Overview:
This article covers the Kisan Credit Card scheme’s benefits, eligibility, and documentation requirements for Indian farmers. It also explains the application process, interest rates, and how to check your balance online.
What Is the Kisan Credit Card Scheme?
If you are wondering what is Kisan Credit Card Scheme, then it’s a government-backed credit initiative by NABARD that offers a revolving cash credit facility to farmers. It simplifies access to institutional credit for agriculture and allied activities. Kisan credit card scheme introduced in August 1988 by the Indian Government and NABARD. With a KCC, you can withdraw funds up to a sanctioned limit, repay after harvest, and reuse the credit. This Kisan Credit Card (KCC) scheme helps reduce dependence on informal lenders and ensures timely cultivation.
Benefits of the Kisan Credit Card Scheme
Here are the key benefits of the Kisan Credit Card:
- Wide coverage of needs: The card finances cultivation expenses, post-harvest costs, and even household consumption, giving farmers liquidity throughout the crop cycle.
- Support for equipment and livestock: Funds can be used to buy agricultural machinery, install pumps, or invest in cattle, promoting mechanisation.
- Loan amount up to ₹3 lakh: Depending on farm scale, the credit limit reaches up to ₹3 lakh. No collateral is needed for loans up to ₹1.6 lakh.
- Insurance coverage: The Kisan Credit Card insurance scheme provides cover of up to ₹50,000 in case of permanent disability or death, securing the family financially.
- Savings account and debit card: Eligible farmers receive a savings bank account and a debit card, making withdrawals and payments easy.
- Flexible repayment: Loans can be repaid after the harvesting season, aligning with farm cash flows. The tenure extends up to 3 years.
- Discounts on inputs: Cardholders enjoy cash discounts and special offers on fertilisers, seeds, and pesticides from partner merchants.
- Revolving credit facility: The Kisan Credit Card Scheme acts as a revolving line of credit – withdraw, repay, and reuse within the limit throughout the kisan credit card scheme year.
Eligibility Criteria for the Kisan Credit Card Scheme
The Kisan Credit Card scheme is open to a wide range of agricultural stakeholders. Credit card eligibility for KCC includes the following:
- Owner cultivators: Any farmer who owns and cultivates the land.
- Joint borrowers and groups: Farmers who jointly borrow and cultivate, including joint liability groups (JLGs) and self-help groups (SHGs).
- Tenant farmers and sharecroppers: Those who cultivate leased or shared land are covered under the revised Kisan Credit Card scheme.
- Allied agriculture workers: Individuals engaged in fisheries, dairy, poultry, and animal husbandry also qualify.
The applicant must be between 18 and 75 years of age, a standard Kisan Credit Card scheme detail across all lending institutions.
Documents Needed to Apply for the KCC Loan Scheme
Applicants must submit these documents for a Kisan Credit Card scheme application:
- Duly filled form: Available at the bank branch or on its website.
- Identity proof: Aadhaar card, Voter ID, or driving licence.
- Address proof: Aadhaar, utility bill, or ration card.
- Land records: Documents like 7/12 extract, title deed, or lease agreement to prove cultivation rights.
- Passport-sized photographs: Usually two copies.
- Any additional documents required by the specific bank.
How to Apply for the Kisan Credit Card Scheme
Applying for the Kisan Credit Card Scheme is straightforward. You can choose the online or offline route.
Online application:
- Visit your bank’s official website or the dedicated KCC portal.
- Go to the Kisan Credit Card section and click ‘Apply’.
- Read all scheme details and eligibility criteria.
- Fill in the application form with personal, land, and crop details.
- Upload scanned copies of the required documents.
- Submit the form. The bank may schedule a field visit for verification.
- Upon approval, the KCC is issued, often within a few working days.
Offline application:
- Visit your nearest bank branch that offers KCC.
- Collect the form, fill it out, and attach photocopies of documents.
- Submit to the bank officer. After verification, the card will be processed.
Many banks also accept applications through Common Service Centres (CSCs) for the Kisan Credit Card Scheme, and apply in both online and offline modes.
