(Kisan Credit Card) is a scheme for farmers run by the Government of India. The purpose of KCC is that the farmers charge more interest on the loan amount given by moneylenders, due to which the farmers are not able to repay on time and are going into debt. Hence, the Government of India started the KCC scheme to benefit the farmers. Has gone. Let us tell you that the interest rate is reduced to 2.00% under the Kisan credit card scheme. Also, the repayment period of the loan amount depends on the harvesting of the crop or the business tenure for which the loan amount was taken.
What is the Kisan Credit Card interest rate?
Friends, before taking KCC from any bank, you should do a complete investigation about that bank and know the interest rate of that bank. And without knowing how much interest will be charged on the loan amount you take and how much discount will be given on that interest, one should not take a loan from any bank. Friends, the interest rate on taking kcc (Kisan Credit Card) depends on the bank itself because the interest rate of all banks is different. According to the schemes of the Government of India, most the banks also provide the service of interest sub-loan, on which a 2.00% discount is available in the interest rate.
- A total interest rate of 9% is charged by the banks on Kisan Credit Card, in which the Central Government gives a subsidy of 2%.
- Similarly, if you deposit the loan amount to Kisan Credit Card before the completion of the year, then you are given a 4% incentive amount.
- In this way, if you take a kcc of Rs 3 lakh, then you have to pay only 4% interest.
Kisan Credit Card Banks List
- State Bank Of India (Sbi)
- Bank of Baroda
- ICICI Bank
- Punjab National Bank
- HDFC Bank
- Axis Bank
- Bank of India
Documents Required for Kisan Credit Card
- For Identity Proof – PAN Card, Voter ID (Voter ID), Driving License, Passport
- For Address Proof – Aadhar Card, PAN Card, Voter ID (Voter ID Card), Driving License, or any other government-issued ID
- passport photo
- share certificate
- No Dues proof from your nearest bank
What is the tenure of Kisan Credit Card
- Friends, you get 5 years by taking Kisan Credit Card. It works like an overdraft, and you will get interested only in the amount of money you withdraw from it. And friends can get it renewed after 5 years by depositing interest back.
What is an overdraft?
Overdraft is such a loan given by banks to their customers, under which money can be withdrawn even if there is no money in the customer’s bank account. It depends, and you will get interested only when you withdraw the money.
What is the eligibility for Kisan Credit Card?
- The age of the applicant applying Kisan Credit Card should be from 18 years to 60 years only.
- Do not be a defaulter of any bank. If defaulters are found, then you will not get kcc.
- The applicant’s CIBIL score should not be less than 685.
- Applicant should have own land.
- If the applicant does not have his land but is in the share, the share certificate will be required.
3-month moratorium on Kisan Credit Card payment
Due to the Kovid-19 epidemic, people’s lives all over India have been disturbed. Keeping this in mind, the Government of India has given a 3-month moratorium on Kisan Credit Card payment, keeping in mind the economy of the farmers. The Scheme was launched. The Reserve Bank of India (RBI) has allowed financial institutions, banks, and NBFCs to provide 3 months’ facility for repayment of loans. Following are the essential points to keep in mind for this service is applicable for all loan accounts
- Anyone whose repayment date should be within 1 year.
Moratorium Application Apply
The applicants have to contact their bank to fill out the application form for the moratorium payment period. Friends, some banks automatically apply the moratorium time on the loan account if the customer’s loan period is paid between 1 year. Withholding is valid on the following payments –
- Principal amount and interest
- Bullet Repayment
- Equated Monthly Installments (EMIs)
- Credit card details
- Turn off AutoPay-
- Credit score-
- Applicable on more than one loan account –
Features and Benefits of Kisan Credit Card
- The applicant can get a discount of up to 2.00% on the interest rate on applying for a Kisan Credit Card.
- Loan up to Rs 1.60 lakh is given without any guarantor.
- Farmers also get a crop insurance scheme; insurance coverage is also given.
- In case of permanent disability and death, up to Rs 50,000 is given to the farmer as compensation.
- For any other minor loss, compensation up to Rs.25,000 is given.
- Period for repayment of the loan amount is based on the harvesting of the crop for which the loan amount is taken
- The Kcc cardholder can quickly withdraw up to Rs 3 lakh loan amounts.
- No security of any kind is required for taking a loan up to Rs 1.60 lakh
- Kisan can also take a higher interest rate on the amount saved in the Kisan Credit Card account.
- Low interest rate is taken only as long as it is paid early by the farmer. Otherwise, the compound interest rate starts.
How to Apply Kisan Credit Card Online?
- First of all, go to the official website of the bank.
- A home page will open in front of you. Here you have to click on Agriculture and Rural.
- Now, some options will come in front of you. Here, you have to click on the Kisan credit card.
- After that, you will see a link to the application form; click on it. You have to read all the guidelines before applying.
- As soon as you click on apply, the application form will open in front of you. You will have to enter all the information asked in the form.
- Now, you click on the submit button. After that, you will get the Application Reference Number.
- After that, your documents are verified by the bank, and if all your documents are found to be accurate, you get kcc (Kisan Credit Card).
How to apply for Kisan Credit Card?
- To apply for Kisan Credit Card offline, visit your nearest bank branch.
- Get complete information about kcc (Kisan Credit Card) from the bank manager.
- Then get the kcc application from the bank.
- Now fill it well, and after filling it, attach all your documents with it.
- Then submit the application form to the bank.
- Later, the bank will check your application form and documents. If you are eligible, then you get Kisan Credit Card.
Also Read: How To Get Kotak Credit Card