What is the Kisan Credit Card scheme?

The Kisan Credit Card (KCC) scheme was introduced in 1998 on the recommendations of the R.V. Gupta Committee, with a model scheme prepared by NABARD and operationalised by the Reserve Bank of India through scheduled commercial banks, regional rural banks (RRBs) and cooperative banks. It provides timely and adequate short-term institutional credit to farmers in a single hassle-free credit facility for crop production, post-harvest expenses, consumption needs of the farm household, working capital for farm-asset maintenance, investment credit for allied activities and — since 2018–19 — working capital for animal husbandry and fisheries.

Who is eligible for a KCC?

Per RBI master directions, KCC is available to all farmers — individual or joint borrower owner-cultivators; tenant farmers, oral lessees and sharecroppers; and self-help groups (SHGs) or joint liability groups (JLGs) of farmers including tenants, sharecroppers and oral lessees. The 2018–19 extension to animal husbandry and fisheries covers dairy farmers (including landless), poultry farmers, fish farmers (inland and marine), shrimp/prawn cultivators and beekeepers, who can avail working-capital KCC for feed, vaccines, fingerlings and similar recurring inputs.

What documents are needed to apply for a KCC?

Standard documents are: (1) the prescribed KCC application form (a simplified one-page form is available on pmkisan.gov.in and individual bank portals); (2) identity proof (Aadhaar, voter ID, driving licence or passport); (3) address proof; (4) recent passport-size photograph; (5) land-record documents — khasra/khatauni, record of rights or pattadar passbook — or, for tenant farmers and sharecroppers, a registered lease/cultivation document or a no-objection certificate from the landowner; (6) for animal husbandry/fisheries KCC, proof of activity such as a dairy cooperative membership certificate, fish-farming licence or pond-lease document. Banks may require an affidavit for landholdings up to a notified threshold (typically up to ₹1.6 lakh limit) where collateral security is waived.

How is the credit limit on a KCC fixed?

For the first year, the short-term credit limit is calculated as: scale of finance for the crop (notified by the District Level Technical Committee) × area cultivated, plus 10% towards post-harvest/household/consumption needs, plus 20% towards farm-asset repairs and maintenance. For subsequent years (two through five) the limit is enhanced annually by 10% to account for cost escalation. A separate term-loan component for investment credit (e.g. dairy shed, micro-irrigation, farm machinery) is added based on activity and repayment capacity, and the aggregate becomes the maximum permissible limit (MPL) on the KCC.

How do I apply for a KCC?

Three official routes are available: (1) visit any branch of a scheduled commercial bank, regional rural bank, or primary agricultural credit society (PACS) of a cooperative bank — submit the KCC application with the documents listed above; (2) apply online through the bank's net-banking or mobile-banking portal — most public-sector banks offer a digital KCC journey for existing account holders; (3) the simplified one-page KCC application form for PM-KISAN beneficiaries (downloadable from pmkisan.gov.in) is accepted at any bank where the farmer holds an active savings account, with a mandate from the lead bank manager to dispose of applications within 14 days of receipt of complete documentation, as per the joint DA&FW–IBA circular.

What is the validity of a KCC and how is it renewed?

A KCC is valid for five years, subject to annual review of the operative cash-credit limit. The credit limit is renewed each year on the basis of operations in the account during the preceding year and the bank's satisfaction with repayment performance. Each drawal under the short-term limit must be repaid within 12 months from the date of drawal (or as per the crop cycle for the relevant crop), to remain eligible for interest subvention and the prompt-repayment incentive. After five years, the KCC is reviewed and renewed for a fresh five-year cycle.

How do I raise a grievance on a KCC application or rejection?

First-level grievance: approach the branch manager of the bank where the application was submitted; banks must dispose of complete KCC applications within 14 days as per the joint DA&FW–IBA circular. Second-level: write to the controlling office or zonal office of the bank, or use the bank's internal grievance portal. Third-level: file a complaint on the RBI Integrated Ombudsman Scheme portal (cms.rbi.org.in) or call the RBI ombudsman toll-free helpline 14448. State-level Bankers' Committees (SLBCs) and Lead District Managers also track KCC application disposal at the district level and can be contacted through the Lead Bank office.

