Kisan Credit Card is a credit delivery mechanism to meet the credit needs of the farmers during the crop season in a timely and hassle-free manner by giving financial support to them. All the Commercial Banks, Regional Rural Banks, and Cooperative banks issue such credit cards.
Kisan Credit Card scheme was introduced by NDA Government in August 1998 on the basis of the model scheme prepared by the National Bank for Agriculture and Rural Development (NABARD) in consultation with the Major Banks.
Kisan Credit Card Scheme provides adequate, easy and timely credit support from the banking system under a single window to the farmers. The main objectives of the scheme are:
Personal Accident Insurance Scheme (PAIS) is an accident insurance scheme especially designed for KCC holders. NABARD has, in consultation with the representatives of insurance companies, bankers and Govt. of India, finalised the Personal Accident Insurance Scheme for KCC holders, for uniform implementation by banks throughout the country. It was introduced on 14 June 2001.
It covers risk of KCC holders against:
Death (within 12 months of the accident) or permanent disability should be resulting from accidents caused by external, violent and visible means.
It gives following risk covers:
KCC holder has the option to take benefit of Accident Insurance (including PAIS) whose premium has to be paid by him through his KCC account. Premium payable Rs.15/- for a one year policy while Rs.45/- for a 3-year policy. Premium has to be borne by farmers/bank according to the terms of the Scheme. To avail this insurance cover, the applicant should not be over 70 years of age at the time of availing the Kisan Credit Card
Banks can determine the validity period of KCC and its periodic review. The review will depend on increase in cropping area/ pattern and performance of the borrower. Then the review's result will decide on,
| Document | Details |
|---|---|
| Application Form | A form provided by the bank which needs to be filled out with accurate personal and financial details to apply for the loan. |
| Two Passport Size Photographs | Recent passport-sized photos of the applicant which is required for identification purpose and needs to be attached to the application form. |
| ID Proof | Valid identification documents e.g. Driving License, Aadhaar Card, Voter Identity Card or Passport. These are used to verify the identity of the applicant. |
| Address Proof | Documents which confirm the residential address of the applicant e.g. Driving License, Aadhaar Card, etc. so that the applicant's place of residence is verified. |
| Proof of Landholding | Official documents certified by the revenue authorities that confirm the applicant’s ownership of land which are required for agricultural or land-based loans. |
| Cropping Pattern | Detailed information about the crops grown and the acreage. This helps in assessing the viability and sustainability of agricultural activities for which the loan is required. |
| Security Documents | Additional security documents required for loan amounts above specific limits (e.g. Rs.1.60 lakhs / Rs.3.00 lakhs). These could include property deeds, fixed deposit receipts, etc. |
| Any Other Document as per Sanction | Any additional documents as may be required as per the specific conditions of the loan sanction. This varies based on the bank's policies and the loan type. |