#process of KCC loan

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PM Kisan KCC Apply: Under the PM Kisan Yojana, the government is giving a loan of full ₹ 3 lakh, know what is the application process for KCC card and KCC loan?

PM Kisan KCC Apply: All our farmers who are PM Kisan Yojana Of Beneficiaries which is, not only for agricultural needs in order to fulfil the rather better production for doing Loan We want to receive them, we want to tell them that, Central government ne, for you Kisan credit card has launched with the help of which Up to ₹3 lakh with a hefty interest rate discount of 3% Of Loan you can get it…

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The Comprehensive Guide to Kisan Credit Card (KCC) Scheme

Introduction: The Kisan Credit Card (KCC) scheme has emerged as a revolutionary initiative by the Indian government to empower farmers and enhance their financial inclusion. With flexible payment terms, low-interest rates, and a host of benefits, the KCC scheme aims to provide farmers with timely access to credit for their agricultural and allied activities. In this comprehensive guide, we delve into the features, benefits, application process, eligibility criteria, and other essential aspects of the Kisan Credit Card scheme to help farmers maximize its advantages and improve their livelihoods.

Features and Benefits of Kisan Credit Card (KCC) Scheme: The Kisan Credit Card (KCC) scheme offers a range of features and benefits tailored to meet the diverse needs of farmers across India. Here's a detailed overview:

Flexible Payment Terms: Farmers can avail of flexible repayment terms based on the harvest season, ensuring convenience and ease of repayment.

Low-Interest Rates: With interest rates ranging from 2% to 4%, the KCC scheme offers practical and affordable credit solutions to farmers, enabling them to meet their agricultural expenses without burdening them with high-interest loans.

Credit Limit: Farmers are provided with a credit limit based on their eligibility, allowing them to access funds for purchasing farm machinery, inputs, seeds, fertilizers, and other agricultural necessities.

Usage Flexibility: The KCC loan can be utilized for various agricultural purposes, including crop cultivation, livestock rearing, purchase of equipment, post-harvest expenses, and investment in allied activities.

Subsidies and Schemes: The government offers subsidies and schemes to KCC cardholders, further reducing the interest burden and enhancing the affordability of credit.

Enhanced Credit Limit: In the recent Union Budget, the government increased the credit limit for farmers under the KCC scheme from Rs. 1.6 lakh to Rs. 3 lakh, providing farmers with greater financial flexibility and resources to meet their agricultural needs.

Eligibility Criteria for Kisan Credit Card (KCC) Scheme: The eligibility criteria for the Kisan Credit Card (KCC) scheme are as follows:

Owner-Cultivator: Any farmer who cultivates crops on their land is eligible to apply for the KCC scheme.

Joint Borrowers: Group owner-cultivators can also apply for the KCC as joint borrowers, enabling collective access to credit.

Sharecroppers, Tenant Farmers, and Oral Lessees: These individuals are eligible for the KCC scheme upon providing proof of landholding and agricultural activities.

Self-Help Groups (SHGs) and Joint Liability Groups (JLGs): These groups comprising farmers, sharecroppers, tenant farmers, and others involved in agricultural activities can apply for the KCC scheme.

Farmers Involved in Crop or Allied Activities: The KCC scheme caters to farmers engaged in crop production, animal husbandry, fisheries, and other non-farm activities related to agriculture.

Documents Required for Kisan Credit Card (KCC) Scheme: To apply for the Kisan Credit Card (KCC) scheme, farmers need to submit the following documents:

Duly completed and signed application form.

Copy of valid identity proof such as Aadhaar card, PAN card, Voter ID, or driving license.

Copy of valid address proof such as Aadhaar card, PAN card, Voter ID, or driving license with current address.

Proof of land ownership or leasehold agreement.

Passport-size photograph of the applicant.

Any other documents as requested by the issuing bank, such as post-dated cheques for security purposes.

Application Process for Kisan Credit Card (KCC) Scheme: Farmers can apply for the Kisan Credit Card (KCC) scheme through both online and offline modes. Here's a step-by-step guide to the application process:

Online Application Process:

Visit the official website of the bank offering the KCC scheme.

Download the KCC application form from the bank's website.

Fill out the application form with accurate details.

Upload the required documents as per the bank's instructions.

Submit the application form online.

Await verification and approval from the bank.

Offline Application Process:

Visit the nearest branch of the bank offering the KCC scheme.

Collect the KCC application form from the bank.

Fill out the application form manually with accurate details.

Attach photocopies of the required documents with the application form.

Submit the completed application form and documents to the bank.

Await verification and approval from the bank.

Conclusion: The Kisan Credit Card (KCC) scheme has emerged as a lifeline for farmers, providing them with timely access to credit and financial support for their agricultural endeavors. By leveraging the features and benefits of the KCC scheme, farmers can enhance their productivity, improve their livelihoods, and contribute to the overall growth and development of the agricultural sector. With simplified application procedures and enhanced credit limits, the KCC scheme empowers farmers to realize their full potential and achieve sustainable prosperity in the farming community. If you have any questions or problems, just reach out to the team at efiletax. They're here to help you with any issues you might have about the Kisan Credit Card plan.

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Digitizing Rural Credit Delivery & Collections with Kisan Credit Card

In recent years, the digitization of rural credit delivery and collections has become a pivotal strategy in enhancing financial inclusion and agricultural development in many countries, especially in India. The Kisan Credit Card (KCC) has played a significant role in this transformation. This article will discuss how digitization, coupled with the Kisan Credit Card, has revolutionized rural credit delivery and collections.

1. Kisan Credit Card (KCC): A Lifeline for Rural Farmers

The Kisan Credit Card is a government-backed initiative in India that aims to provide farmers with easy and timely access to credit. It was introduced to facilitate agricultural financing and reduce the dependency on informal moneylenders, who often charge exorbitant interest rates. The KCC offers farmers a flexible and affordable source of credit, and it has been a game-changer for rural agricultural communities.

