The Pradhan Mantri Jan Dhan Yojana (PMJDY) is one of the most ambitious financial inclusion programmes being launched by the Narendra Modi Government because PMJDY has benefits beyond financial inclusion. But, very few Jan Dhan account holders are aware that their account gives overdraft facility up to Rs 5,000 provided their account is attached with their Aadhaar card. According to tax and investment experts, if a PMJDY account holder hasn’t attached Jan Dhan Khata with Aadhaar card, then the overdraft facility will be lost.
Elaborating upon the overdraft facility under Pradhan Mantri Jan Dhan Yojana, SEBI registered tax and investment expert Manikaran Singhal said, “To become eligible for the overdraft facility, a new Jan Dhan account holder needs to maintain a healthy positive balance for the first six months and should do regular cash transactions and transactions through the RuPay debit card issued to him or her. If satisfied, the bank, in which the Jan Dhan account has been opened, would provide the account holder the overdraft facility of up to Rs 5,000, provided it’s an Aadhaar-linked account.” However, he said that the overdraft facility may be used by the account holder by paying a nominal rate of interest.
Speaking on other benefits a Jan Dhan account holder may lose if account is not attached with Aadhaar Card, SEBI registered tax and investment expert Jitendra Solanki said, “Despite being a no frills account, a Jan Dhan account under the Pradhan Mantri Jan Dhan Yojana provides overdraft facility and RuPay debit card with inbuilt Rs 1 lakh accident insurance cover to the holders, apart from the luxury of not maintaining a minimum account balance. However, in the case of non-attachment of Aadhaar card with the PMJDY, the nominee will find it difficult to claim the above-mentioned insurance amount.”
He said that a Jan Dhan account holder gets an additional Rs 30,000 accidental death insurance cover against the RuPay debit card. So, a nominee of a Jan Dhan account holder can claim up to Rs 1.3 lakh accidental death benefit, in case the account holder dies.