Kisan Credit Card Scheme

Scheme Introduction: A Brief Overview

The Kisan Credit Card (KCC) Scheme is a Government of India initiative implemented under the Department of Agriculture and Farmers Welfare (DA&FW), Ministry of Agriculture and Farmers Welfare, Government of India. Introduced in August 1998, the Kisan Credit Card Scheme helps farmers meet their financial needs during the crop cycle through a simple and flexible credit facility. Farmers can use KCC loans for crop cultivation, agricultural inputs and other eligible farming expenses without depending on separate credit arrangements for every requirement.

The KCC Scheme covers several agricultural and allied activities. Farmers can use KCC credit for crop cultivation, post-harvest expenses, produce marketing, household consumption requirements and maintenance of farm assets. The scheme also provides credit support for eligible allied activities such as dairy, fisheries, poultry, mushroom cultivation, beekeeping and sericulture. This makes the Kisan Credit Card useful for farmers who depend on crop farming as well as allied agricultural activities.

The Kisan Credit Card Scheme eligibility covers individual and joint owner cultivators, tenant farmers, oral lessees and sharecroppers. Eligible Self-Help Groups (SHGs) and Joint Liability Groups (JLGs) can also access KCC credit. The scheme therefore extends agricultural credit support beyond land-owning farmers and includes eligible cultivators involved in farming and allied activities.

Under the current KCC framework, eligible farmers can receive a crop-loan limit of up to ₹5 lakh. However, the concessional interest benefit under the Modified Interest Subvention Scheme applies to eligible short-term agricultural loans up to ₹3 lakh. Farmers who repay eligible loans on time can receive a 3% Prompt Repayment Incentive (PRI), which can reduce the effective interest rate to 4% on the eligible amount. The collateral-free agricultural credit limit is up to ₹2 lakh per borrower, subject to applicable lending institution rules.

KCC loans are generally valid for five years, subject to applicable review and other conditions. Banks can review the KCC credit limit according to the farmer's requirements, cropping pattern and repayment performance. Farmers can also receive a RuPay Kisan Credit Card to access their sanctioned credit facility conveniently.

Farmers can also explore other Central Government initiatives that support different agricultural needs. The Pradhan Mantri Kisan Samman Nidhi (PM-KISAN), under the Department of Agriculture and Farmers Welfare, Ministry of Agriculture and Farmers Welfare, provides financial assistance to eligible landholding farmer families. Similarly, the Pradhan Mantri Fasal Bima Yojana (PMFBY), under the Ministry of Agriculture and Farmers Welfare, provides crop insurance support against specified crop losses. Together with KCC, these schemes can help farmers address credit, income-support and crop-risk requirements.

Farmers can learn more about the Kisan Credit Card Scheme through the KCC Portal and can approach an eligible lending institution to apply for a Kisan Credit Card according to the applicable application process.

Scheme Benefits

The Kisan Credit Card (KCC) Scheme provides farmers with credit for crop cultivation, post-harvest expenses, farm maintenance and eligible allied activities. It also provides flexible credit support to marginal farmers based on their farming needs.

Benefits for farmers

• Farmers can get KCC credit based on their eligible agricultural requirements.
• Eligible farmers can get a crop loan of up to ₹5 lakh.
• Eligible short-term agricultural loans up to ₹3 lakh at a concessional interest rate of 7% per annum.
• Farmers who repay their eligible loans on time can get a 3% Prompt Repayment Incentive, reducing the effective interest rate to 4%.
• Farmers can use KCC credit for crop cultivation, post-harvest expenses, produce marketing and farm maintenance.
• Farmers can use the credit facility for eligible allied activities such as dairy, fisheries, poultry, beekeeping and sericulture.
• Farmers can use their KCC through a RuPay Kisan Credit Card or debit card.
• Farmers can get term loans for eligible agricultural and allied investment activities.
• Eligible farmers affected by natural calamities can get interest support on restructured crop loans as per applicable rules.
• Small and marginal farmers can get interest support for up to six months on eligible produce stored in WDRA-accredited warehouses against negotiable warehouse receipts.