2. The Digitization Revolution

The digitization of rural credit delivery and collections has greatly improved the efficiency, transparency, and accessibility of financial services for rural farmers. Here are some key aspects of this transformation:

a. Easy Application and Approval Process: Through digital platforms and government portals, farmers can apply for a Kisan Credit Card with relative ease. The application process is streamlined, reducing the need for extensive paperwork.

b. Credit Assessment: Digital platforms use various data sources to assess a farmer's creditworthiness, including their land holdings, crop production history, and repayment records. This helps in determining the credit limit for each farmer.

c. Disbursement of Credit: Once approved, the credit is disbursed directly into the farmer's linked bank account, eliminating the need for physical cash transactions.

d. Mobile Banking: Farmers can access their Kisan Credit Card accounts through mobile banking apps. This allows them to check their balance, review transactions, and make payments conveniently from their mobile devices.

e. Timely Notifications: Farmers receive timely notifications and reminders for loan repayments, helping them avoid defaults and late payments.

3. Benefits of Digitization for Farmers

The digitization of Kisan Credit Card services brings several benefits to rural farmers:

a. Access to Timely Credit: Farmers can access credit when they need it, allowing them to invest in seeds, fertilizers, equipment, and other essential inputs for their agricultural activities.

b. Reduced Dependency on Moneylenders: By providing an affordable source of credit, KCC reduces farmers' reliance on moneylenders who charge exorbitant interest rates.

c. Financial Inclusion: Digitization ensures that even remote and marginalized farmers have access to formal financial services, promoting financial inclusion.

d. Transparency: Digital platforms offer transparency in transactions, reducing the likelihood of fraud or malpractice.

e. Improved Recordkeeping: Farmers can maintain digital records of their financial transactions, which can be valuable for future financial planning.

4. Challenges and Considerations

While the digitization of rural credit delivery is highly beneficial, it also comes with some challenges:

a. Digital Literacy: Many rural farmers may not be well-versed in digital technologies. Training and support are essential to bridge this gap.

b. Connectivity: Ensuring a reliable internet or mobile network connection in remote areas can be challenging.

c. Cybersecurity: Protecting farmers' financial data from cyber threats is a crucial concern in the digitized environment.

In conclusion, the digitization of rural credit delivery and collections, especially through the Kisan Credit Card, has significantly improved the financial landscape for rural farmers. This transformation has empowered them with easier access to credit, reduced dependency on moneylenders, and improved financial inclusion. To fully realize the potential of this digitization, it is essential to address the associated challenges while continuing to expand the reach of such initiatives to the farthest corners of the rural landscape.

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Nirmala Sitharaman to review public sector banks’ performance on July 6

This is the first review meeting by Sitharaman in the current fiscal after the review of the FY23 financial results of banks.

NEW DELHI: Finance minister Nirmala Sitharaman on Thursday (July 6) will meet the heads of public sector banks (PSBs) to take stock of their overall performance. She will review the credit growth, asset quality, capital requirement and overall profitability.

Besides this, she will also take feedback about the various government schemes, including Kisan Credit Card (KCC), Stand-Up India, Pradhan Mantri Mudra Yojana (PMMY) and emergency credit line guarantee scheme (ECLGS) to help businesses impacted by Covid-19.

This is the first review meeting by Sitharaman in the current fiscal after the review of the FY23 financial results of banks. “Finance minister will also discuss the bad loan situation in the banking sector. Though there has been a significant improvement in asset quality of banks, there are some sectors like gems and jewellery, textiles, construction and food processing which need attention,” a top official told this newspaper.

As per the Financial Stability Report of the RBI, the gross non-performing assets (GNPA) of the scheduled commercial banks fell to a 10-year low of 3.9 % in March 2023. These are likely to decrease further to 3.6% by March 2024, as per its report. The RBI conducted stress tests to assess the resilience of SCBs, which revealed that they are well-capitalised and capable of absorbing macroeconomic shocks.

Meanwhile, FM chaired a review meeting on the implementation of various Budget announcements with the Secretary, Department of Economic Affairs, Disinvestment Secretary, Banking Secretary, Corporate Affairs Secretary and other senior officials of the Finance Ministry in New Delhi on Tuesday.

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Creditai Pvt Ltd

How can poor farmers get a loan from banks?  When there are many documentation processes and sometimes political support needed for the common man.

Farmers all over are experiencing the same form of distress ie; the struggles of getting a loan approved from the bank. Most banks tend to avoid the application regarding the request for getting a loan by small and marginalized farmers. This takes place only because of the common misconception that their crop would eventually fail resulting in an overdue loan.

 To tackle this issue faced by the whole agrarian economy, the government introduced the KCC ( Kisan Credit Card ) scheme. This scheme assists the farmers in availing the credit from the bank so that they’ll be able to purchase agricultural inputs readily. 

The farmers go through a lot of hustle just to get a loan approved. The process they go through is tiring and can be hectic since the banks hesitate in giving out loans to small and marginalized farmers. In the end, their last resort is the local financers who charge high-interest rates for the funds pushing the farmer into deeper debts. 

In light of the problems faced by the farmers,  organizations have introduced a cashless credit ecosystem that enables them to purchase agricultural products. The cashless credit ecosystem has the advantage of traceability which is not possible with cash transactions. The cashless credit ecosystem in India is designed to provide farmers with credit under low interest. This saves them from the burden of debt due to piling interest. 

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किसान क्रेडिट कार्ड की लिमिट डबल और ब्याज 1 फीसदी करने की मांग, 7 करोड़ लोगों को मिलेगी राहत

किसान क्रेडिट कार्ड की लिमिट डबल और ब्याज 1 फीसदी करने की मांग, 7 करोड़ लोगों को मिलेगी राहत

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केसीसी में ब्याज एक फीसदी करने की मांग उठने लगी है

पीएम किसान सम्मान निधि के लाभार्थियों को अब किसान क्रेडिट कार्ड बनवाना होगा आसान, ये है वजह, आ��ेदन के दो सप्ताह में बन जाएगा केसीसी, बैंकों को निर्देश

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New boost for Kent and Medway businesses opens for applications

