The Pradhan Mantri Jan-Dhan Yojana (PMJDY) is a financial inclusion that aims to provide inexpensive exposure to financial services including basic savings and deposit accounts, remittance, credit, insurance, and pension. Individuals who do not have any other accounts can open a basic savings bank deposit (BSBD) account in any bank branch or Business Correspondent (Bank Mitra) outlet under the initiative. All Jan Dhan account holders who use RuPay debit cards are eligible for free accidental coverage of up to Rs 2 lakh from the State Bank of India. Holders of debit cards are entitled for a variety of advantages, including accidental death coverage, purchase protection benefit, among others.
A Jan Dhan account can be opened online by submitting Know Your Customer (KYC) credentials. The basic savings account can be transferred to the Jan Dhan Yojana account. Individuals with a Jan Dhan account are issued a RuPay PMJDY card by the bank. RuPay PMJDY cards approved on Jan Dhan accounts established before August 28, 2018 will have a Rs 1 lakh amount covered. Let's know about the Jan Dhan Yojana or account and procedure to claim the benefits.
Eligibility required to open Jan Dhan account
A Jan Dhan account can be opened by any Indian citizen over the age of ten. You can even transfer funds from your regular savings account to your Jan Dhan Yojana account. As per the legal court order, the beneficiary can be a nominee on the cardholder's behalf or a legal heir. In the situation of multiple beneficiaries, the claim is resolved in the name of the heir as specified by the legal heir.
Benefits of PMJDY
The Pradhan Mantri Jan Dhan Yojana Scheme has a number of advantages, such as:
- This scheme includes mobile banking features such as checking account balance, transferring funds, and also investing in fixed deposits for SBI customers.
- The SBI account user is eligible for a Rs 5,000 overdraft through PMJDY. However, this functionality is only available for one account per household.
- Other advantages of this scheme include the notion that the account holder is not needed to maintain a minimum balance, the account holder is eligible for pension plans, and PMJDY enables direct transfer of funds to other plans to SBI customers.
- Unbanked individuals are given access to a basic savings account under the scheme.
- In PMJDY accounts, there is no necessity to maintain a minimum balance.
- Interest is earned on deposits under PMJDY.
- PMJDY account holders are granted a Rupay Debit card on behalf of their account.
- Accident insurance coverage of up to Rs. 2 lakh is available to new PMJDY accounts registered after August 28, 2018, with a RuPay card.
- An overdraft (OD) option of up to Rs 10,000 is provided to qualifying account holders under the scheme.
- People who have established accounts under the Pradhan Mantri Jan Dhan Yojana (PMDJY) are given the RuPay PMJDY card. The user can use the card to make purchases at any ATM, POS terminal, or e-commerce platform. It also includes up to Rs. 2 lakhs in Personal Accidental Death and Total Disability coverage. Attractive domestic merchant POS and Ecom offers are also available to RuPay PMJDY cardholders.
Documents required to open PMJDY account
- If the individual has an Aadhaar card, no other documents are necessary. If the address has changed, self-certification of the current address is mandatory.
- If the individual does not have an Aadhaar card, he or she must submit a Voter ID card, a PAN card, a driving licence, or a passport.
- If the document includes the address of the individual, it can also serve as address proof.
- If the individual does not have any of the above-listed documents, it is categorized as "low risk" by the banks, and they can provide any one of the documents such as a letter issued by a government officer, with a duly attested photograph of the individual, or identity card of the individual with photograph issued by Central/State Government Departments, Statutory/Regulatory Authorities, Public Sector Undertakings, Scheduled Commercial Banks and Public Financial Institutions.
Documents required to raise a claim
Jan Dhan subscribers must have undertaken one effective financial or non-financial transaction through any stream, either intra and interbank, using the Rupay debit card within 90 days before the date of the accident. The personal accident coverage will include the occurrence even if it occurs outside the country. On submission of the relevant paperwork, the claim will be reimbursed in Indian rupees in accordance with the sum insured. Here are the claim documents to be submitted in case of a claim, whether the incident has happened in India or overseas, according to npci.org.in
- Duly filled claim form
- Copy of death certificate.
- Certified copy of FIR
- Certified copy of postmortem report
- Aadhaar copies of cardholder and nominee.
- Declaration from Card Issuing Banks duly signed by authorized signatory and bank stamp specifying that: 1. Cardholder is holding a RuPay card on RuPay issued IIN and mention the 16 digit card number 2. Compliance of 90 days transaction criteria (to be supported with transaction log /account statement from the bank's system) 3. Nominee Name and his banking details (including Passbook copy) 4. Brief description of Accident as per FIR translated in English or Hindi. 5. Bank official's Name and contact details with email ID.
- The claim documents must be submitted within sixty (60) days of receiving confirmation of the claim.
- From the date of receipt of the documents, the claims will be processed in ten working days. The benefits of the scheme will be available until March 31, 2022.