Kisan Credit Card

Kisan Credit Card Scheme

The Government of India launched the Kisan Credit Card (KCC) Scheme in 1998 to financially assist farmers of the country, Also known as the PM Kisan Credit Card Yojana, this scheme was created by the National Bank for Agriculture and Rural Development (NABARD) to provide farmers with credit cards. 

Farmers can use the credit cards to purchase seeds, pesticides, fertilisers, and more on short-term credit. The card can also be used to withdraw cash from ATMs, so farmers can manage avail loans to meet their agricultural expenses. 

The rate of interest on Kisan Credit Card loans tends to vary from one issuing bank to another, with the average interest rates being around 7% per annum. The repayment period for the KCC card loan is also very flexible, as farmers can choose to start repaying once their produce is harvested.

To ensure that income support is available to all farmers, the Indian government announced in Budget 2020 that the erstwhile PM Kisan Samman Nidhi Scheme and the Kisan Credit Card Scheme would be merged together. So, all farmers who are beneficiaries under the Kisan Samman Nidhi Scheme are now eligible to apply for a Kisan Credit Card.   

Some of the Top Banks Offering Kisan Credit Cards 

All commercial banks in India are eligible to issue the Kisan Credit Cards. Farmers can also get this facility at regional rural banks and cooperative banks. Check out some of the top banks in the country that offer the Kisan Credit Card, and the different features and charges associated with it. 

Features and Benefits of the Kisan Credit Card 

Wondering what the Kisan credit card benefits are? Let’s take a look at a few of the features and advantages that you get to enjoy. 

• Kisan credit card scheme available to farmers in agriculture and other allied activities 

• Eligible amount of loan may go up to ₹3 Lakhs or more in some cases 

• Hassle-free and quick loan disbursement process 

• Flexible loan repayment that can be done after the harvest season

• Access to discounts as well as assistance when purchasing fertilisers, seeds, and more

• Collateral-free borrowing if the loan amount is within ₹1.60 Lakhs

• Low interest rates on loans, with the average rate hovering around 7%  

• Discounts on interest rate for prompt repayments

• Up to ₹50,000 insurance coverage against permanent disability or death

• Insurance cover up to ₹25,000 for other risks 

• Kisan credit card available for meeting post-harvest expenses too

Eligibility Criteria and Documents Required for Kisan Credit Card

Before applying for a Kisan Credit Card, you need to be aware of the Kisan credit card eligibility criteria. It’s also important to know what documents need to be submitted when you apply for the card. Check out the eligibility criteria and the documents required for the Kisan Credit Card. 

1. Eligibility Criteria for KCC

The following categories of farmers can apply for a Kisan Credit Card: 

• An individual farmer who is an owner cultivator 

• Joint borrowers who are owner cultivators

• A tenant farmer

• An Oral Lessee 

• A sharecropper

• A Self-Help Group (SHG) or a Joint-Liability Group (JLG) of owner cultivator farmers, sharecroppers, tenant farmers etc.

• Farmers involved in allied agricultural activities like animal husbandry, fisheries and the like

2. Documents Required for KCC 

If you are eligible for the Kisan Credit Card, you need to submit the following documents as a part of the application process. Keep in mind that the list of documents may vary slightly from one bank to another. 

• A copy of your identity proof - PAN, Aadhaar, Passport, Driving Licence, or Voter’s ID

• A copy of your address proof - Aadhaar, Passport, Voter’s ID, or Driving Licence 

• A duly-filled KCC scheme application form 

• A copy of the proof of landholding certified by the Revenue authorities 

• Two passport size photographs 

• Any other documents that the issuing bank may require, like the security post-date cheque (PDC)

Interest Rates and Other Charges on KCC

The rate of interest and other charges like processing charges and inspection charges can vary from one issuing bank to another. To get a good idea of what the rates and charges are, make sure to read through the terms and conditions of the Kisan Credit Card scheme offered by the bank thoroughly. 

How to Apply for a Kisan Credit Card 

Applying for the Kisan card is extremely easy. You can either choose to do it online or offline. Here’s a quick look at the process that you need to follow in both these cases. 

1. Online Application Process 

• Step 1: Visit the issuing bank’s website. 

• Step 2: Select ‘Kisan Credit Card’ from the list of credit card options on the website.

• Step 3: Click on the ‘Apply’ button.

• Step 4: Fill and submit the KCC application form along with the necessary documents. 

That’s it. Your application will be processed and if found eligible, the card will be sent to your address within a few days. 

2. Offline Application Process 

• Visit a branch of the issuing bank. 

• Get the PM Kisan credit card application form from the bank’s representative. 

• Fill the form and submit it along with all the necessary documentation.

How to Check Your Kisan Credit Card Balance 

Most issuing banks now allow you to  check your Kisan credit card balance online. You can simply log into the issuing bank’s online portal and check your KCC balance. Alternatively, you can call your bank’s customer care and inquire about your Kisan credit card balance.

KCC Credit Limit 

As per the Reserve Bank of India’s guidelines, there is no set KCC limit. In fact, lending institutions are free to sanction the amount they wish to, depending on their selection criteria. This may include taking into account the farmer’s monthly income, the cropped area and patterns, or both these aspects.

How to Contact the Kisan Credit Card Customer Care

If you have any queries, grievances, or doubts regarding the Kisan credit card Yojana, you can always get in touch with the customer care to get them clarified. 

If you wish to speak to Kisan credit card customer care, all that you need to do is call toll-free numbers - 155261 or 1800 115 526. Alternatively, you can also reach them by calling this number - 0120-6025109. 

On the other hand, if you wish to register your KCC-related issues and grievances in writing, you can send an email to pmkisan-ict@gov.in