Kisan Credit Card (KCC) Guide — Eligibility, Interest Subvention, Application Process & Allied-Activity Coverage

The Kisan Credit Card (KCC) is the flagship short-term institutional credit scheme for Indian farmers. It bundles crop-production credit, post-harvest expenses, consumption needs of the farm household, working capital for farm-asset upkeep and investment credit into a single revolving cash-credit facility, payable through a RuPay KCC card. Loans up to ₹3 lakh attract a 2% interest subvention and an additional 3% prompt-repayment incentive — bringing the effective rate to 4% per annum for farmers who pay on time. This guide walks through eligibility, how the credit limit is fixed, the interest subvention math, KCC for animal husbandry and fisheries, application steps, RBI collateral norms and grievance redressal. For how KCC sits alongside other farmer-welfare programmes, see our India government schemes for farmers reference and our PM-KISAN deep-dive.

Origin and current framework

KCC was launched in August 1998 on the recommendations of the R.V. Gupta Committee, with a model scheme prepared by NABARD and operationalised by the Reserve Bank of India through scheduled commercial banks, regional rural banks (RRBs) and cooperative banks (DCCBs/PACS). The scheme has been revised several times — most significantly in 2012 (revised model KCC scheme), in 2018–19 when it was extended to working capital for animal husbandry and fisheries, and in subsequent RBI master directions on priority-sector lending. Implementation today is a coordinated effort of the Department of Agriculture & Farmers Welfare (DA&FW) (interest-subvention scheme), the Department of Financial Services (banking framework) and RBI (regulatory norms).

Objectives — what KCC is designed to fund

A single KCC limit covers all of the following components, calibrated to the farmer's scale of finance:

Short-term crop production credit — seed, fertiliser, agro-chemicals, labour, fuel and other recurring cultivation expenses for notified crops.
Post-harvest expenses — threshing, transport, grading, storage and marketing costs after the crop is harvested.
Consumption needs of the farm household — limited to a notified percentage of the working-capital component.
Working capital for farm-asset upkeep — repair and maintenance of farm machinery, pumpsets, sheds and other productive assets.
Investment credit for allied activities — a term-loan component for dairy shed, micro-irrigation, farm equipment, poultry sheds, fish ponds and similar capital expenditure.
Working capital for animal husbandry and fisheries — feed, vaccines, fingerlings, brood stock, recurring feed and health-management costs (added in the 2018–19 extension).

Eligibility

Per RBI master directions, the KCC is available to:

Owner-cultivator farmers — individual or joint borrowers — with cultivable land in their name as recorded in state revenue records.
Tenant farmers, oral lessees and sharecroppers on production of a registered lease/cultivation agreement or a no-objection certificate from the landowner, as accepted by the bank.
Self-help groups (SHGs) and joint liability groups (JLGs) of farmers — including those of tenants, sharecroppers and oral lessees — under the JLG model promoted by NABARD.
Animal husbandry and fisheries farmers (since 2018–19) — dairy farmers (including landless), poultry farmers, inland and marine fish farmers, shrimp/prawn cultivators and beekeepers — for working-capital KCC against the activity.

How the credit limit is fixed (scale of finance)

The KCC limit is anchored to the scale of finance (SoF) — a per-hectare cost-of-cultivation benchmark notified each year by the District Level Technical Committee (DLTC) for each notified crop in the district. The first-year limit is calculated as:

Crop loan component = scale of finance × area cultivated, summed across the crops the farmer grows in Kharif, Rabi and Zaid seasons.
+ 10% towards post-harvest, household/consumption and similar needs.
+ 20% towards farm-asset repairs, maintenance and other working-capital needs.
+ Investment credit term loan for allied-activity capital expenditure, sized to repayment capacity.

