Kisan Credit Card
The Kisan Credit Card scheme offers farmers timely credit support for agricultural activities at subsidized interest rates.
Key facts
| Purpose | Short-term crop credit and allied farming needs |
|---|---|
| Effective interest | As low as ~4% per year with prompt repayment (after subvention) |
| Credit at subvented rate | Up to ₹3 lakh |
| Collateral | Not required up to the prescribed limit |
| Validity | Usually 5 years, reviewed annually |
| Application window | Open all year for eligible farmers |
Benefits
Beneficiaries receive credit at a subsidized interest rate of 4% per annum, thanks to interest subvention and repayment incentives. The scheme also provides financial support for various agricultural and household needs.
Who can apply
- Age 18–75
- For: farmer
- owns cultivable land
- not income tax payer
- no government employee in family
- no family member in government service
- poor household
Farmers aged between 18 and 75 who own cultivable land can apply for the Kisan Credit Card. Applicants must not be income tax payers, government employees, or have family members in government service, and should belong to poor households.
How to apply
Farmers can apply for the Kisan Credit Card through designated banks or financial institutions.
- Obtain the application form from the bank or download it online.
- Fill in the application form with required details.
- Attach necessary documents, including ID proof and landholding proof.
- Submit the completed application form along with documents to the bank.
- Wait for the bank's verification and approval process.
Documents required
- Application Form
- Two Passport Size Photographs
- ID proof such as Driving License / Aadhar Card / Voter Identity Card / Passport
- Address Proof such as Driving License, Aadhar Card
- Proof of landholding duly certified by the revenue authorities
- Cropping pattern (Crops grown) with acreage
- Security documents for loan limit above 160000 / 300000, as applicable
- Any other document as per sanction.
Common problems and how to fix them
| Problem | What to do |
|---|---|
| Bank is delaying the card | KCC issuance is time-bound; escalate to the branch manager, or use the simplified one-page crop-loan form. |
| Interest is higher than expected | The low effective rate applies only with prompt repayment — missing it forfeits the interest subvention. |
| Keeping the low rate | Get your limit reviewed and renewed every year to keep the subvented rate. |
Frequently asked questions
What documents are required to apply for the Kisan Credit Card?
Applicants need to provide an application form, photographs, ID proof, address proof, landholding proof, cropping pattern details, and any additional documents as specified by the bank.
Can a government employee apply for the Kisan Credit Card?
No, individuals who are government employees or have family members in government service are not eligible to apply for the Kisan Credit Card.
Is there an age limit for applying for the Kisan Credit Card?
Yes, applicants must be between 18 and 75 years of age to be eligible for the Kisan Credit Card.
What is the interest rate for loans under the Kisan Credit Card scheme?
The effective interest rate for loans under the Kisan Credit Card scheme is 4% per annum, due to interest subvention and repayment incentives.
How is the credit limit determined for the Kisan Credit Card?
The credit limit is based on the scale of finance for the crops cultivated, post-harvest expenses, and other factors as assessed by the bank.
What types of expenses can the Kisan Credit Card cover?
The Kisan Credit Card can be used for short-term credit needs, post-harvest expenses, household consumption, and working capital for farm maintenance.
What interest do I actually pay?
As low as about 4% per year on prompt repayment, after the interest subvention and incentive.
Is collateral required?
No collateral is needed up to the prescribed limit (commonly ₹1.6–3 lakh).
Always confirm the latest details on the official portal before applying.
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