Kent and Medway businesses in the early stages of growth can now apply for an interest-free loan to help achieve their ambitions, create jobs and power the county’s economy. Officially launched today, the Small Business Boost offers financial support of between £26,000 and £99,000 repayable over five years, following an optional six-month re-payment holiday. The scheme is part of the Kent and Medway Business Fund (KMBF), managed by Kent County Council (KCC), which has been offering recycled loan funding to Kent businesses for over a decade. Along the way over 350 companies have been able to expand, creating and safeguarding thousands of jobs. Businesses applying for a Small Business Boost loan need to show: Realistic ambitions for growth and job creation A robust business plan, and Proof the loan will help. SMEs from any sectors can apply, but applications from the following priority sectors are particularly encouraged: Manufacturing Pharmaceutical, natural and life sciences Green technology Digital, media, creative and cultural industries, and tourism Food technology manufacturing, and Logistics and construction Applicants also need to pass credit checks. You can find out more about the Small Business Boost, including how to apply, here: About Small Business Boost – Kent & Medway Business Fund (kmbf.co.uk) Businesses wanting further details can also call the Kent and Medway Growth Hub on 03333 602 300 to talk to an adviser. Leader of Kent County Council Roger Gough said, “Since 2012, when we first started offering repayable finance through regional growth funding, KCC has supported several hundred small businesses across Kent and Medway through these funds, creating or safeguarding more than 5,000 jobs. “Recycling the funding as the loans are re-paid is a fantastically simple, but effective way, of ensuring continued public support for Kent’s hard-working business community in uncertain economic times.” Chairman of the KMBF Investment Advisory Board, Sir Paul Carter, said, “Our new loan offer has been tailored to help Kent’s small businesses with big ambitions and good ideas to get to the next level. “The application process is rigorous to ensure we can recycle funding to support future businesses. But there is lots of help on hand to help companies ready to boost Kent’s economy through innovation, investment and jobs to apply – just check out our website at About Small Business Boost – Kent & Medway Business Fund (kmbf.co.uk), or speak to the Kent and Medway Growth Hub on 03333 602 300.” ENDS. For more information, please contact KCC Marketing and Resident Experience team  Jo.godden@kent.gov.uk or Lucy.mayor@kent.gov.uk https://ift.tt/vPolInH https://ift.tt/vSkwGAa

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Pm Kisan Check Step By Step Guide To Apply For Kisan Credit Card Through SBI

The Kisan Credit Card scheme is one of the plans sent off by the Government of India to furnish ranchers with simple admittance to credit. Set up by NABARD (National Bank for Agriculture and Rural Development), this plan was sent off back in 1998 to give short-term credit to farmers.

The KCC scheme was introduced to meet the credit necessities of farmers in the fields of agriculture, fisheries, animal farming, and related areas. The possibility of the plan was to help farmers avail short-term loans and credit limits to purchase gear just to cover different costs. With KCC, farmers can get waivers from high interest rates that are generally pertinent to regular loans offered by banks. This is on the grounds that the loan fee for KCC starts at just 2% and averages at 4%.

Through this scheme, farmers can easily repay their loans  according to the collecting timetable of their harvest for which the credit was benefited. This essentially gives transient credit to farmers in the country. Farmers can undoubtedly benefit from these loans for meeting their financial needs for agriculture. Through Kisan Credit Cards, farmers can avail attractive interest rates. The public authority has likewise guaranteed a smooth application process to improve farmers' interest in availing credit.

What are the eligibility criteria for a Kisan Credit Card?

Any farmer, whether individuals, tenant farmers, joint cultivator owners, sharecroppers etc., can apply for this credit card

Any self-help groups and joint liability groups that include tenant farmers are eligible to apply for SBI Kisan credit card

Application Steps for Kisan credit card SBI

Individuals, sharecroppers, tenant farmers, and landowners are eligible for the SBI Kisan credit card.

Farmers can request the application form from the nearest bank branch or download the same in PDF format from the SBI official website. Kisan credit card online application SBI form is available on the bank’s website.

Applicants can fill the application and furnish it to the branch manager.

The bank will process the application and call those who are eligible within 3 to 4 working days to inform them about further steps in the application process.

The bank will then furnish information on the required documents for the process, following which, an appointment will be provided for document collection.

Post successful verification of the documents, the bank will dispatch the Kisan credit card to the applicant’s registered address.

After filling and submitting the application at the nearest SBI branch, the bank’s loan officer will review the application and grant the loan amount.

Customers can begin using the loan amount upon receipt of their SBI Kisan credit card.

Reference; Pm Kisan Check Step By Step Guide To Apply For Kisan Credit Card Through SBI

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Steps to apply for Kisan Credit Card Through SBI

The Kisan Credit Card scheme is one of the schemes launched by the Government of India to provide farmers with easy access to credit. Established by NABARD (National Bank for Agriculture and Rural Development), this scheme was launched back in 1998 to provide short-term credit to farmers. 

The KCC scheme was introduced to meet the credit requirements of farmers in the fields of agriculture, fisheries, animal husbandry, and related sectors. The idea of the scheme was to help farmers avail short-term loans and credit limits to buy equipment as well as cover other expenses. With KCC, farmers can get waivers from high-interest rates that are otherwise applicable to regular loans offered by banks. This is because the interest rate for KCC begins at only 2% and averages at 4%. 

Through this scheme, farmers can easily repay their loans as per the harvesting timeline of their crop for which the credit was availed. This mainly provides short-term credit to farmers in the country. Farmers can easily avail of these loans for meeting their financial needs for agriculture. Through Kisan Credit Cards, farmers can avail attractive interest rates. The government has also ensured a smooth application process to improve farmers' interest in availing credit.

What are the eligibility criteria for a Kisan Credit Card?

Mentioned below are the SBI Kisan Credit Card eligibility Criteria:

Any farmer, whether individuals, tenant farmers, joint cultivator owners, sharecroppers etc., can apply for this credit card

Any self-help groups and joint liability groups that include tenant farmers are eligible to apply for SBI Kisan credit card

What are the documents required for a Kisan Credit Card?

Here are the documents required for the Kisan credit card application:

Identity Proof - Aadhaar card, Voter’s ID card, PAN card, Passport, Driving license or any other valid photo ID approved by the government.

