Kisan Credit Card is a scheme of the Government of India, which aims to provide loans to farmers at low interest rates. Under this scheme, the interest rate can be reduced to 2.00%. The time limit for repayment of loan taken under this scheme depends on the purpose for which the loan has been taken.

The features and benefits of Kisan Credit Card are:

Interest rate can be as low as 2.00%

Collateral free loans up to Rs. 1.60 lakh

Crop insurance scheme is also provided to farmers

Following Insurance coverage is provided

o Up to Rs. 50,000 against Permanent Disability and Death o Up to Rs. 25,000 is provided against other risks

Repayment period is based on the harvesting and marketing period of the crop for which the loan amount was taken out

Collateral is not required on loans up to Rs. 1.60 lakh

Farmers get high interest rate on the savings in their Kisan Credit Card Account

Simple interest rate is charged as long as the user makes prompt payment. Otherwise compound interest rate becomes

Kisan Credit Card Benefits to be Extended to Fishing and Animal Husbandry

Kisan Credit Cardholders can use 10% of the money for household needs

Farmers can get loan up to Rs. 3 Lakh through Kisan Credit Card Scheme

The Kisan Credit Card scheme was set by NABARD (National Bank for Agriculture and Rural Development) and has been followed by all the major banks in India. State Bank of India, Punjab National Bank, HDFC Bank, Axis Bank, Bank of India, Indian Overseas Bank, Odisha Gramya Bank Besides this there are other banks that also offer Kisan credit cards

Kisan Credit Card Eligibility Criteria

All farmers who are either individuals/Joint borrowers of the land and involved in farming or allied activities

Individuals who are owner cum cultivators

All the Tenant farmers or Oral lessees and Share Croppers in the agricultural land

Self Help Groups or Joint Liability Groups including tenant farmers or sharecroppers

Farmers should be eligible for a production credit of Rs.5,000 and above, and then he/she is entitled to a KCC.

All such farmers who are eligible for short term credit loan towards crop production or any allied activities as well as

non-farm activities

The farmers should be the residents of the bank’s operational area

Documents Required For KCC People who want to avail a Kisan Credit Card must submit establish their identity & address. Applicant can submit any one of the below given documents.

Proof of Identity :- PAN card, Aadhaar card, Driver’s License, Passport, Voter’s ID, Overseas Citizen of India Card, Person

of Indian Origin Card, Job card issued by NREGA, Letters issued by the UIDAI

Proof of Address :- Aadhaar card, Driver’s License, Passport, Utility Bill not more than 3 month’s old, Ration Card,

Property Registration Document, Person of Indian Origin Card, Job card issued by NREGA, Bank Account Statement

Farmers who want to avail KCC, can apply online as well as can visit bank branch personally.