Kisan Credit Card Scheme

The Kisan Credit Card scheme was launched in August 1998 by NABARD (National Bank for Agriculture and Rural Development) to save the Indian farmers from the high interest rates charged by the money lenders in the unorganized sector.

The objective of this scheme was to ensure  that the credit requirements for farmers in the agriculture, fisheries and animal husbandry sector were being met  by helping them avail short-term loans and providing them with a credit limit to purchase equipment and for their other expenses as well.

This scheme is also referred as Pradhan Mantri Kisan Credit Card Yojana & is implemented by Commercial Banks, RRBs, Small Finance Banks and Cooperatives.


  • Famers who are individuals or joint borrowers of the cultivable land and are engaged in farming or related activities
  • Individual land owners as well as cultivators
  • Tenant farmers, oral leases, and shared croppers of the cultivable lands
  • Self-help groups or joint liability groups formed by sharecroppers or tenant farmers


The various features and benefits of this scheme are listed below :-

  • Farmers can take out a loan of up to Rs.3 lakh and also avail produce marketing loans.
  • Farmers receive an ATM cum credit card that can be used to withdraw cash from ATMs.
  • This scheme extends loan facility to the farmers at interest rates as low as 2% and a collateral-free loan up to Rs 1.60 lakh .
  • Farmer is provided insurance coverage against permanent disability, death, other risks is also provided to the farmer
  • The repayment period is decided on the basis of harvesting of crop and its marketing period
  • Farmers that deposit their money in the kisan Credit Card account will get a high rate of interest
  • Farmers are charged simple interest rate when they make prompt payment
  • Compound interest is charged when cardholders fail to make timely payments


Kisan Credit Card application procedure:-

  1. Visit the official site of any bank of your choice and visit the Kisan Credit Card Section.
  2. Download the application form and print it out.
  3. Fill out the application form.
  4. Visit the nearest branch of the bank and submit the application long with the documents asked.
  5. The loan officer will provide the details necessary to the applicant.
  6. Upon the sanction of the loan amount, the KCC will be dispatched.

Offline applications can be done by visiting the branch of the bank of your choice or by downloading the application form from the website of the bank as well.


The documents required to apply for KCC scheme are listed below-

  • Duly filled-in and signed-in application form.
  • Copy of identity proof such as Aadhaar card, PAN card, Voter ID, driving license, etc.
  • Copy of address proof document such as Aadhaar card, PAN card, Voter ID, driving license. The proof should have the applicant’s current address to become valid.
  • Land documents.
  • A passport size photograph of the applicant.
  • Other documents such as security PDC as requested by the issuing bank.

Thus, in a nutshell, the KCC yojana is a scheme that offers short term, revolving credit to farmers across India to mitigate any financial shortcomings faced by them during crop cultivation, harvesting or its maintenance. It is a viable option for everyone because of its wide applicability and borrower friendly terms.

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