Address Proof - Passport, Aadhar card, Utility bills that are not older than three months or any other government-approved address proof.

reference

https://www.creditmantri.com/article-pm-kisan-check-step-by-step-guide-to-apply-for-kisan-credit-card-through-sbi/

[wishfin]

A Kisan Credit card has been specially designed to provide farmers of the country a financial support. The scheme which was launched in 1998 aims to tackle the comprehensive financial needs of the agricultural sector by offering term loans. The model was developed by National Bank for Agriculture and Rural Development. Various commercial banks, state co-operative banks and regional rural banks are the participatory members who provide the card. A Kisan credit card will help the farmer to secure timely credit at reasonable rates of interest in a hassle free manner. The farmer won’t be required to appear for the continuous screening process which is undertaken by the banks for giving term loans. A farmer can take maximum advantage of a Kisan credit card. He will be provided with a passbook which will have his name, credit limit, photograph, validity and details of his land holding. The card is issued on the basis of certain factors like timely payments of the past loans and land holdings one has in his name. The basic idea behind the card is to ensure that farmers in the country are given adequate credit under one single window.

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How to avail benefits under the Kisan Credit Card Scheme

In this article, Shubham Kumar of HNLU, Raipur discusses Kisan Credit card and its benefits.

Introduction

India is an agro-based country. 52% of India’s population is engaged in farm-related activities directly or indirectly. Agriculture contributes to 17.32% in GDP with a value of around INR 23.83 lakh crores. To support the agriculture sector government launches various schemes. One Such scheme launched is Kisan Credit Card (KCC). The KCC scheme was launched by NABARD in 1998. It aims to fulfil short-term credit needs of the farmers.

Why was Kisan Credit Card launched?

Indian farmers face difficulty in acquiring adequate finance from banks. The process of acquiring a loan is difficult since it needs a lot of documentation, security and the process is time taking. Due to illiteracy among the farmers, they often get trapped by the rural money-lenders who provide them a loan in a short period but at a very high rate and the farmers often get trapped in the debt web. To remove this complication, KCC scheme was launched to provide cost-effective credit to farmers for agricultural purposes promptly.

What are the objectives of the scheme?

The objectives of the scheme are:

Provide short-term credit requirement for cultivation.

Provide for expenses incurred after cultivation. Ex: Expenses of marketing, Expenses for transportation of crops to market.

Provide money for purchasing farm tools and machinery.

Provide for consumption requirement of farmer household.

Who are eligible to avail benefits under KCC scheme?

Farmers who own the land and cultivate the land.

Farmers who have taken land on rent or lease.

Self Help Group of farmers.

What amount of loan can be availed under the scheme?

For all farmers other than marginal farmers (farmers who own less than 1 acre of land):

If a farmer is cultivating only one crop every year, for the first year, he will be eligible for a loan amount equal to scale of finance for the crop as determined by the District Level Technical committee x Extent of area cultivated + 10% of limit towards post-harvest consumption requirement + 20% of limit towards repairs and maintenance expenses of farm assets + crop insurance + assets insurance. For example, a farmer is growing wheat. The scale of finance for 1 acre is INR 10000. For the first year, he will get a loan equal to (10000) x no. of acres + 1000 + 2000.

If the farmer is cultivating the same crop the second year and subsequent years till 5 th year he will be eligible for a loan equal to the amount of first-year + 10% of the scale of finance of every successive year.

If the farmer is cultivating more than one crop in a year, he will get a loan equal to the limit as determined above.

The maximum limit for a loan is INR 3 lakhs.

For a detailed calculation of loan amount, refer to this link.

For marginal farmers

They are entitled to a loan up to INR 10000 to INR 50000

What is the period of repayment of loans?

The repayment period is fixed by the banks as per anticipated harvesting and marketing period of the crops.

Loans given for the purchase of machinery are normally repayable within a period of 5 years which can be extended by the bank.

What is the rate of interest on such loans?

The rate of interest varies from banks to banks. Normally, the rate of interest is 7%.

What security is to be given to banks?

For loans up to INR 1 Lakh banks are to waive any security requirement.

For loans up to INR 3 Lakhs banks may consider hypothecation of crops.

Collateral security may be obtained at the discretion of Bank for loan limits above Rs.1.00 lakh in case of non tie-up and above Rs.3.00 lakh in case of tie-up advances.

Why take a loan under KCC scheme instead of a general loan?

The following benefits are given only to Kisan Credit Card holders:

It offers flexible repayment.

Disbursement of the fund is simple.

Single credit can be availed for all agricultural requirements.

Cash discounts can be availed from merchants of seeds, fertilizers, etc.

There is no restriction on the number of cash withdrawals tilas long as it is within the limit of the card.

Repayment can be done once the harvest is over.

Lower interest rates.

The fund can be withdrawn from any of the bank branches.

Other features of the KCC

Farmers who are eligible for the Kisan Credit Card is offered a passbook or a card-cum-pass book.

If a farmer is eligible for a production credit of Rs. 5000 or more, then he/she is eligible for a Kisan Credit Card.

As per the concerned bank’s discretion, sub-limits may be fixed.

The facility of revolving credit is available for any amount of withdrawals and repayment made within the credit limit. The credit limit is fixed based on the individual’s land holdings, the scale of finance, annual production credit needs, etc.

Based on the annual review, the credit card can be valid up to 3 years.

Repayment of the amount borrowed can be made within a period of up to 12 months.

Credit limits will be increased to accommodate change in cropping pattern, increase in costs, etc. as an incentive for good record on credit card usage.

Operations will be either through PACS in the case of Cooperative Banks or issuing branch in case of other banks, at the sole discretion of the bank.

Conversion/rescheduling of loans also permissible in case of damage to crops due to natural calamities.

Security, margin, the rate of interest, etc. are set as per RBI norms.

How to get a Kisan Credit Card?

Kisan Credit Card can be availed from any branch of any bank. The procedures to get the card may vary in different banks. The operation of this facility is simple and straightforward. Based on the land holdings and the income earned from it, banks issue farmers Kisan Credit Cards. The farmers should have a good credit history to be eligible for the same. Those who receive the Kisan Credit Card, get facilities like: passbook with the name, particulars of landholding, address, validity period, credit limit, etc., which serves as the customer’s unique identification as well as a system for tracking their transactions. In addition to the passbook, beneficiaries also get a debit card for use in ATMs, PoS machines powered by MasterCard or VISA. Generally, the documents required by every bank are,

Duly filled in application form.

