheme Applicant's Details: This segment involves furnishing personal information, including the applicant's full name, marital status, father/spouse's name, address, PIN code, contact number, Aadhaar Card number, MNREGA job card number, occupation, annual income, number of dependents, asset details, existing bank account number, and Kisan Credit Card details.

  • Nominee Details: In this section, applicants must provide information about their chosen nominee, including the nominee's name, relationship, age, date of birth, and details of the authorized person to receive funds in the event of the nominee's demise.

Jan Dhan Darshak App for Financial Inclusion

The Indian Government introduced the Jan Dhan Darshak App as a tool for those interested in the Pradhan Mantri Jan Dhan Yojana (PMJDY) scheme. 

This user-friendly application serves a dual purpose:

  • Locating Banking Touchpoints: Individuals can conveniently use the Jan Dhan Darshak App to pinpoint the nearest bank branches, post offices, ATMs, or Bank Mitras. This feature simplifies access to essential financial services and resources, ensuring that people can easily find banking facilities in their vicinity.

  • Identifying Underserved Villages: The app plays a vital role in identifying villages lacking banking touchpoints. By mapping areas where banking facilities are scarce, the government can extend financial literacy and development opportunities to these remote communities. This effort aligns with the goal of comprehensive financial inclusion, ensuring that even the most remote villages have access to essential banking services.

Wrapping up

The Pradhan Mantri Jan Dhan Yojana has emerged as a game-changer in the realm of financial inclusion in India. By connecting the unbanked population with formal banking services, the scheme has empowered millions of individuals to actively participate in the country's economic growth.

Through its unique features, such as zero balance accounts, overdraft facility, insurance coverage, and digital payment options, PMJDY has revolutionised the way people access financial services. This initiative has not only improved the lives of the marginalised but also contributed to the overall development of the nation.

Frequently Asked Questions (FAQs)

Here are some common questions about Pradhan Mantri Jan Dhan Yojana.


How can I open a Pradhan Mantri Jan Dhan Yojana account?

To open a PMJDY account, you can visit your nearest bank branch or Business Correspondent (BC) outlet. Carry the necessary documents such as proof of identity, proof of address, and your photograph. The bank officials will guide you through the account opening process.

Is there any minimum balance requirement for a PMJDY account?

No, there is no minimum balance requirement for a PMJDY account. You can open and maintain the account with zero balance.

Can I avail an overdraft facility with a PMJDY account?

Yes, subject to certain conditions, PMJDY account holders can avail an overdraft facility of up to Rs. 10,000. The specific eligibility criteria may vary across banks.

What is the validity of the accidental insurance cover under PMJDY?

The accidental insurance cover provided under PMJDY is valid for one year. The coverage can be renewed annually based on the terms and conditions of the scheme.

Are minors eligible to open a PMJDY account?

Yes, minors above the age of 10 years can open a PMJDY account with the consent of their guardians.

Can I link my existing bank account to Pradhan Mantri Jan Dhan Yojana?

No, Pradhan Mantri Jan Dhan Yojana is specifically designed for individuals who do not have a bank account. If you already have a bank account, you can continue using it without linking it to PMJDY.

Disclaimer: The content on this page is generic and shared only for informational and explanatory purposes. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making any related decisions.


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