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Pradhan Mantri Jan Dhan Yojana: Is it for you?

Created on 03 May 2023

Wraps up in 6 Min

Read by 2.8k people

Updated on 19 Sep 2023

Pradhan Mantri Jan Dhan Yojana(PMJDY) is a scheme launched by the Ministry of Finance in 2014. It aims for each and every citizen to become saksham in accessing financial services like remittance, insurance, and pension. Account holders can also avail of credit, like taking loans for various purposes, saving and deposit services. Its major focus is on the poor population of both urban and rural regions. This is because underprivileged people, especially those below the poverty line, are unable to open bank accounts. If they still open the accounts, they find it difficult to maintain them. 

Why? Because, let's be honest, keeping a minimum balance in a bank account can be challenging for many of us, especially when we have the unfortunate habit of frequently emptying our accounts. It can feel like a burdensome obligation that puts us in a tough spot. PMJDY helps people big time by providing a solution to this issue. This contributes to overcoming this challenge by providing a practical solution, allowing them to open and operate bank accounts even with zero balance.

Eligibility For PMJDY 

We now know what Pradhan Mantri Jan Dhan Yojana is. Now let's see who is qualified to become a PMJDY account holder-

  • You should be an Indian citizen (Obviously!!!!)
  • Even if you don't have a bank account, this scheme allows you to participate without any hassle.
  • If you happen to have a bank account already, no worries! You can easily open a PMJDY account by simply linking it to your existing bank account. (Note: PMJDY accounts are designed for individuals who do not have a bank account.)
  • Your age should be 18-59 years old
  • Even if someone is not yet of legal age, they can still open a PMJDY account with the support of a trusted guardian, who will manage it on their behalf.
  • You should have valid documents to prove your nationality 

A bank will make the necessary checks on an individual in the absence of the required documents. Additionally, they categorise individuals into low-risk and high-risk. 

Benefits Of PMJDY

Mitron, just imagine the benefits that you could potentially avail yourself of with this government scheme! The PMJDY scheme is one of the major initiatives launched by the government, and it comes with its own promising advantages. 

Zero Balance 

The best advantage that you would be thrilled to hear about is that PMJDY accounts allow you to have a zero balance, unlike most bank accounts that have a minimum balance requirement. Vishwaas nhi ho raha hai na? But it's absolutely true! This feature ensures that individuals who may not have the means to maintain a minimum balance can still access essential banking services without any further charges. And wait! Did I mention that every PMJDY account holder gets a RuPay debit card? Aao swipe karein! 

Overdraft Facility

Along with allowing zero balance, PMJDY also provides an overdraft facility of ₹1,000 to every account holder. Female members of the family are given preference for Overdraft Facility! Keep in mind that this is applicable only when you show a good code of conduct for 6 months from opening the account. 

Deceased Account Nominee Benefit

While it may be a sorrowful circumstance, it's worth noting that the nominee of the deceased account holder is entitled to receive a fixed amount of ₹30,000 if the account holder passes away.

Enables Remote Money Transfers

We all know how some people in remote areas of India had a hard time sending money to their loved ones because they didn't have access to banks. Well, thanks to PMJDY, that's changed! Now they can transfer money easily all over the country. 

Not to forget, like any other bank, you get interest on the money you deposit in your account!

PMJDY Insurance Cover 

There is another advantage as well, which you would absolutely love! If you opened your PMJDY account before 29th August 2018, you get ₹1 lakh worth of insurance coverage in case of an accident. However, if you plan to open the PMJDY account now, you will get a whopping amount of ₹2 lakhs. To be eligible for this substantial amount you must use your RuPay card once every 45 days. 

After the accident insurance cover, you must wonder- Aur Jeevan bima ka kya? Bharat Sarkaar has got you covered. You get a life insurance cover of ₹30,000 which is a pretty decent amount considering how low maintenance account this one is.

Pension Benefits

Finally, the last advantage that needs your attention is that PMJDY account holders have a better chance of finding an easy pension scheme.

Documents required for PMJDY Account

PMJDY gives its users a special bank account. Where there are bank accounts, there will be paperwork. To top it off, it's a Sarkaari bank account! Let's find out how much of a paper trail this scheme will leave behind you"

  • Show valid proof of identity like an Aadhar card, Passport, Driving license, Permanent Account Number (PAN) card, NREGA Card or  Voter ID card. This would help prove whether you are a legal Indian citizen or not.
  • 2 passport-size photographs to open the account. So, take out your camera and flash a cute smile for your pic. 
  • A valid address proof document that establishes your current residential address. Documents such as an Aadhaar card, Voter ID card, Passport or Driving License in your name can be submitted as address proof.
  • A letter issued by a gazetted officer with your photograph attested.

By following these steps, you can open a PMJDY account in the following public and private sector banks:

Public sector banks

Private Sector Banks

  • State Bank of India (SBI)
  • Bank of Baroda (BOB)
  • Andhra Bank
  • Bank of Maharashtra Bank of India (Bol)
  • Canara Bank
  • Corporation Bank
  • IDBI Bank
  • Indian Bank
  • Punjab National Bank (PNB)
  • Central Bank of India
  • Punjab & Sind Bank
  • Syndicate Bank Allahabad Bank
  • Union Bank of India
  • ICICI Bank Ltd.
  • Axis Bank Ltd.
  • Federal Bank Ltd.
  • HDFC Bank Ltd.
  • IndusInd Bank Ltd.
  • Karnataka Bank Ltd.
  • Kotak Mahindra Bank Ltd.
  • YES Bank Ltd.
  • Dhanalaxmi Bank Ltd.

How to open a Pradhan Mantri Jan Dhan Yojana account?

After discussing the benefits of PMJDY in such detail, you must be interested in finding out how we can open the PMJDY account. Well, there are 2 options- online and offline. 

Let's talk about the online method first. Ensure you have all the essential documents listed above safely organised and readily accessible for smooth handling. The online form is available on the official website of PMJDY.  The next step is filling up the application form, which is known as the Financial Inclusion Account Opening application form. You can find this form in both Hindi and English. So fill out the form and submit it to open your account phata phat

The form has three different parts- details about where the account is going to be opened, details of the applicant who wishes to open an account and the nominee. Just fill it all in, and you are set to use your account!

If you wanna open an account under the PMJDY scheme, you can hit up the nearest bank branch or Bank Mitra (that's the correspondent bank, FYI). There might even be a camp going on in your area where you can sign up. If you're considered low-risk, you can get a Small Account with just a photo and thumbprint or signature in front of the bank officials. But remember, these accounts have some limits on withdrawals, deposits, and bank balances.

However, there are some restrictions you must be aware of. The maximum balance must not go over ₹50,000 at any given point. Moreover, if you are withdrawing cash, ₹10,000 is the most you can do in a month! And last but not least, you can only have a total credit of up to ₹1 lakh a year.

Here's some data on the state-wise performance of the scheme:




(in ₹ crore)

Uttar Pradesh






West Bengal



Madhya Pradesh






The Bottom Line

Whether you're a newbie to the banking world or someone looking for an account that's flexible and loaded with benefits, PMJDY is your go-to choice. With PMJDY, you get the perks of having a zero-balance account, a brand new RuPay debit card, an overdraft facility, and insurance covers. Plus, the account opening process is a breeze with both online and offline options available. Just a few documents and a positive attitude towards financial inclusion, and you're all good to go! 

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