Interest Rates and Charges Under the Kisan Credit Card Scheme
The Kisan Credit Card Scheme interest rate is among the most affordable for farmers. Here are the typical charges:
| Parameter | Details |
| Interest rate (short‑term crop loan) | 7% p.a. Effective rate can be as low as 4% with prompt repayment under the interest subvention scheme. |
| Interest subvention | Government provides 3% interest subvention; timely repayment brings effective interest to 4% p.a. |
| Processing fee | Nominal; varies by bank. |
| Other charges | Refer to the bank’s latest schedule for late‑payment, cheque‑bounce, or card‑renewal fees. |
For the latest kisan credit card scheme details and charges, always check with your bank.
PM Kisan Samman Nidhi Scheme
Under the PM Kisan Samman Nidhi Scheme, eligible farmers receive income support of up to ₹6,000 per year. All PM‑Kisan beneficiaries are also eligible for the Kisan Credit Card scheme, enabling seamless credit access.
How to Apply for a Kisan Credit Card under the PM Kisan Samman Nidhi Scheme
- Fill out the KCC application form linked with your PM‑Kisan beneficiary ID.
- Enter details of land records, crop sown, and the PM‑Kisan ID.
- Submit the form through the nearest Common Service Centre (CSC), which forwards it to the partner bank.
- The bank processes and, after verification, issues the Kisan Credit Card.
Kisan Credit Card Customer Care Details
For any concerns regarding the Kisan Credit Card scheme, call the toll‑free numbers 1800‑115‑526 or 011‑24300606. You can also visit your bank branch for in‑person assistance.
How to Check Kisan Credit Card Balance Online
Farmers can check their KCC balance through several digital channels:
- Internet banking: Log in to your bank’s net banking portal and navigate to the loan/credit card section.
- Mobile app: Most banks’ apps display real‑time outstanding balance and transaction history.
- Missed call/SMS: Give a missed call to the bank’s designated number to receive an SMS with the balance (service varies by bank).
- Customer support: Call your bank’s helpline after basic verification.
Who Can Apply for a Kisan Credit Card?
The Kisan Credit Card scheme is available to individual farmers, joint cultivators, tenant farmers, sharecroppers, and self‑help groups. Even landless labourers with a valid sharecropping agreement can qualify. The scheme also covers allied activities like dairy, poultry, and fisheries, making it an inclusive Kisan Credit Card scheme in India for every agriculturist. Apart from this, the Pashu Kisan Credit Card (PKCC) is a specialised credit scheme expanding the traditional Kisan Credit Card (KCC) framework to support animal husbandry and dairy farmers.
FAQs
What is the validity period of the Kisan Credit Card?
The validity period for the Kisan Credit Card is 5 years.
What is the age requirement in order to apply for a Kisan Credit Card?
Applicants must be between 18 and 75 years of age.
What is the interest rate applicable on the KCC?
For short-term credit, the interest rate is 7%.
Why was the KCC scheme introduced?
This scheme was introduced to meet the needs of various farmers across the country.
How does a bank determine the credit limit on a Kisan Credit Card?
The credit limit is decided based on the crop being cultivated, the proposed cropping pattern, household requirements, farm assets, extra expenses and more.
Is the revolving credit facility available on a Kisan Credit Card?
Yes, a revolving credit facility is available on a Kisan Credit Card.
Is the revolving credit facility available on a Kisan Credit Card?
Yes, the Kisan Credit Card functions as a revolving cash credit facility, allowing multiple withdrawals and repayments within the sanctioned limit.
Can tenant farmers apply for a Kisan Credit Card?
Yes, tenant farmers and sharecroppers are eligible under the revised Kisan Credit Card scheme.
What is the maximum loan amount available under the Kisan Credit Card Scheme?
Farmers can get a credit limit up to ₹3 lakh, depending on the cropping pattern and scale of farming.
Can a Kisan Credit Card be used for non-agricultural expenses?
The card is primarily for agricultural purposes, but a portion can be used for household consumption needs.
Is collateral required for a Kisan Credit Card loan?
No collateral is needed for loans up to ₹1.6 lakh. For higher amounts, banks may ask for security.
