Financial inclusion, defined as access to affordable and appropriate financial services, is widely recognized as a key driver of empowerment, particularly for marginalized communities. This study explores the impact of financial inclusion on the empowerment of marginalized communities in India. The primary objective is to assess whether increased access to financial services leads to economic independence, improved living standards, and enhanced social mobility, focusing on marginalized groups such as women, lower-caste individuals, and rural populations. Despite extensive research on financial inclusion, there is a notable gap in understanding its direct effects on empowerment within these groups in the Indian context. While existing studies emphasize the broad economic impacts of financial inclusion, they often overlook its specific social and psychological outcomes, such as empowerment and autonomy. To address this gap, the study conducts a systematic literature review using the PRISMA methodology to synthesize existing evidence on the multidimensional effects of financial inclusion, specifically on economic, social, and psychological empowerment. The review critically examines studies that explore the correlation between access to financial services (e.g., bank accounts, credit, and insurance) and key empowerment indicators, such as economic self-sufficiency, decision-making power, and participation in social and political activities. The findings of this study shows that the growing body of knowledge on the financial inclusion if the empirical insights into its part in authorizing the marginalized communities in India. The research also proposals policy implications, signifying those interventions such as the financial literacy programs, the gender-sensitive financial products, and also the improved access to services in the remote areas can enhance the potential of financial inclusion to uplift marginalized populations. This study emphasizes the standing of scheming the inclusive financial systems that are not only available but also custom-made to the specific needs and conditions of these communities.