Farmers often need financial assistance for essential agricultural activities like seeds, fertilizers, tools, and crop protection. In such situations, the Kisan Credit Card (KCC) proves to be a boon. It not only provides loans at a low interest rate but also helps in making farming more advanced and empowered.
The Kisan Credit Card (KCC) is a special banking facility launched in 1998 by the Government of India and the Reserve Bank of India. Its main objective is to provide loans to farmers at a low interest rate for their agricultural needs. Through this card, farmers can easily buy items like seeds, fertilizers, pesticides, irrigation equipment, and other agricultural tools.
Timely Availability of Loans: The biggest advantage of KCC is that it provides timely credit to farmers. When the sowing season begins and there is a need for seeds, fertilizers, or pesticides, farmers don’t have to borrow money from others. They can withdraw funds directly from the bank using their KCC.
Low-Interest Rate Loans: The KCC scheme, farmers get loans at a much lower interest rate compared to regular loans. The government has fixed the interest rate at 7%, but if the loan is repaid on time, farmers get an additional 3% subsidy. This means the effective interest rate is just 4%, offering significant financial relief.
Purchase of Machinery, Seeds, and Fertilizers: Using the KCC, farmers can purchase tractors, threshers, pump sets, quality seeds, fertilizers, and other farm inputs. By using these modern tools, farmers can enhance both their productivity and income.
Support During Emergencies:
Natural disasters like drought, floods, hailstorms, or pest attacks often affect crops. During such emergencies, KCC becomes a reliable financial aid for farmers. They can use the funds to arrange necessary resources and recover from the losses.
Who Can Avail the Scheme?
To benefit from this scheme, certain eligibility criteria must be met. The following categories of farmers are eligible:
Required Documents:
How to Apply? Farmers can apply for this scheme through both online and offline modes.
Online Application: Visit the official website of the concerned bank and fill out the KCC application form. Upload all required documents and submit the form online.
Offline Application: Visit the nearest bank branch and collect the KCC form. Fill it out and submit it along with all necessary documents. The bank officials will take it forward from there.
