The Jan Dhan Yojana is targeted at those households in India that do not have a savings bank account. The scheme is supposed to help the financially deprived people in the country. It is estimated that there are over 7.5 crore unbanked households in India and the Jan Dhan Yojana aims at helping those households by opening equal number of bank accounts by January 26, 2015.
The Jan Dhan Yojana strives to financially strengthen the unbanked households in India. The scheme will allow such households to open a zero-balance savings bank account. The account in this scheme is entitled to a RuPay debit card and an accident insurance cover of Rs. 1 lakh. In addition, the account holder will also get a life insurance cover of Rs. 30,000. However, it is important to open the account by 26 January, 2015 to avail the life insurance cover.
Moreover, financially weak people who already have a bank account can also avail the facility under the Jan Dhan Yojana. All they need to do is to get a RuPay card on their existing bank account from their concerned bank branch before January 26, 2015. With this RuPay card, they will be eligible for the rupees 1 lakh accident insurance and rupees 30,000 life insurance under the Jan Dhan Yojana plan.
Over 1 crore savings bank accounts were opened on the day of the launch of the scheme. For smooth handing of the scheme over 70, 000 camps were organized for people to come and open their accounts on the inaugural day. The significant move about this Jan Dhan Yojana is that instead of villages, households were targeted this time.
One significant aspect of the Jan Dhan Yojana is to make unbanked people financially literate. For this purpose uniform financial literacy materials were prepared in different vernacular languages. These materials were intended to allow more and more people to know about the Jan Dhan Yojana.