PMJDY Full Form, Objectives and Features

PMJDY full form is Pradhan Mantri Jan Dhan Yojana. It is a scheme announced by PM Modi on 15 August 2014. PMJDY is a national mission of the Government of India that aims to provide access to various financial services to Indians. 

It has been more than 11 years since the implementation of this scheme. Check out this blog post to learn about PMJDY, its objectives, salient features and PMJDY form details. 

What is PMJDY Full Form?

PMJDY full form is Pradhan Mantri Jan Dhan Yojana. PMJDY is a national mission for financial inclusion launched across the country in August 2014. This scheme provides universal banking services for every unbanked household. It is guided by the principles of banking the unbanked, securing the unsecured, funding the unfunded, and serving unserved and underserved areas. 

To further enhance the government's financial inclusion initiatives under PMJDY, the scheme was extended beyond 14 August 2018 and shifted its focus from “every household” to “every unbanked adult.” PMJDY has been successful in increasing banking penetration and promoting financial inclusion across various parts of the country. 

It has ensured access to various financial services like basic savings bank accounts, need-based credit, remittance facilities, insurance and pension plans, particularly for excluded groups, including the society’s weaker sections and low-income households.

Primary Objectives of the PMJDY Scheme

The primary objectives of the Pradhan Mantri Jan Dhan Yojana scheme are:

• One of the key objectives of the scheme is to offer basic banking accounts with no minimum balance requirements.

• The scheme aims to provide every Indian household with access to universal banking.

• It envisions to integrate the financially weaker sections and rural households into the formal banking system. 

• It aims to provide individuals with access to credit, insurance coverage and pension schemes.

Features of PMJDY

The salient features of Pradhan Mantri Jan Dhan Yojana are as follows:

• The PMJDY scheme is the largest financial inclusion scheme in the world.

• The scheme was launched at a national level.

• Under the PMJDY, an overdraft facility is provided. PMJDY account holders can borrow more money than is available in their accounts. They can access these funds when an emergency arises. 

• PMJDY aims to provide low-cost access to various financial services, including deposit accounts, remittances, credit, banking/savings, insurance, and pensions. 

• As part of this initiative, the government allows Jan Dhan account holders to take out short-term loans of up to ten thousand rupees. 

• PMJDY enables overdrafts of up to 2,000 rupees without any collateral requirement.

• PMJDY is a significant initiative for the economy as it has laid the groundwork for Direct Benefits Transfer. This system helps minimize subsidy leakages and saves the government money.

• PMJDY has also made its mark in the Guinness Book of World Records, which recognized its achievements. The record acknowledges that the most bank accounts were opened in a single week as part of the Financial Inclusion Campaign.

• Under the scheme, the PMJDY account holders receive free-of-cost Rupay Debit cards, which comes with an inbuilt accident insurance cover of Rs. 2 lakhs (Rs. 1 lakh for accounts opened before 28th August 2018). 

Who Can Apply for PMJDY?

An applicant can apply for PMJDY if they fulfill the following requirements:

• The applicant should be an Indian National.

• The applicant should be between 18 and 59 years of age.

• It is possible for minors above ten years to apply. However, they will require support from their legal guardians to administer their PMJDY account.

• NRIs cannot apply for the scheme.

Details Included in PMJDY Application Form

To open a bank account under PMJDY, you must fill out an application form. This form is available in English as well as Hindi and can be downloaded via official PMJDY website. In the form, you must fill out certain details. These details are as follows:

• Bank Details: In the bank details section, you must provide detailed bank info. like bank branch name, town name, sub-district and block name, district, state, SSA code/Ward No., village code and town code.

• Details of the Applicant: In this section, you must furnish personal details. These details include your full name, marital status, name of father or spouse, PIN code, address, Aadhaar Card number, MNREGA job card no., occupation, number of dependents, annual income, details of asset, existing bank account number and details of Kisan Credit Card.

• Details of the Nominee: In this PMJDY form’s section, you must give details regarding the nominee you have chosen. You must provide their name, relationship, age, date of birth and details of authorized person who can receive funds in the case of the nominee's demise.

Conclusion

For ensuring financial inclusion in India, the Pradhan Mantri Jan Dhan Yojana has been a game changer. This scheme was implemented in 2014, and has played a key role in providing formal banking services to the unbanked individuals. The scheme offers unique advantages like zero balance accounts, free-of-cost RuPay debit card, overdraft facility, accident insurance cover, cashless transactions, etc. This initiative has improved the lives of millions of Indians and also contributed to the country’s overall growth.

Frequently Asked Questions (FAQs)

Q1. Who is eligible to open a PMJDY account?

A. An individual who is an Indian citizen, and is above the age of 10 years can open a PMJDY account. 

Q2. Can I convert my PMJDY account into a regular savings account?

A. Yes, you can. You must connect with our bank’s branch and ask them the process for the account conversion.

Q3. What is the minimum account balance required to start a PMJDY account?

A. There’s no minimum account balance requirement for opening an account under the PMJDY scheme. You can open the account free of cost. 

Q4. Can I open a PMJDY account online?

A. No, you need to visit the bank branch in person to file an application for this account.

Q5. Does PM Jan Dhan Yojana provide accident insurance cover?

A. Yes, PMJDY offers accident insurance cover of Rs. 2 lakhs (Rs. 1 lakh for accounts opened before 28 August 2018).