Identity proof- Voter ID card/PAN card/Passport/Aadhar card/Driving License etc

Address proof- Voter ID card/Passport/Aadhar card/Driving license etc.

Currently, there is no bank accepting online application for a credit card.

Application form of the Axis Bank can be accessed at this link.

Comparison of KCC issued by different bank

Banks Credit Limit Maximum Tenure Insurance Coverage Axis Bank Credit limit up to INR 2.50 lakhs 5 years up to INR 50,000/- Bank of India 25% of the farmer’s gross estimated income, or a maximum of Rs.50,000/ Credit up to Rs.10 lakhs can be offered to a farmer for extended period of 12 months N/A State Bank of India Short-term credit limit is fixed for the first year depending upon the crops cultivated as per proposed cropping pattern & scale of finance 12 months for long-term crops. Personal Accident Insurance Scheme (PAIS), Asset insurance and Crop insurance are covered by the scheme. Indian Overseas Bank (IOB) Credit Limit is based on the scale of finance, cropping pattern and the extent of cultivation. 5 years N/A

How are the funds disbursed?

Withdrawal can be done through a branch.

Withdrawal can be done through cheque.

Withdrawal through the cards in any ATM.

Withdrawal through PoS available with dealers/merchants.

Transfer through mobile or online banking.

Personal Accident Insurance Scheme under KCC

The KCC scheme covers risk against death or permanent disability. In case of death or loss of both limbs or permanent disability, due to accident INR, 50,000 is awarded to the KCC holder. In the case where there is a loss of one limb, INR 25,000 is provided to the card holder. The premium payable is Rs.15 per year.

Can I take loan from any bank under KCC scheme?

Yes, loan can be taken from any branch of any bank. The govt. has notified all banks under private as well as public sector to extend credit to farmers under the scheme.

Can I take loan from more than one bank under KCC scheme?

No, if a loan has already been taken under the KCC scheme from a bank, another loan under the scheme cannot be taken from other banks.

Recovery of loan under KCC scheme

The process of recovery of loan differs for every bank, however, the process of recovery of loan extended under KCC scheme is similar to the process of recovery of general loan. Sometimes the govt. Waives off the loan taken by farmers under KCC scheme. Ex. In 2009 UPA govt. waived off the loans given to marginal farmers.

Conclusion

Since the inception of the scheme, 14.64 lakhs of KCC cards have been issued. The total crop loan extended under the scheme is INR 6,35,412 crore, but the farmer’s suicide has been increased by 40%. Last year, 12,412 farmers committed suicide due to debt related issues or crop failure. This number shows that though scheme for farmers welfare exists, the benefits under the scheme is not reaching the beneficiaries. It is found out that most of the farmers do not know about any such scheme. They are also less enthusiastic about crop insurance scheme since settlement in most cases is delayed. The illiterate farmers in India do not know how to use debit cards, and also non-availability of ATMs in rural areas add up to their problems. To get the best possible out of this scheme financial literacy programs should be started by the government. The banks should actively engage in promotion of KCC schemes. Farmers should be taught how to use debit cards. Agriculture in India has tremendous potential. If harnessed properly India could become the leading exporter of agro-based products.

The post How to avail benefits under the Kisan Credit Card Scheme appeared first on iPleaders.

How to avail benefits under the Kisan Credit Card Scheme published first on http://ift.tt/2gOI9L4

[juudgeblog]

How to avail benefits under the Kisan Credit Card Scheme

In this article, Shubham Kumar of HNLU, Raipur discusses Kisan Credit card and its benefits.

Introduction

India is an agro-based country. 52% of India’s population is engaged in farm-related activities directly or indirectly. Agriculture contributes to 17.32% in GDP with a value of around INR 23.83 lakh crores. To support the agriculture sector government launches various schemes. One Such scheme launched is Kisan Credit Card (KCC). The KCC scheme was launched by NABARD in 1998. It aims to fulfil short-term credit needs of the farmers.

Why was Kisan Credit Card launched?

Indian farmers face difficulty in acquiring adequate finance from banks. The process of acquiring a loan is difficult since it needs a lot of documentation, security and the process is time taking. Due to illiteracy among the farmers, they often get trapped by the rural money-lenders who provide them a loan in a short period but at a very high rate and the farmers often get trapped in the debt web. To remove this complication, KCC scheme was launched to provide cost-effective credit to farmers for agricultural purposes promptly.

What are the objectives of the scheme?

The objectives of the scheme are:

Provide short-term credit requirement for cultivation.

Provide for expenses incurred after cultivation. Ex: Expenses of marketing, Expenses for transportation of crops to market.

Provide money for purchasing farm tools and machinery.

Provide for consumption requirement of farmer household.

Who are eligible to avail benefits under KCC scheme?

Farmers who own the land and cultivate the land.

Farmers who have taken land on rent or lease.

Self Help Group of farmers.

What amount of loan can be availed under the scheme?

For all farmers other than marginal farmers (farmers who own less than 1 acre of land):

If a farmer is cultivating only one crop every year, for the first year, he will be eligible for a loan amount equal to scale of finance for the crop as determined by the District Level Technical committee x Extent of area cultivated + 10% of limit towards post-harvest consumption requirement + 20% of limit towards repairs and maintenance expenses of farm assets + crop insurance + assets insurance. For example, a farmer is growing wheat. The scale of finance for 1 acre is INR 10000. For the first year, he will get a loan equal to (10000) x no. of acres + 1000 + 2000.

If the farmer is cultivating the same crop the second year and subsequent years till 5 th year he will be eligible for a loan equal to the amount of first-year + 10% of the scale of finance of every successive year.

If the farmer is cultivating more than one crop in a year, he will get a loan equal to the limit as determined above.

The maximum limit for a loan is INR 3 lakhs.

For a detailed calculation of loan amount, refer to this link.

For marginal farmers

They are entitled to a loan up to INR 10000 to INR 50000

What is the period of repayment of loans?

The repayment period is fixed by the banks as per anticipated harvesting and marketing period of the crops.

