Karnataka Bank Limited Kisan Credit Card 2024, Overview, Interest Rates & Eligibility
Overview
Karnataka Bank has introduced Karnataka Bank Kisan Credit Card scheme which is a credit delivery mechanism to meet the production credit requirements of the farmers in a timely and hassle-free manner. It helps a large section of farmers across the country. The period of KCC is for 5 years and the farmers have the option to renew the overdraft every year with 10% increase in the limit. The overdraft facility is more useful to the farmers as it is an operative account and they can credit the sale proceeds of various crops to the account and utilize it when required.
Objective
Through Karnataka Bank Kisan Credit Card, farmers can avail themselves of working capital loan in the form of overdraft for raising various crops and maintaining their farm equipment, and also term loan for meeting their investment credit requirements.
Credit Limit
The credit offered will be based on individual farming needs and requirements. Farmers have the option to renew the overdraft every year with 10 per cent increase in limit.
Margin
To be decided by the bank.
Documentation
- Proof of Identity (anyone): Passport / Voters ID card/ Driving License/PAN Card
- Duly filled Application Form with 2 recent passport size photographs
- Address Proof (anyone): Ration card Tel/ Electricity Bill/ Lease agreement/ Passport/ Trade license / Sales Tax certificate
- Documents of land holdings ownership
- Proof of Income as required by the bank
- Documents pertaining to collateral and primary security, as required by the bank
Interest Rate
Interest rate, prevaling from time to time, will be applicable for the loans financed under the scheme.
Insurance
Insurance for the crops are available periodically based on government guidelines.
Validity
The Kisan Credit Card is valid for five years, subject to annual review.
Disbursement
Disbursement through various channels, including ICT driven channels like ATM/PoS/Mobile handsets.
Processing Fee
May be decided by the bank.
What is Personal Accident Insurance Scheme (PAIS) for KCC Holders?
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 (or)
- Permanent Disability
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:
- Death due to accident (within 12 months of the accident) caused by outward, violent and visible means: Rs 50,000
- Permanent total disability: Rs.50,000
- Loss of two limbs or two eyes or one limb and one eye: Rs.50,000
- Loss of one limb or one eye: Rs.25,000
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