As agriculture is the backbone of the Indian economy, it’s crucial to support the farmers in every aspect. To provide financial assistance to the farmers, the Government of India launched the Kisan Credit Card (KCC) scheme in August 1998. The KCC is a credit facility that helps to provide timely and adequate agriculture credit to farmers for their cultivation needs.
The Kisan Credit Card is a card-based credit system that provides affordable credit to farmers. This credit card is issued to farmers who are involved in farming and allied activities and are eligible to get loans from banks. KCC is a flexible scheme that provides credit to farmers in a hassle-free manner. The primary objective of this scheme is to cater to the agriculture credit requirement of farmers across the country.
The KCC scheme is executed by National Bank for Agriculture and Rural Development (NABARD), which is a specialized bank for agriculture and rural development. The entire process of KCC is quite simple, and the farmer has to follow the below-mentioned steps to avail the benefits of this scheme:
Step 1: Visit the nearest bank branch.
The first step is to visit the nearest bank branch that provides a credit facility to farmers. This can be a public sector bank, cooperative bank, or regional rural bank.
Step 2: Provide necessary documents.
The farmer should provide necessary documents like identity proof, address proof, land papers/geography certificate, and passport size photographs at the bank branch.
Step 3: Fill the form.
The applicant has to fill the KCC application form and provide details of the crops cultivated, expected yield, and the cost involved in farming.
Step 4: Approval & KCC card issuance.
Once the application is processed, and the loan is approved, the bank will issue a KCC card to the farmer. This KCC card acts as an ATM card, and it can be used to withdraw money directly from the account.
With the Kisan Credit Card scheme, farmers can get credit facility up to INR 3 lakh, and the interest rates vary from bank to bank. The card is valid for a period of 5 years, and the farmer has to renew the card after the expiry of this duration.
In conclusion, the Kisan Credit Card scheme is a boon for farmers. By providing affordable credit to farmers, it helps to improve their productivity and support their livelihood. This scheme provides financial security to farmers and helps them to improve their economic status. The scheme has been extremely successful and has benefited thousands of farmers across the country.