For years two through five the short-term limit is enhanced by 10% per annum to absorb cost escalation, subject to satisfactory account conduct. The aggregate of the short-term and term-loan components becomes the Maximum Permissible Limit (MPL) on the KCC, drawable through the RuPay KCC card, cheque book, branch withdrawal or NEFT.

Interest subvention & prompt-repayment incentive

The headline economic feature of KCC is the central Modified Interest Subvention Scheme (MISS) administered by DA&FW — see our MISS deep-dive for the CCEA August 2022 continuation, the DBT-ISS settlement flow and the full-list PRI-eligibility rules. As per the notified guidelines:

Base lending rate at the bank counter: 9% per annum on short-term crop loans up to ₹3 lakh.
Less 2% interest subvention paid by the central government to the lender → effective 7% per annum for the borrower at first instance.
Less 3% prompt-repayment incentive for farmers who repay dues by the due date → effective 4% per annum for timely repayers.
For animal husbandry & fisheries KCC: the same interest-subvention framework applies on working-capital loans up to ₹2 lakh, taking the effective rate to 4% on prompt repayment per scheme guidelines.

Repayment must be made on or before the due date for the relevant crop (typically aligned to the harvest cycle, and not exceeding 12 months from the drawal date) for the prompt-repayment incentive to accrue. If repayment is delayed, the loan attracts the bank's full lending rate from origination — both the 2% subvention and the 3% incentive are forfeited. Rates and ceilings above are subject to periodic revision by DA&FW notification; verify the current parameters with the lender before drawal.

Operationally, the 2% subvention reimbursement to the lender and the 3% PRI credit to the farmer both flow through the Kisan Rin Portal (KRP) — the unified DFS-owned DBT-ISS claim-processing platform launched on 19 September 2023 that replaced the earlier partly-offline NABARD/RBI reconciliation pipeline.

Collateral, security and PMFBY linkage

Per RBI norms, KCC short-term loans up to ₹2 lakh are extended on a collateral-free basis (with the limit raised from ₹1.6 lakh to ₹2 lakh under the recent RBI circular for tie-up arrangements where applicable). For limits above this threshold, banks may take a charge on the cultivated land, hypothecation of crop or other acceptable security as per their credit policy. For loanee farmers growing notified crops in notified areas, crop insurance under Pradhan Mantri Fasal Bima Yojana (PMFBY) is extended at the time of loan disbursal — covering yield losses arising from non-preventable natural risks — except where the farmer has opted out as per scheme guidelines.

Application process

A farmer can apply for a KCC through any one of the routes below. Banks are required to dispose of complete KCC applications within 14 daysof receipt under the joint DA&FW–Indian Banks' Association circular.

Branch visit. Walk in to any branch of a scheduled commercial bank, regional rural bank, or the Primary Agricultural Credit Society (PACS) of a cooperative bank in your village or block. Submit the KCC application with the documents listed below.
Online / digital KCC. Most public-sector banks offer a digital KCC journey for existing savings-account holders through net-banking or mobile-banking — eligibility check, document upload and limit sanction can be completed online, with branch visit only for KYC update where needed.
PM-KISAN simplified KCC application. A simplified one-page KCC application form, downloadable from pmkisan.gov.in, is accepted at any bank where the PM-KISAN beneficiary holds an active savings account; the lead bank manager is mandated to dispose of such applications within 14 days. See our PM-KISAN deep-dive guide for the beneficiary-status check that often serves as the gateway document.

Required documents

KCC application form (bank-specific or the simplified pmkisan.gov.in form for PM-KISAN beneficiaries).
Identity proof — Aadhaar, voter ID, driving licence or passport.
Address proof — utility bill, Aadhaar, voter ID or similar.
Recent passport-size photograph.
Land-record documents — khasra/khatauni, record of rights or pattadar passbook; for tenant farmers, sharecroppers and oral lessees a registered lease or no-objection certificate from the landowner is accepted.
Allied-activity proof for animal husbandry and fisheries KCC — dairy cooperative membership certificate, fish farming licence, pond-lease document or similar.
An affidavit may be required for landholdings up to a notified ceiling where collateral security is waived.