Loans given for the purchase of machinery are normally repayable within a period of 5 years which can be extended by the bank.

What is the rate of interest on such loans?

The rate of interest varies from banks to banks. Normally, the rate of interest is 7%.

What security is to be given to banks?

For loans up to INR 1 Lakh banks are to waive any security requirement.

For loans up to INR 3 Lakhs banks may consider hypothecation of crops.

Collateral security may be obtained at the discretion of Bank for loan limits above Rs.1.00 lakh in case of non tie-up and above Rs.3.00 lakh in case of tie-up advances.

Why take a loan under KCC scheme instead of a general loan?

The following benefits are given only to Kisan Credit Card holders:

It offers flexible repayment.

Disbursement of the fund is simple.

Single credit can be availed for all agricultural requirements.

Cash discounts can be availed from merchants of seeds, fertilizers, etc.

There is no restriction on the number of cash withdrawals tilas long as it is within the limit of the card.

Repayment can be done once the harvest is over.

Lower interest rates.

The fund can be withdrawn from any of the bank branches.

Other features of the KCC

Farmers who are eligible for the Kisan Credit Card is offered a passbook or a card-cum-pass book.

If a farmer is eligible for a production credit of Rs. 5000 or more, then he/she is eligible for a Kisan Credit Card.

As per the concerned bank’s discretion, sub-limits may be fixed.

The facility of revolving credit is available for any amount of withdrawals and repayment made within the credit limit. The credit limit is fixed based on the individual’s land holdings, the scale of finance, annual production credit needs, etc.

Based on the annual review, the credit card can be valid up to 3 years.

Repayment of the amount borrowed can be made within a period of up to 12 months.

Credit limits will be increased to accommodate change in cropping pattern, increase in costs, etc. as an incentive for good record on credit card usage.

Operations will be either through PACS in the case of Cooperative Banks or issuing branch in case of other banks, at the sole discretion of the bank.

Conversion/rescheduling of loans also permissible in case of damage to crops due to natural calamities.

Security, margin, the rate of interest, etc. are set as per RBI norms.

How to get a Kisan Credit Card?

Kisan Credit Card can be availed from any branch of any bank. The procedures to get the card may vary in different banks. The operation of this facility is simple and straightforward. Based on the land holdings and the income earned from it, banks issue farmers Kisan Credit Cards. The farmers should have a good credit history to be eligible for the same. Those who receive the Kisan Credit Card, get facilities like: passbook with the name, particulars of landholding, address, validity period, credit limit, etc., which serves as the customer’s unique identification as well as a system for tracking their transactions. In addition to the passbook, beneficiaries also get a debit card for use in ATMs, PoS machines powered by MasterCard or VISA. Generally, the documents required by every bank are,

Duly filled in application form.

Identity proof- Voter ID card/PAN card/Passport/Aadhar card/Driving License etc

Address proof- Voter ID card/Passport/Aadhar card/Driving license etc.

Currently, there is no bank accepting online application for a credit card.

Application form of the Axis Bank can be accessed at this link.

Comparison of KCC issued by different bank

Banks Credit Limit Maximum Tenure Insurance Coverage Axis Bank Credit limit up to INR 2.50 lakhs 5 years up to INR 50,000/- Bank of India 25% of the farmer’s gross estimated income, or a maximum of Rs.50,000/ Credit up to Rs.10 lakhs can be offered to a farmer for extended period of 12 months N/A State Bank of India Short-term credit limit is fixed for the first year depending upon the crops cultivated as per proposed cropping pattern & scale of finance 12 months for long-term crops. Personal Accident Insurance Scheme (PAIS), Asset insurance and Crop insurance are covered by the scheme. Indian Overseas Bank (IOB) Credit Limit is based on the scale of finance, cropping pattern and the extent of cultivation. 5 years N/A

How are the funds disbursed?

Withdrawal can be done through a branch.

Withdrawal can be done through cheque.

Withdrawal through the cards in any ATM.

Withdrawal through PoS available with dealers/merchants.

Transfer through mobile or online banking.

Personal Accident Insurance Scheme under KCC

The KCC scheme covers risk against death or permanent disability. In case of death or loss of both limbs or permanent disability, due to accident INR, 50,000 is awarded to the KCC holder. In the case where there is a loss of one limb, INR 25,000 is provided to the card holder. The premium payable is Rs.15 per year.

Can I take loan from any bank under KCC scheme?

Yes, loan can be taken from any branch of any bank. The govt. has notified all banks under private as well as public sector to extend credit to farmers under the scheme.

Can I take loan from more than one bank under KCC scheme?

No, if a loan has already been taken under the KCC scheme from a bank, another loan under the scheme cannot be taken from other banks.

Recovery of loan under KCC scheme

The process of recovery of loan differs for every bank, however, the process of recovery of loan extended under KCC scheme is similar to the process of recovery of general loan. Sometimes the govt. Waives off the loan taken by farmers under KCC scheme. Ex. In 2009 UPA govt. waived off the loans given to marginal farmers.

Conclusion

Since the inception of the scheme, 14.64 lakhs of KCC cards have been issued. The total crop loan extended under the scheme is INR 6,35,412 crore, but the farmer’s suicide has been increased by 40%. Last year, 12,412 farmers committed suicide due to debt related issues or crop failure. This number shows that though scheme for farmers welfare exists, the benefits under the scheme is not reaching the beneficiaries. It is found out that most of the farmers do not know about any such scheme. They are also less enthusiastic about crop insurance scheme since settlement in most cases is delayed. The illiterate farmers in India do not know how to use debit cards, and also non-availability of ATMs in rural areas add up to their problems. To get the best possible out of this scheme financial literacy programs should be started by the government. The banks should actively engage in promotion of KCC schemes. Farmers should be taught how to use debit cards. Agriculture in India has tremendous potential. If harnessed properly India could become the leading exporter of agro-based products.

The post How to avail benefits under the Kisan Credit Card Scheme appeared first on iPleaders.

