Pradhan Mantri Jan Dhan Yojana (PM JDY)

The Indian government started the Pradhan Mantri Jan Dhan Yojana (PMJDY) scheme in August 2014 to help people get access to money. The goal of the plan is to give people in India who don’t have bank accounts access to financial services like banking, savings accounts, money transfer services, loans, insurance, and pensions.

Some of the most important goals of the Pradhan Mantri Jan Dhan Yojana are:

1.Access to basic financial services for everyone: The program aims to make sure that every family in India has access to a bank account, debit card, and passbook.

2.Financial literacy: The goal of the plan is to teach people who don’t have bank accounts about money and make them aware of the different financial goods and services that are available.

3.Direct benefits transfer: The goal of the program is to make it easier for government handouts, benefits, and welfare payments to be sent directly to the bank accounts of the people who receive them. This will cut down on waste and make the system more efficient.

4.Microinsurance and pension schemes: PMJDY encourages account users to join microinsurance and pension schemes run by the government. This gives social protection to people who don’t have bank accounts.

5.Overdraft facility: Under PMJDY, suitable account users can get an overdraft facility of up to INR 10,000 if they meet certain conditions. This helps people get the cash they need in a situation.

6.Access to credit: The plan pushes banks to give account users low-cost credit for activities that bring in money and for starting their own businesses.

Since it started, the Pradhan Mantri Jan Dhan Yojana has done a lot to bring people who don’t have bank accounts into the official banking system. It has helped bring more people into the financial system, cut down on the number of people who use unofficial ways to get money, and encouraged people who are struggling financially to save.