Kisan Credit Card Scheme Explained

The Kisan Credit Card Scheme is a game-changer for farmers in India. It provides them with easy access to credit at the beginning of the crop season, helping them meet their financial needs.

The scheme was introduced in 1998 by the National Bank for Agriculture and Rural Development (NABARD). It was designed to help farmers manage their cash flows and reduce their dependence on moneylenders.

Farmers can get a credit limit of up to Rs. 3 lakh under the scheme. This amount can be used to purchase seeds, fertilizers, and other inputs required for farming.

The repayment period for the loan is usually one year, starting from the date of withdrawal. This allows farmers to repay the loan in installments, making it more manageable.

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The Kisan Credit Card is a type of loan provided by the National Bank for Agriculture and Rural Development (NABARD) to farmers in India.

This loan is designed to help farmers meet their short-term credit needs, particularly during the lean season when crops are not being harvested.

It's a revolving credit facility that allows farmers to withdraw cash as and when needed, up to a certain limit.

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The Kisan Credit Card is a loan facility provided by the National Bank for Agriculture and Rural Development (NABARD) to farmers. It's a game-changer for farmers who need financial assistance during the off-season.

The card allows farmers to borrow up to Rs. 3 lakh per season, which is a significant amount of money. This amount can be used to purchase seeds, fertilizers, and other agricultural inputs.

Kisan Credit Card is a type of loan that is offered at a subsidized interest rate of 7% per annum. This means that farmers don't have to pay exorbitant interest rates on their loans.

The repayment period for the loan is up to 9 months, which is a relatively long period. This gives farmers enough time to repay the loan without straining their finances.

Farmers can apply for a Kisan Credit Card at their local bank or through the NABARD website. The application process is simple and straightforward.

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The Kisan Credit Card is a type of loan provided to farmers by the government, designed to help them cover their expenses during the off-season.

This card is issued by commercial banks and is specifically tailored for farmers who have a landholding of up to 2 hectares. The card provides a credit limit of up to ₹50,000, which can be used to purchase seeds, fertilizers, and other essential inputs for farming.

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To be eligible for a Kisan Credit Card, you must be a farmer who is directly involved in agriculture-related activities. This includes crop cultivation, animal husbandry, fishery, and allied sectors. You can be an individual, a joint borrower, or a member of a Self-Help Group (SHG) or Joint Liability Group (JLG).

To apply for a Kisan Credit Card, you need to meet certain criteria. You can be an owner-cultivator, a tenant farmer, or an oral lessee. You can also be a sharecropper or a member of a SHG or JLG. This includes tenant farmers and sharecroppers.

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The credit limit for a Kisan Credit Card is determined based on factors such as your cropping patterns, income from agricultural allied activities, and investment in farm equipment and allied agricultural activities.

Here are the key eligibility criteria:

To be eligible for a Kisan Credit Card, you need to meet certain criteria.

Individuals who are owner-cultivators, tenant farmers, and members of Self-Help Groups (SHGs) or Joint Liability Groups (JLGs) involved in agriculture are eligible for the PM Kisan Credit Card.

You can also apply if you're a joint borrower who is an owner-cultivator. Tenant farmers, oral lessees, and sharecroppers are also eligible.

SHGs or JLGs of farmers, including tenant farmers and sharecroppers, can also apply for a Kisan Credit Card.

The eligibility criteria for all Kisan Credit Cards is similar, including IDFC FIRST Bank Kisan Credit Card.

Here are the eligibility criteria:

The credit limit for IDFC FIRST Bank Kisan Credit Card is determined by factors such as cropping patterns, income from agricultural allied activities, and investment/maintenance towards farm equipment and allied agricultural activities.

Eligibility for the Indian Bank Kisan Credit Card is determined based on the scale of finance for the crop, area cultivated, and an additional 10% for post-harvest/household needs, plus 20% for farm asset maintenance.

Farmers can expect a valid card for 5 years, with a 10% increase in the crop loan limit annually. This means that the loan limit will increase over time, making it easier for farmers to access the funds they need.

The interest rate for loans up to ₹3 Lakhs starts at 7% p.a. This is a relatively low interest rate compared to other types of loans, making it a more attractive option for farmers.

The card offers a unique benefit of not requiring collateral for loans up to ₹1.6 Lakhs. This means that farmers can access the funds they need without having to put up any assets as collateral.

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The Kisan Credit Card (KCC) scheme offers several features and benefits that make it an attractive option for farmers. The credit limit is based on the farmer's cropping pattern, scale of finance, and the cost of cultivation.

Farmers can make multiple withdrawals from their KCC account within the approved credit limit, which helps them meet their agricultural expenses as and when required. This flexibility is especially helpful during peak farming seasons.

The repayment period is flexible, based on the income generated from agricultural activities. Farmers can repay the credit in installments or as a lump sum after harvest.

Farmers are eligible for an interest subsidy on their KCC loans, which reduces the burden of interest payments. The subsidy rate is determined by the government and is subject to change.

Here are some key features of the KCC scheme: