Pradhan Mantri Jan Dhan Yojana (PMJDY) 2026
Zero-balance bank account with free RuPay card, ₹2 lakh accident cover and ₹10,000 overdraft.
Rates for July–September 2026 (Q2 FY 2026-27) · Updated 30 September 2026What is Pradhan Mantri Jan Dhan Yojana (PMJDY)?
Pradhan Mantri Jan Dhan Yojana, launched on 28 August 2014, is India’s national mission for financial inclusion. It provides a Basic Savings Bank Deposit (BSBD) account with no minimum balance at any bank branch or Business Correspondent (Bank Mitra) outlet, along with a RuPay debit card, accident insurance, overdraft and direct benefit transfer (DBT).
PMJDY at a glance
| Particular | Details |
|---|---|
| Minimum balance | Nil |
| Debit card | Free RuPay card |
| Accident insurance | ₹2 lakh (accounts opened after 28 Aug 2018); ₹1 lakh earlier |
| Overdraft | Up to ₹10,000 (₹2,000 without conditions) |
| DBT | Government subsidies and benefits credited directly |
| Linked schemes | PMJJBY, PMSBY, APY eligibility |
| Where | Any bank branch or BC outlet |
Government-notified terms for July–September 2026 (Q2 FY 2026-27). Verify the latest notification before investing.
Features & benefits of PMJDY
No minimum balance charge.
Via RuPay card — requires a card transaction within 90 days before the accident.
For eligible holders with satisfactory account operation.
Enrol in PMJJBY, PMSBY and APY through the account.
Eligibility — who can invest?
- Indian citizens aged 10 years and above (minors through guardian / self-operated as per bank rules)
- Individuals who do not already have a BSBD account
- Overdraft for age 18–65
How does PMJDY work?
- Open at any bank branch or BC outlet with Aadhaar.
- Receive a RuPay card and passbook.
- Use the card at least once in 90 days to keep accident cover active.
- Link Aadhaar and mobile for DBT.
Tax benefits of PMJDY
| Stage | Tax treatment |
|---|---|
| Interest | Taxable as savings-account interest; 80TTA/80TTB relief in old regime |
Section 80C of the Income-tax Act, 1961 is Section 123 of the Income-tax Act, 2025 from tax year 2026-27. Deductions apply only in the old tax regime.
Withdrawal, premature closure & maturity rules
| Situation | Rule |
|---|---|
| BSBD limits | Typically four free withdrawals per month; limits may apply to small accounts |
| Small account | Balance ≤ ₹50,000 and credits ≤ ₹1 lakh/year until full KYC |
Loan against PMJDY
| Parameter | Rule |
|---|---|
| Overdraft | Up to ₹10,000 after satisfactory operation; age 18–65 |
PMJDY returns — worked examples
| Benefit | Value |
|---|---|
| Minimum balance | ₹0 |
| Accident insurance | ₹2 lakh |
| Overdraft | Up to ₹10,000 |
| Debit card | Free RuPay |
Benefits subject to bank and scheme conditions.
How to open / invest in PMJDY
- Visit bank branch / Bank Mitra with Aadhaar.
- Fill the PMJDY account opening form.
- Collect RuPay card and passbook.
Documents required
- Aadhaar or any officially valid document
- If no documents: small account with self-attested photograph and signature/thumb impression
Important forms
| Form | Purpose |
|---|---|
| PMJDY account opening form | Opening |
| PMJJBY / PMSBY forms | Insurance enrolment |
Advantages & limitations
- Free basic banking
- Insurance and overdraft
- Gateway to government benefits
- Transaction limits on BSBD
- Low interest
- Small-account restrictions without full KYC
Mistakes to avoid
- Not using the RuPay card — accident cover needs recent card usage
- Opening multiple BSBD accounts
PMJDY vs other saving schemes
| Scheme | Rate | Tenure | Minimum | Tax |
|---|---|---|---|---|
| PMJDY | Savings-bank rate of the bank | No fixed tenure | Zero balance | As savings-account interest |
| APY | Guaranteed pension | Till 60 | ₹42/month (age 18, ₹1,000 pension) | Contribution under 80CCD(1) |
| POSA | 4.0% p.a. | No fixed tenure | ₹500 opening & minimum balance | Interest exempt up to ₹3,500 (₹7,000 joint) |
| SSY | 8.2% p.a. | 21 years from opening (deposits for 15 years) | ₹250 per financial year | EEE |
| PPF | 7.1% p.a. | 15 years + 5-year extension blocks | ₹500 per financial year | EEE |
Frequently asked questions
Is PMJDY a zero-balance account?
Yes.
How much is the accident cover?
₹2 lakh for accounts opened after 28 August 2018.
Can I get an overdraft?
Up to ₹10,000 after satisfactory account operation.
Information is for education and comparison. Interest rates are notified by the Government every quarter and scheme rules can change — confirm with India Post, your bank, EPFO or PFRDA before investing. FinancePortal is not a financial or tax adviser.