How to avail benefits under the Kisan Credit Card Scheme syndicated from http://ift.tt/2vKNZDn

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Kisan Credit Card (KCC) for farmers Apply odisha

[giaban]Rs 99[/giaban] [masp]Rs 99[/masp] [mota] It provides financial help to the farmer through the bank with the assistance of up Kisan credit card. This credit facility provide by all nationalized banks in India. By the holding of the card, we take a loan whenever you want, it for the farmer only. Click-Order Now [/mota] [chitiet]

What is a Kisan credit card Scheme? Kisan credit card Scheme Apply 2020 KCC Card Introduce by Govt.of India in PM Kisan scheme 2020. It provides financial help to the farmer through the bank with the assistance of up Kisan credit card. This credit facility provide by all nationalized banks in India. By the holding of the card, we take a loan whenever you want, it for the farmer only. You can take a loan amount of 10 lakhs. The interest rate varies from bank to bank. Who are eligible? The one who eligible in pm Kisan (Rs.6000 yearly) Kisan credit card loan is provided to anyone who does agriculture activities, allied activities, or other non-farming activities. and agro related activities. Following is that the detailed criteria to be eligible for Kisan credit card loan: Minimum Age – 18 years Maximum Age – 75 years In case a borrower may be a grownup (age quite 60 years), a co-borrower is mandatory where the co-borrower should be a legal heir All farmers – individuals/joint cultivators, owners Tenant farmers, oral lessees, and sharecroppers, etc. SHGs or joint liability groups including tenant farmers Financial support? It provide loan up to 1 lack to 10 lacks. Rate of interest Martinmas p/a. Document required:- Document recured in time of apply online 1.Farmer Aadhar Card2.Land Record What we do? We provide a Kisan credit card to apply to service on behalf of you. Time taken to complete the process? Average apply Delivery Time = 3 Days. govt approval time- (* very time to time as per local concern banking authority) Price and charges apply online? Rs.99/- Only Document required in bank after submit online form- The documents that may be required by the bank to process the Kisan credit card Loan scheme in India are: Proof of Identity-PAN Card, Aadhaar Card, Voter’s ID Card, Passport, driver's license or the other government-approved photo IDProof of Address-Aadhaar Card, Passport, Utility bills (not quite 3 months old) or the other government-approved address proofProof of Income of farmer -Bank statement for the last 3 months, Salary slips for the last 3 months, Audited financials for the last two years and more (for self-employed), Form 16, etc. service available state- (Available just for India) More details- What is the rate applicable for a Kisan credit card loan? The rate is set by the Bank and it depends on a variety of things like past credit history of the farmer, area under farming, crop under cultivation, etc. However, RBI keeps a check on the utmost rate offered by the bank. Do farmers also get insurance together with the Kisan credit card loan? Yes, farmers also get insurance on Kisan credit card loans for private accidents and assets, and also the National Crop Insurance Scheme covers the crops eligible for KCC. In what areas can one use the loan on a Kisan credit card? Expenses associated with crop production Funds for day-to-day activities (Working Capital) Expenses towards the upkeep of farming assets and other allied activities like dairy animals, etc. Marketing related expenses I don't have a credit card or any loan till now. am i able to apply for Kisan Credit Card? Yes, if you're a farmer or are related to allied activities associated with farming or non-farming activities, you'll be able to apply for a Kisan credit card. Who offers the scheme? Govt of India through banks.

[/chitiet]

Kisan Credit Card (KCC) for farmers Apply odisha govtscheme, yojana via exercisesfatburnig.blogspot.com https://ift.tt/30YDZbZ

[poonamranius]

Latest Update Kisan Credit Card : बिना KYC के मिलेंगे 3 लाख रु., किसान ऐसे बनवाएं अपना KCC

