The Kisan Credit Card (KCC) scheme was introduced in 1998 to provide farmers with easy access to credit. This scheme, implemented by the Ministry of Agriculture in partnership with NABARD (National Bank for Agriculture and Rural Development) and MANAGE, allows farmers to purchase essential agricultural inputs like seeds, fertilizers, and pesticides, and also withdraw cash for their production needs.
Also Read: How To Check Beneficiary Status Of PM Kisan Samman Nidhi Scheme
Objectives & Benefits of Kisan Credit Card
- Short-term credit for crop cultivation: Helps farmers cover expenses for growing crops.
- Post-harvest expenses: Provides funds for managing costs after harvest.
- Produce marketing loan: Supports farmers in selling their produce.
- Household consumption needs: Assists with essential household expenses.
- Working capital: Maintains farm assets and supports allied agricultural activities.
- Investment credit: Supports both agricultural and allied activities.
Kisan Credit Card Eligibility Criteria
- Individual/Joint farmers: Must be owner cultivators.
- Tenant farmers, oral lessees, and sharecroppers: Eligible for the scheme.
- Self Help Groups (SHGs) & Joint Liability Groups (JLGs): These groups, including tenant farmers and sharecroppers, can apply.
Required Documents for KCC Application
- Application Form: Available online or at the bank.
- Two Passport Size Photographs
- ID Proof: Driving License, Aadhar Card, Voter Identity Card, Passport.
- Address Proof: Driving License, Aadhar Card.
- Landholding Proof: Certified by revenue authorities.
- Cropping Pattern: Details of crops grown with acreage.
- Security Documents: Required for loan limits above ₹1.60 lakhs/₹3.00 lakhs, as applicable.
- Additional Documents: As per the bank’s requirement.
Also Read: How To Check Beneficiary Status Of PM Kisan Samman Nidhi Scheme
How to Apply for Kisan Credit Card (KCC)
Online Application Process
- Visit the official website of your preferred bank.
- Select the Kisan Credit Card option.
- Click on ‘Apply’ to access the application form.
- Fill in the required details and submit the form.
- You’ll receive an application reference number. If eligible, the bank will contact you within 3-4 working days.
Offline Application Process
- Visit your bank branch or download the application form from the bank’s website (e.g., KCC Application Form by SBI).
- Submit the filled application form at the branch with assistance from the bank representative.
KCC Interest Rate & Processing Fees (As per SBI)
- Interest Rate:
- Up to ₹3.00 lakhs: 7% per annum (subject to interest subvention from GoI, Aadhar submission mandatory).
- Above ₹3.00 lakhs: Applicable rate as per the bank’s terms.
- Processing Fee:
- Limits up to ₹3.00 lakhs: NIL
- Limits above ₹3.00 lakhs: 0.35% of the loan limit + GST
How to Withdraw Money Using Kisan Credit Card
Farmers can withdraw money using the following methods:
- ATMs/Micro ATMs
- Business Correspondents (BCs) using smart cards
- PoS machines through input dealers
- Mobile Banking with IMPS capabilities/IVR
- Aadhaar-enabled Cards
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Frequently Asked Questions (FAQs)
What is the validity period of the Kisan Credit Card?
The KCC is typically valid for up to 5 years, subject to renewal.
Who is eligible for the KCC Scheme?
Eligible groups include individual/joint owner cultivators, tenant farmers, oral lessees, sharecroppers, SHGs, and JLGs.
What is the maximum and minimum loan amount under KCC?
The maximum loan limit is determined by the short-term loan limit for the 5th year plus the estimated long-term loan requirement.
What is the age criterion for applying for a Kisan Credit Card?
Applicants must be at least 18 years old.