KCC for animal husbandry and fisheries

The 2018–19 extension brought working-capital KCC to non-crop activities. The covered set, as per DA&FW guidelines, includes:

Dairy farmers — including landless dairy farmers — for feed, fodder, vaccines, mineral mixtures and insurance premiums for the milch animal.
Poultry farmers — for chicks, feed, medicines, litter material and electricity.
Inland and marine fish farmers — for fingerlings, feed, fertiliser, lime, aerators, fuel and crew wages.
Shrimp / prawn cultivators — for post-larvae, feed, water-quality inputs and pond preparation.
Beekeepers — for hive boxes, queen bees, sugar and honey-extraction equipment.

Allied-activity KCC limits are calibrated to the scale of operation (number of milch animals, pond area, number of birds, number of beehives) using NABARD's unit-cost benchmarks. The same 2% interest-subvention and 3% prompt-repayment incentive structure applies on the working-capital portion up to the notified ceiling (typically ₹2 lakh for animal husbandry and fisheries) per scheme guidelines. For fish farmers, shrimp cultivators and marine fishers, the allied-activity KCC is also the standard route for financing the 40-60% beneficiary contribution against assets sanctioned under the Pradhan Mantri Matsya Sampada Yojana (PMMSY) — see our PMMSY deep-dive guide for the CSS Beneficiary-Oriented subsidy pattern and the PM-MKSSY formalisation sub-scheme that underwrites institutional credit for fisheries microenterprises.

RuPay KCC card and operative cash credit

On sanction, the bank issues a RuPay KCC debit card linked to the KCC account. The farmer can draw against the limit through the RuPay card (PoS at agri-input dealers, ATM withdrawal), cheque book, branch withdrawal slip, NEFT/IMPS transfer, or UPI-linked payments where the bank supports it. Each drawal is treated as a fresh advance and must be repaid within 12 months from the date of drawal (or as per the crop cycle, whichever is earlier) to retain interest-subvention and prompt-repayment-incentive eligibility. Interest is charged only on the actual outstanding amount and only for the period of drawal — unlike a flat term loan.

Validity, renewal and review

The KCC is sanctioned for a five-year cycle, with the operative cash-credit limit reviewed each year on the basis of account conduct in the preceding year. After the five-year cycle the KCC is reviewed and renewed for a fresh five-year period, with the short-term limit re-anchored to the prevailing scale of finance and any change in cropping pattern. Default in repayment, persistent irregularity, change in landholding or shift to ineligible activities can lead to downgrade or closure of the KCC at the bank's discretion as per its credit policy.

Grievance redressal

A KCC grievance — application delay, rejection without reason, incorrect interest charge, denial of subvention or prompt-repayment incentive — can be escalated through the following channels:

Branch manager— first-level resolution within the bank's service-quality timelines; banks must dispose of complete KCC applications within 14 days of receipt.
Controlling office / zonal officeof the bank, or the bank's internal customer-grievance portal.
Lead District Manager at the district Lead Bank office, which monitors KCC application disposal at the district level through the District Consultative Committee.
State Level Bankers' Committee (SLBC) — the convenor bank publishes KCC progress and pendency by district each quarter.
RBI Integrated Ombudsman Scheme — file a complaint at cms.rbi.org.in or call the RBI ombudsman toll-free helpline 14448.

Important official links

Department of Agriculture & Farmers Welfare (agriwelfare.gov.in) — KCC scheme guidelines, interest-subvention notifications and allied-activity extension circulars.
KCC simplified application form (PDF) — one-page form for PM-KISAN beneficiaries, hosted on the PM-KISAN portal.
Reserve Bank of India (rbi.org.in) — master directions on priority-sector lending, KCC and the Integrated Ombudsman Scheme.
NABARD (nabard.org) — model KCC scheme, refinance support to RRBs and cooperative banks, and unit-cost benchmarks for allied activities.
Press Information Bureau (PIB) — official press releases on KCC saturation drives, interest subvention extensions and beneficiary statistics.

