Finances are an integral part of a person’s life. Without having one’s finances in place, getting by through the everyday rigmarole of life can be quite cumbersome. And while finances are relatively easier to manage for those with a steady income, it becomes increasingly difficult for the poor and the marginalized to manage their finances effectively. 

Since a majority of those under the Below Poverty Line or the BPL are daily wage workers, they end up living on a day-to-day basis with absolutely no concept of savings and having future plans. This leads to them being looped in a vicious cycle of poverty, generation after another. 

To break the wheels of this endless cycle, the Government of India introduced the Pradhan Mantri Jan Dhan Yojana (PMJDY). 

About the Yojana

PM Narendra Modi announced the PMJDY on the 15th of August 2014 from the Red Fort. Since then, government banks all around the nation have strived to bring people onto the financial revolution in India. 

The Pradhan Mantri Jan Dhan Yojana is said to be the biggest financial inclusion initiative in the world. While announcing the scheme, the PM also stated that this scheme would be the liberation of the poor from the vicious cycle of poverty. 

What is the scheme about?

The Pradhan Mantri Jan Dhan Yojana is a scheme to ensure access to various financial services like banking or savings and deposit accounts, credit, insurance and even pension. The mission promises to offer these and several other services in an affordable and hassle-free manner. 

What does one need to get a Jhan Dhan Yojana account?

In order to avail benefits from the PMJDY, the applicant would require the following documents:

  1. Aadhar Card or Aadhar number. If the applicant has the Aadhar number, then no other documentation will be needed. In case the applicant’s address has changed, then just a self-certification of the current address should suffice. 
  2. In case the applicant does not have an Aadhar card or Aadhar number than any of the following documents would be required: Voter ID card, Driving license, PAN card, Passport, NREGA card. If any of these documents contain your correct address, then the document will act as both – proof of address and identity. 

Benefits under the PMJDY

There are several benefits that come with having a PMJDY account. Some of the special features are:

  1. Interest on deposit
  2. There will be an accidental insurance cover of ₹1 lakh
  3. There is no requirement of a minimum balance. However, for the sole purpose of withdrawal of money through the ATM service with the Rupay card, the account holder would need to have some balance in the account. 
  4. Life insurance of ₹30,000 will also be offered. 
  5. Overdraft facility of up to ₹5000 would also be available but only one account per household. Preferably, the lady of the household would get this benefit. 

Summing it up

The PMJDY is a brilliant scheme to help those who are stuck in the jaws of poverty, year after another. With this scheme in place, not only would people get better with finances, but will eventually get to lead a dignified life. 

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