Chapter 7 of 17

Financial Inclusion & Government Financial Schemes

PMJDY, PMSBY, PMJJBY, APY, and the wider set of government schemes that channel banking services to underserved populations.

📖 ~9 min read 🏛️ Banking Awareness

Introduction

Financial Inclusion means ensuring affordable access to banking, credit, insurance, and pension services for all sections of society, especially those historically excluded. India's flagship schemes in this space are regularly tested in Banking Awareness.

Key Financial Inclusion Schemes

SchemePurposeKey Feature
PMJDY (Pradhan Mantri Jan Dhan Yojana)Universal banking accessZero-balance savings account, RuPay debit card, accident insurance cover, overdraft facility
PMSBY (Pradhan Mantri Suraksha Bima Yojana)Accident insurance₹2 lakh accidental death/full disability cover; ₹20/year premium (age 18-70)
PMJJBY (Pradhan Mantri Jeevan Jyoti Bima Yojana)Life insurance₹2 lakh life cover (any cause); annual premium around ₹436 (age 18-50)
APY (Atal Pension Yojana)Old-age pensionGuaranteed monthly pension (₹1,000-₹5,000) after age 60, for the unorganised sector
Stand-Up IndiaEntrepreneurship supportBank loans (₹10 lakh-₹1 crore) for SC/ST and women entrepreneurs setting up greenfield enterprises
PM Mudra Yojana (PMMY)Micro-enterprise creditCollateral-free loans up to ₹20 lakh (via Shishu, Kishor, Tarun, and Tarun Plus categories) for small businesses
Q. Under which scheme does an account holder get a RuPay debit card and accidental insurance cover along with a zero-balance savings account?
PMJDY (Pradhan Mantri Jan Dhan Yojana) provides a zero-balance savings account bundled with a RuPay debit card and accident insurance coverage.
⚠️ Key Insight: Don't confuse PMSBY (accident insurance, ₹20/year) with PMJJBY (life insurance covering any cause of death, higher annual premium) — both offer a ₹2 lakh cover but for different triggering events and at very different premiums.
Practice Focus: Exact premium amounts and cover values for PMSBY/PMJJBY/APY · PMJDY's bundled features · Loan category names and limits under PM Mudra Yojana.

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