How KCC connects with other farmer-welfare programmes

KCC is the credit leg of the central farmer-welfare portfolio. It works best alongside the income-support, risk and irrigation legs:

PM-KISAN. The PM-KISAN beneficiary file is the single largest source of fast-track KCC applications under the saturation drive. See our PM-KISAN guide for the simplified one-page KCC form route and beneficiary status check.
PMFBY. Loanee farmers under KCC are auto-enrolled into Pradhan Mantri Fasal Bima Yojana on notified crops, with the premium debited from the KCC account at sowing and claims credited to the same account on a yield shortfall.
Soil Health Card. The crop-production component of the KCC is best deployed against a current soil-test recommendation — see our Soil Health Card guide for the 12 parameters tested and how balanced fertiliser use compounds credit returns.
Per Drop More Crop (PMKSY-PDMC). Use the investment-credit component of the KCC to top up the central 45–55% subsidy on drip and sprinkler irrigation under PMKSY-PDMC — the lower water and energy cost compounds the interest savings.
e-NAM. Use the e-NAM online price discovery and eNWR warehouse-trading route to time sale and KCC repayment for the prompt-repayment incentive.
Crop calendar. Time KCC drawal and repayment against critical growth stages with our India crop calendar; the 12-month repayment clock starts on each drawal.

References

Department of Agriculture & Farmers Welfare (agriwelfare.gov.in) — KCC scheme circulars and the modified interest-subvention scheme.
Reserve Bank of India (rbi.org.in) — master directions on KCC, priority-sector lending norms and collateral-free credit ceilings.
NABARD (nabard.org) — model KCC scheme and unit costs for allied activities.
KCC simplified application form (PDF, pmkisan.gov.in) — one-page form for PM-KISAN beneficiaries.
Press Information Bureau (PIB) — releases on KCC saturation drives and animal husbandry/fisheries extension.

