The Kisan Credit Card (KCC) scheme was introduced with the aim to provide short-term credit to the farmers in India. Farmers can easily avail loans to meet their agricultural needs & requirements through Kisan Credit Cards at attractive rates of interest. Government has also made the application process easier to increase farmers' interest in it.
Features & Benefits of KCC:
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Flexible repayment options & hassle-free disbursement procedure.
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Single credit facility or term loan for all agricultural & ancillary requirements.
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Assistance in purchase of seeds, fertilizers etc. as well as in availing cash discounts from merchants or dealers.
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Credit is available for a period of up to three years & repayment can be made once the harvest season in over.
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Minimal documentation & maximum flexibility offered for withdrawal of the required funds from the issuing bank.
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Funds can be withdrawn from any of the bank’s branches across India.
Interest rates & Other Charges:
According to the Reserve Bank of India, the fixing of Kisan Credit Card interest rates and credit limits can be decided by the respective issuing bank. However, the average interest rate applicable ranges from 9 to 14 percent p.a.
Besides, there are certain subsidies as well as schemes that the government provides farmers with regard to the interest rate. It depends on the repayment history & general credit history of the cardholder.
Other fees and charges like processing fees, insurance premium (if applicable), land mortgage deed charges etc. is set at the discretion of the issuing bank.
Who is eligible for Kisan Credit Card Loan Scheme?
You are eligible for a Kisan Credit Card if you are:
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An individual farmer who is an owner-cultivator.
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Belong to a group & are joint borrowers.
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Tenant farmer, sharecropper or an oral lessee.
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A self-help group or joint liability group of sharecroppers, farmers, tenant farmers, etc.
Eligible Beneficiaries under Fisheries and Animal Husbandry:
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Inland Fisheries & Aquaculture - fishers, fish farmers, SHGs, JLGs & women groups. As a beneficiary, you should own or lease any activity linked to fisheries.
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Marine Fisheries - own a registered boat / any other type of fishing vessel & have necessary license / permissions for fishing in estuaries or sea.
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Dairy - Farmers, dairy farmers, SHGs, JLGs & tenant farmers who own/ lease/ rent sheds.
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Poultry - Individual farmers or joint borrowers, SHGs, JLGs & tenant farmers of goats, sheep, pigs, rabbits, birds, poultry.
Documents Needed for KCC:
According to Reserve Bank of India (RBI) guidelines, documents needed to apply for a Kisan Credit Card application must be as per the issuing bank’s internal guidelines. And each bank has a different set of required documents. Below we have listed the basic documents required while applying for Kisan Credit Card;
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Duly filled-in application form.
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Copy of ID proofs such as PAN card, Voter ID, Aadhaar card, driving license, etc.
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Copy of address proof.
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Land documents.
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Passport size photograph of applicant.
Things to keep in mind before applying for KCC
Kisan Credit Card Online Registration:
How to Apply for Kisan Credit Card Online?
Many banks offering Kisan Credit Cards (KCC) allow farmers to apply online through their official websites. Follow the steps given below to apply for Kisan Credit Cards online.
Method to apply for Kisan Credit Card:
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Go to the official bank website of the bank
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Select ‘Kisan Credit Card’ from the available list of credit cards.
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Tap on ‘Apply’ button.
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You will be redirected to online application page.
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Enter all required details and click on ‘Submit’.
Once you submit the application, system will automatically generate an application reference number. Make a note of the same & use it for all future needs.
If you are eligible, the bank will process the application and call you within 3 to 4 working days & let you know further steps in the application process. After that you will be told about the documents needed to process the application and an appointment will be fixed for document collection. Following successful verification of the documents, the bank will send the Kisan credit card to the registered address.