Latest Update Kisan Credit Card : केंद्र सरकार किसानों ( Farmer ) की मदद के लिए कई योजनाएं चलाती है ! उनमें से एक किसान क्रेडिट कार्ड ( Kisan Credit Card ) है ! इस कार्ड के जरिए सरकार किसानों को थोड़े समय के लिए कर्ज देती है ! यह किसान क्रेडिट कार्ड ( KCC ) सरकार द्वारा वर्ष 1998 में शुरू की गई थी, जिसमें किसानों को अल्पकालिक ऋण दिया जाता है ! यह कार्ड नेशनल बैंक ऑफ एग्रीकल्चर एंड रूरल डेवलपमेंट (NABARD) द्वारा तैयार किया गया है ! Latest Update Kisan Credit Card Latest Update Kisan Credit Card किसान क्रेडिट कार्ड ( Kisan Credit Card ) को अब सरकार ने प्रधानमंत्री किसान सम्मान निधि योजना से जोड़ दिया है ! इस कार्ड के जरिए किसानों ( Farmer ) को बेहद कम ब्याज दरों पर कर्ज मिलता है ! इस कार्ड से किसानों को 4 प्रतिशत ब्याज दर पर 3 लाख रुपये तक का ऋण (  Loan ) दिया जाता है ! इसके साथ ही प्रधानमंत्री किसान सम्मान निधि के लाभार्थियों के लिए केसीसी के लिए आवेदन करना भी बेहद आसान हो गया है ! किसान क्रेडिट कार्ड ( Kisan Credit Card ) का लाभ उठाने के लिए आप स्टेट बैंक ऑफ डांडिया से भी आवेदन कर सकते हैं ! SBI ने अपने ग्राहकों के लिए यह खास सुविधा शुरू की है. बैंक ने बताया कि केसीसी समीक्षा की सुविधा प्रदान कर किसानों ( Farmer ) को सशक्त बनाने की दिशा में यह एक बड़ा कदम है ! बैंक ने यह भी बताया कि अब किसानों को केसीसी के लिए बैंक आने की जरूरत नहीं है. वे घर बैठे SBI YONO ऐप डाउनलोड करके KCC (KCC Applying Process) के लिए आवेदन कर सकते हैं ! Kisan Credit Card को पीएम किसान सम्मान निधि से जोड़ा केंद्र सरकार ने किसानों ( Farmer ) के लाभ के लिए पीएम किसान सम्मान निधि योजना को केसीसी से जोड़ा है ! जिसमें किसानों को 4 फीसदी की ब्याज दर पर 3 लाख रुपये तक का कर्ज मिल सकता है ! वहीं, किसान क्रेडिट कार्ड ( Kisan Credit Card ) के लाभार्थियों के लिए केसीसी आवेदन करना पहले की तुलना में काफी आसान हो गया है ! ऋण 4% पर उपलब्ध है कृषि उपयोग के लिए किसानों ( Farmer ) को केसीसी से 2 प्रतिशत से 4 प्रतिशत तक का ऋण आसानी से मिल जाता है ! इस पैसे से किसान खाद, बीज और कीटनाशक खरीद सकते हैं ! किसानों को साहूकारों के कर्ज के जाल से बचाने के लिए सरकार ने यह किसान क्रेडिट कार्ड ( Kisan Credit Card ) शुरू की थी ! तभी से किसान इसका फायदा उठा रहे हैं ! आपको बता दें कि कोरोना काल में ही सरकार ने 2 करोड़ केसीसी जारी किए थे ! जिसमें छोटे किसानों को लाभ दिया गया केसीसी ब्याज दर Latest Update Kisan Credit Card किसान क्रेडिट कार्ड ( Kisan Credit Card ) पर किसानों को प्रतिवर्ष 7 प्रतिशत ब्याज की दर से ऋण मिलता है ! अगर किसान ( Farmer ) समय पर कर्ज चुकाते हैं तो ब्याज में तीन फीसदी की छूट मिलती है ! इस तरह किसान केसीसी ( KCC ) के जरिए महज 4 फीसदी ब्याज पर कर्ज ले सकते हैं ! इस किसान क्रेडिट कार्ड प्राप्त करने के लिए किसान ( Farmer ) अपने बैंक में आवेदन कर सकते हैं ! किसान का नाम किसान क्रेडिट कार्ड ( Kisan Credit Card ) में दर्ज होना चाहिए ! केसीसी बनाने के लिए आप पहचान प्रमाण और पते के प्रमाण के लिए आधार कार्ड, वोटर आईडी कार्ड, पैन कार्ड या डाइविंग लाइसेंस जैसे दस्तावेज की एक प्रति जमा कर सकते हैं ! किसान क्रेडिट कार्ड आवेदन के 15 दिनों के भीतर उपलब्ध होगा योजना के तहत कोई भी किसान ( Farmer ) अपने नजदीकी बैंक शाखा में पहुंचकर बहुत ही आसानी से किसान क्रेडिट कार्ड प्राप्त कर सकता है ! किसानों की समस्याओं को समझते हुए सरकार ने केसीसी ( KCC ) आवेदन के लिए बेहद आसान फॉर्म जारी किया है ! इसे भरने के बाद मात्र 15 दिनों में उन्हें किसान क्रेडिट कार्ड ( Kisan Credit Card ) मिल जाएगा ! इस क्रेडिट कार्ड से लिए गए कर्ज पर 3 लाख रुपये तक का सर्विस चार्ज माफ कर दिया गया है ! बता दें कि केसीसी के तहत 3 लाख रुपये तक का कर्ज सिर्फ 7 फीसदी ब्याज पर मिलता है ! KCC ऑनलाइन आवेदन करें किसान क्रेडिट कार्ड ( Kisan Credit Card ) के लिए आप किसी भी बैंक में जाकर या ऑनलाइन आवेदन कर सकते हैं ! KCC के लिए आपको PM Kisan की आधिकारिक साइट pmkisan.gov.in पर जाकर किसान क्रेडिट कार्ड फॉर्म डाउनलोड करना होगा ! अब फॉर्म में मांगी गई जानकारी भरकर फॉर्म को सबमिट कर दें ! यहां आपको उस बैंक का नाम भी डालना होगा जिससे आपको किसान क्रेडिट कार्ड ( Kisan Credit Card ) बनवाना है ! Read the full article

[sharmaanika388]

A Kisan Credit card has been specially designed to provide farmers of the country a financial support. The scheme which was launched in 1998 aims to tackle the comprehensive financial needs of the agricultural sector by offering term loans. The model was developed by National Bank for Agriculture and Rural Development. Various commercial banks, state co-operative banks and regional rural banks are the participatory members who provide the card. A Kisan credit card will help the farmer to secure timely credit at reasonable rates of interest in a hassle free manner. The farmer won’t be required to appear for the continuous screening process which is undertaken by the banks for giving term loans. A farmer can take maximum advantage of a Kisan credit card. He will be provided with a passbook which will have his name, credit limit, photograph, validity and details of his land holding. The card is issued on the basis of certain factors like timely payments of the past loans and land holdings one has in his name. The basic idea behind the card is to ensure that farmers in the country are given adequate credit under one single window.

[daytodaycurrentaffaires]

Question: Government has decided to extend the Kisan Credit Card (KCC) Scheme to dairy farmers too. What is the amount of collateral free loan to be given to these farmers under this scheme? (a) 2 Lakh (b) 5 Lakh (c) 3 Lakh (d) 1 Lakh Answer: (c) Related facts:

The Government on June 1, 2020 announced to provide Kisan Credit Card (KCC) to 1.5 crore dairy farmers belonging to Milk Unions and Milk producing Companies.

This will be done within the next two months (1st June-31st July 2020) under a special drive.

The Department of Animal Husbandry and Dairying in association with Department of Financial Services has already circulated relevant circulars and KCC application format to all State Milk Federation and Milk Unions for implementing the same on a mission mode.

Under the dairy cooperative movement, approximately 1.7 crore farmers are associated with 230 Milk Unions in the country.

In the first phase of this campaign, the target is to cover all farmers who are members of dairy cooperative societies and associated with different Milk Unions and who do not have KCC.

Farmers who already have KCC based on their land ownership, can get their KCC credit limit enhanced, though interest subvention shall be available only to the extent of Rs 3 lakhs.

Although the general limit for KCC credit without collateral remains Rs. 1.6 lakh, but the case of farmers whose milk is directly procured by Milk Unions falls under tie up arrangements between the producers and processing units without any intermediaries, and hence the credit limits without Collateral can be upto Rs.3 lakh.

The special drive to provide KCC to 1.5 crore dairy farmers is part of the Prime Minister’s Atma Nirbhar Bharat package for Farmers.