What is a KCC loan? This Kisan Credit Card program is a credit scheme that was launched in August 1998 by Indian banks. The plan was a short spanned credit to farmers. Its credit holders are coated under personal accident insurance up to ₹50,000 for death and permanent disability. Therefore, the Kisan Credit Card Scheme is a government of India scheme which supplies farmers with timely access to credit. Meanwhile, the scheme was established to guarantee that the credit requirements for farmers in the agricultural, animal husbandry, and fisheries segments were being met.
With the assistance of the KCC loan, farmers are free from the high-interest rates of regular loans offered by banks. The KCC interest loan starts from as low as 2%and averages at 4%. Now, farmers can repay their loans depending on the harvesting period of their crop for which the loan was credited. This program was prepared by the National Bank for Agriculture and Rural Development.
Features Of The KCC Loan
The following are the features of the KCC loan
- No collateral will be needed for loans of up to Rs.1.60 lakh.
- The farmers are given credit for agricultural requirements such as pump sets, dairy animal and many more.
- Single credit facility for all agricultural requirements.
- Assistance in the buying of seeds, fertilizers etc. and amazing discount offers from merchants.
- Entitled farmers will be given a saving account with captivating interest rate along with debit and credit card.
- Elastic and comfortable repayment choices and procedures.
As well as insurance coverage for KCC loan plan owners up Rs.3. lakh and also assist producing marketing loans and many others.
How To Know If You Are Eligible A Kishan Credit Card Loan?
To know if you are able to be qualified for a KCC loan, check below if you fit into these criteria;
- You must be a farmer with an owner-cultivator.
- You have to be a farmer who is involved in the production or manufacturing of crops or allied activities such as animal husbandry along side with non-farming activities such as fishing.
As well as tenant farmers, sharecroppers, or an oral lessee are entitled. Self-help groups or joint liability groups of sharecroppers, tenant farmers, and farmers are also entitled.
Documents Needed For The Application For A KCC Loan
The following documents are required for the application of loan from KCC loan:
- Land documents.
- A passport photo of the applicant.
- Security PDC.
- Properly filled in application form.
- A copy of identity proof document.
- A copy of address proof document such as driver’s license, voter card etc.
How To Apply for A KCC Loan
However, the application for the KCC loan can be done both online and offline. To apply for both, follow these steps to begin:
For Online Applications,
- Visit the website of the bank you choose or wish to apply for the Kisan Credit Card programme.
- Choose the Kisan Credit Card from the list of options.
- Click Apply and the website will alter to your application page.
- Fill in your form with the necessary information and click Submit.
- On the next page, an application reference number will be sent to you.
If you are entitled, the bank will get back to you for further process within 3-4 working days.
For Offline Application,
Nevertheless, the offline application can be done by going to the branch of the bank that you wish to do your application in, going to the bank, and starting the application procedure with the help of a bank representative. Once the process is done, the bank’s loan officer can help with the KCC loan amount for the applicant.