Benefits and interest subvention framework
The KCC scheme protects farmers from informal high-interest moneylenders by providing structured institutional credit.
Core financial terms include:
- Short-term crop loans are provided at concessional interest rates under the central Interest Subvention Scheme.
- An additional prompt repayment incentive is granted to borrowers who clear dues on or before the scheduled due date.
- Operates as a revolving cash credit facility with flexible withdrawal via Rupay debit cards at ATMs and PoS terminals.
- No collateral security is required for agricultural loans up to the limit prescribed by RBI guidelines.
Eligibility criteria across farm sectors
The scope of KCC extends beyond conventional crop cultivation to include diverse rural allied enterprises.
Eligible categories include:
- Individual or joint owner-cultivator farmers holding agricultural land.
- Tenant farmers, oral lessees, and sharecroppers cultivating leased land.
- Self-Help Groups (SHGs) and Joint Liability Groups (JLGs) of small and marginal farmers.
- Livestock, dairy, poultry, sheep, goat, and fisheries farmers requiring working capital.
How to apply and required documentation
Farmers can apply through commercial banks, regional rural banks, cooperative credit societies, or online via the PM-KISAN portal. Required documents include land records (7/12, jamabandi, or patta), crop cultivation details, identity proof (Aadhaar or Voter ID), and passport photographs.
Official source
Check the latest rules, benefits and forms here. KisanPe is an independent platform and is not a government website.
National Bank for Agriculture and Rural Development (NABARD) ↗Related on KisanPe
Common questions
How is the credit limit determined on a Kisan Credit Card?
The limit is assessed based on landholding size, cropping pattern, and the district Scale of Finance fixed annually by the District Level Technical Committee (DLTC).
Can dairy and animal husbandry farmers get a KCC?
Yes, the KCC facility has been extended to provide working capital credit for dairy, poultry, sheep, goat, and fish farming.
What benefit is given for prompt repayment of KCC loans?
Borrowers who repay their loan dues on or before the due date receive an additional 3% interest subvention under central scheme norms.
General guidance, not personal advice. For your farm, ask your local Krishi Vigyan Kendra or agriculture officer.
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