Frequently asked questions

What is the Kisan Credit Card scheme?: The Kisan Credit Card (KCC) scheme was introduced in 1998 on the recommendations of the R.V. Gupta Committee, with a model scheme prepared by NABARD and operationalised by the Reserve Bank of India through scheduled commercial banks, regional rural banks (RRBs) and cooperative banks. It provides timely and adequate short-term institutional credit to farmers in a single hassle-free credit facility for crop production, post-harvest expenses, consumption needs of the farm household, working capital for farm-asset maintenance, investment credit for allied activities and — since 2018–19 — working capital for animal husbandry and fisheries.
Who is eligible for a KCC?: Per RBI master directions, KCC is available to all farmers — individual or joint borrower owner-cultivators; tenant farmers, oral lessees and sharecroppers; and self-help groups (SHGs) or joint liability groups (JLGs) of farmers including tenants, sharecroppers and oral lessees. The 2018–19 extension to animal husbandry and fisheries covers dairy farmers (including landless), poultry farmers, fish farmers (inland and marine), shrimp/prawn cultivators and beekeepers, who can avail working-capital KCC for feed, vaccines, fingerlings and similar recurring inputs.
What is the interest subvention and prompt-repayment incentive on KCC?: On short-term crop loans up to ₹3 lakh availed under KCC, the central government provides a 2% interest subvention to lending institutions, bringing the effective interest rate to 7% per annum. Farmers who repay their dues on time within the due date are eligible for an additional 3% Prompt Repayment Incentive, reducing the effective rate to 4% per annum. The same 4% effective rate applies to KCC loans up to ₹2 lakh for allied-activity working capital (animal husbandry and fisheries) as per scheme guidelines. The interest-subvention scheme is administered by the Department of Agriculture & Farmers Welfare; rates and ceilings are notified through periodic government orders and are subject to revision.
What documents are needed to apply for a KCC?: Standard documents are: (1) the prescribed KCC application form (a simplified one-page form is available on pmkisan.gov.in and individual bank portals); (2) identity proof (Aadhaar, voter ID, driving licence or passport); (3) address proof; (4) recent passport-size photograph; (5) land-record documents — khasra/khatauni, record of rights or pattadar passbook — or, for tenant farmers and sharecroppers, a registered lease/cultivation document or a no-objection certificate from the landowner; (6) for animal husbandry/fisheries KCC, proof of activity such as a dairy cooperative membership certificate, fish-farming licence or pond-lease document. Banks may require an affidavit for landholdings up to a notified threshold (typically up to ₹1.6 lakh limit) where collateral security is waived.
How is the credit limit on a KCC fixed?: For the first year, the short-term credit limit is calculated as: scale of finance for the crop (notified by the District Level Technical Committee) × area cultivated, plus 10% towards post-harvest/household/consumption needs, plus 20% towards farm-asset repairs and maintenance. For subsequent years (two through five) the limit is enhanced annually by 10% to account for cost escalation. A separate term-loan component for investment credit (e.g. dairy shed, micro-irrigation, farm machinery) is added based on activity and repayment capacity, and the aggregate becomes the maximum permissible limit (MPL) on the KCC.
How do I apply for a KCC?: Three official routes are available: (1) visit any branch of a scheduled commercial bank, regional rural bank, or primary agricultural credit society (PACS) of a cooperative bank — submit the KCC application with the documents listed above; (2) apply online through the bank's net-banking or mobile-banking portal — most public-sector banks offer a digital KCC journey for existing account holders; (3) the simplified one-page KCC application form for PM-KISAN beneficiaries (downloadable from pmkisan.gov.in) is accepted at any bank where the farmer holds an active savings account, with a mandate from the lead bank manager to dispose of applications within 14 days of receipt of complete documentation, as per the joint DA&FW–IBA circular.
Is collateral required for a KCC?: Per Reserve Bank of India guidelines, KCC loans up to ₹2 lakh are extended on a collateral-free basis (the limit was raised from ₹1.6 lakh to ₹2 lakh per the 2025 RBI circular for tie-up arrangements with state governments and farmer producer organisations, where applicable). For limits above this threshold, banks may take a charge on the cultivated land, hypothecation of crop or other acceptable security as per their credit policy. Insurance coverage on the standing crop is mandatory for notified crops in notified areas under PMFBY for loanee farmers, except where the farmer has opted out per scheme guidelines.
What is the validity of a KCC and how is it renewed?: A KCC is valid for five years, subject to annual review of the operative cash-credit limit. The credit limit is renewed each year on the basis of operations in the account during the preceding year and the bank's satisfaction with repayment performance. Each drawal under the short-term limit must be repaid within 12 months from the date of drawal (or as per the crop cycle for the relevant crop), to remain eligible for interest subvention and the prompt-repayment incentive. After five years, the KCC is reviewed and renewed for a fresh five-year cycle.
How do I raise a grievance on a KCC application or rejection?: First-level grievance: approach the branch manager of the bank where the application was submitted; banks must dispose of complete KCC applications within 14 days as per the joint DA&FW–IBA circular. Second-level: write to the controlling office or zonal office of the bank, or use the bank's internal grievance portal. Third-level: file a complaint on the RBI Integrated Ombudsman Scheme portal (cms.rbi.org.in) or call the RBI ombudsman toll-free helpline 14448. State-level Bankers' Committees (SLBCs) and Lead District Managers also track KCC application disposal at the district level and can be contacted through the Lead Bank office.

KCC parameters, interest-subvention rates, collateral ceilings and grievance contacts above summarise publicly available guidelines on agriwelfare.gov.in, rbi.org.in, nabard.org and PIB releases. Rates, ceilings and process steps are subject to revision; farmers should always verify current terms with their lending bank or the District Lead Bank office before applying or drawing.