Himachal Steps Up: Re-KYC Drive Launched as 1 in 4 Jan Dhan Accounts Lie Dormant
In a bid to reconnect with citizens and revive dormant bank accounts, the Himachal Pradesh government has launched a large-scale re-KYC (Know Your Customer) drive for all 19.20 lakh Pradhan Mantri Jan Dhan Yojana (PMJDY) accounts across the state. With the Union Finance Ministry setting a firm deadline of September 30, the initiative aims to ensure that every account holder is properly verified and actively engaged with the banking system.
The urgency stems from a troubling statistic—nearly 25% of these accounts haven’t seen a single transaction in over a decade. Starting October, banks will begin sending notices to those who haven’t updated their KYC details. After three ignored notices, accounts may be temporarily closed. Officials say this step is crucial to improving banking security and preventing misuse, including money laundering.
Launched in 2014, the Jan Dhan Yojana was designed to bring every Indian into the formal banking fold, offering zero-balance accounts with benefits like ATM cards, insurance, and overdraft facilities. Yet in Himachal, over 4.5 lakh Rupay cards were never activated—meaning many missed out on the ₹2 lakh accident insurance linked to the card.
Zero-balance accounts remain a challenge, especially in small finance banks where over half of the accounts fall into this category. The re-KYC process will help banks identify which accounts are truly active and which need attention.
To make the process accessible, special camps will be held in rural and remote areas. Account holders will need to bring documents like Aadhaar, voter ID or PAN, a residence certificate, and a passport-size photo.
In a welcome change, customers can now register multiple nominees for their accounts—moving beyond the earlier one-nominee limit. This will allow families to avoid disputes over account balances after the account holder’s passing.
This re-KYC drive is more than a bureaucratic exercise—it’s a chance to ensure that every citizen, no matter how remote, remains connected to the financial system and the benefits it offers.
