How to apply for PM Kisan Credit Card?

Kisan Credit Card (KCC) scheme seeks to relieve the farmers from the clutches of the very high interest charged by the private sector money lenders in the unorganised lending segment in India. The interest rate that farmers pay is low, at around 2%, and the repayment schedule is in line with the harvesting and marketing season of the different crops. These two aspects make this scheme very attractive to the cultivators in India.

Eligibility Criteria

• All farmers – individuals/Joint cultivator owners
• Tenant farmers, oral lessees and share croppers etc.
• SHGs or Joint liability groups including tenant farmers.

Documents Required

• Duly filled in application form
• Identity proof- Voter ID card / PAN card / Passport / Aadhaar card / Driving License etc
• Address proof: Voter ID card / Passport / Aadhaar card / Driving license etc

Features and benefits

• Get interest at saving bank rate on credit balance in KCC account.
• Free ATM cum debit card (State Bank Kisan Card) for all KCC borrowers
• Interest subvention @2% p.a is available for loan amount upto Rs. 3 Lacs
• Additional interest subvention @3% p.a for prompt repayments
• Notified crops / notified areas are covered under crop insurance for all KCC loans
• Quantum of loan for 1st year will be assessed on the basis of Cost of cultivation, post-harvest expenses and farm maintenance cost
• For subsequent 5 year loan will be sanction on the basis of increase in scale of finance
• Collateral security is waived for KCC limit upto Rs. 1.60 lac.
• Sanctioned KCC limit will be considered for the purpose of fixing collateral security requirement
• Simple interest @7% p.a will be charged for one year or upto the repayment due date, which ever is earlier.
• In case of non-repayment within the due dates interest is applied at card rate
• Beyond due date interest will be compounded half yearly
• The repayment period may be fixed as per the anticipated harvesting and marketing period for the crops for which a loan has been granted.

How to Apply

• Visit the official website of a bank - SBI/Axis Bank/HDFC/PNB/ Others
• Look for ‘Apply for KCC’ online and then Download & Print Application Form
• Fill the form correctly
• Then submit the application form to nearest branch of the Bank