The correct answer is ₹10,000. Explanation & Key Takeaways: • The Pradhan Mantri Jan-Dhan Yojana (PMJDY), launched by Prime Minister Narendra Modi on 28th August 2014, is a National Mission on Financial Inclusion aimed at ensuring access to financial services in an affordable manner. • One of the primary features of the scheme is the overdraft facility. Initially, the limit was set at ₹5,000, but the Government of India doubled this limit to ₹10,000 in September 2018 to provide better credit access to the underprivileged. Hence, the statement regarding the limit of ₹10,000 is correct. • The upper age limit for availing of the overdraft facility was also revised from 60 years to 65 years, ensuring that more senior citizens could benefit from this short-term credit function. • To facilitate ease of use, there are no conditions attached for overdraft amounts up to ₹2,000. For amounts above this, up to the numerical value of ₹10,000, certain eligibility criteria based on account conduct apply. • The PMJDY accounts are Zero Balance accounts, meaning there is no requirement to maintain a minimum balance, which is a crucial application for low-income earners across the country. Related Concepts: • Insurance Benefits: Every PMJDY account holder is provided with a RuPay Debit Card. For accounts opened after 28th August 2018, the Accidental Insurance Cover has been increased from ₹1 lakh to ₹2 lakh. • Direct Benefit Transfer (DBT): The scheme serves as a platform for Direct Benefit Transfer, ensuring that subsidies from various government laws and guidelines reach the beneficiaries directly without any leakages. • The Six Pillars: The PMJDY is based on six pillars: Universal access to banking services, basic savings accounts with overdraft, Financial Literacy Program, Credit Guarantee Fund, Insurance, and Pension schemes for the unorganized sector. • Life Cover: A life insurance cover of ₹30,000 is available to eligible beneficiaries who opened their accounts for the first time between August 2014 and January 2015. • Impact and Data: According to official reports, as of August 2024, the total number of Jan Dhan accounts has crossed the 53 crore mark, with a total deposit balance exceeding ₹2.3 lakh crore, signifying a massive shift in the financial landscape of India. Important Notes: • Eligibility: Any Indian citizen above the age of 10 years can open a PMJDY account. The overdraft facility is generally available after six months of satisfactory operation of the account. • Micro-Pension: The scheme also links account holders to the Atal Pension Yojana (APY), providing social security through a pension system for the unorganized sector. • Banking Correspondents: To increase reach in rural locations, the government utilizes Bank Mitras or Banking Correspondents who provide banking services at the doorstep of villagers. • Digital Transactions: The RuPay card promotes digital payments, aligning with the Digital India initiative and reducing the country's dependency on cash.