Benefits to Marginal Farmers

• Marginal farmers can get a flexible KCC limit of ₹10,000 to ₹50,000 based on their eligible requirements.
• Marginal farmers can use the Flexi KCC facility for post-harvest expenses, farm expenses and household consumption needs.
• Marginal farmers can use the facility for small investments such as farm equipment, mini dairy and backyard poultry.
• The Flexi KCC limit can be fixed for up to five years based on the farmer's assessed requirements.
• Marginal farmers can get a higher limit when changes in crops or the applicable Scale of Finance increase their credit requirement, subject to bank assessment.

Eligibility Requirements

The Kisan Credit Card (KCC) Scheme is open to farmers and eligible farming groups engaged in crop cultivation and allied agricultural activities, regardless of land ownership. Here is exactly who can apply for a Kisan Credit Card.

• Individual and joint owner cultivators can apply.
• Tenant farmers, oral lessees and sharecroppers can apply.
• Eligible Self-Help Groups (SHGs) and Joint Liability Groups (JLGs) can apply.
• Farmers engaged in eligible allied activities such as dairy, fisheries, poultry, beekeeping and sericulture can apply.
• Marginal and small farmers can apply for KCC credit.
• Only one KCC account is allowed per farmer under the One Farmer-One KCC norm.
• Aadhaar linkage or an Aadhaar Enrolment Number is required to receive applicable interest subvention and Prompt Repayment Incentive benefits, subject to notified exemptions.
• KCC facilities are available through eligible banks and cooperative credit institutions.

Interest Subvention

Under the Modified Interest Subvention Scheme (MISS), eligible short-term agricultural loans through Kisan Credit Card (KCC) are available at a concessional interest rate of 7% per annum on the eligible amount. The Government provides a 1.5% interest subvention to eligible lending institutions for these loans.

• Short-term agricultural loans through KCC get a concessional interest rate of 7% per annum, on the eligible amount, under the Modified Interest Subvention Scheme (MISS).
• Eligible lending institutions get a 1.5% per annum interest subvention from the government on this lending.
• The concessional interest rate applies to eligible short-term agricultural loans up to ₹3 lakh per borrower under the applicable interest-subvention guidelines.
• Farmers who repay on time get an extra 3% Prompt Repayment Incentive (PRI), bringing the effective rate down to 4% per annum.
• The subvention is calculated from the date of disbursement, withdrawal, or renewal until actual repayment or the due date (whichever is earlier), capped at one year.
• Within the overall ₹3 lakh ceiling, allied activities (dairy, fisheries, sericulture, bee-keeping, and similar) are capped at a ₹2 lakh sub-limit for interest-subvention and PRI benefits.

Required Documents

Applicants should keep the following documents ready while applying for a Kisan Credit Card (KCC). The lending bank may require additional documents depending on the applicant, loan amount and applicable bank requirements.

• Identity proof such as Aadhaar Card, Voter ID, Passport or Driving Licence.
• Address proof.
• Two recent passport-size photographs.
• Landholding documents or certified land records, wherever applicable.
• Details of the crops cultivated or proposed to be cultivated.
• Documents relating to the proposed agricultural or allied activity, wherever applicable.
• Any additional documents required by the concerned lending institution for processing the KCC application.

Steps to Apply

Farmers can apply for a Kisan Credit Card (KCC) through online or offline channels, depending on the facilities provided by the participating lending institution. The detailed process for it is shared below:

Online through bank website

Farmers can also apply for a Kisan Credit Card online through the website or digital application facility of a participating bank, wherever available. The online process generally involves the following steps:

• Visit the official website of a participating bank that offers the Kisan Credit Card facility.
• Select the Kisan Credit Card (KCC) option from the available loan or agricultural banking services.
• Click on the Apply option to open the online application form.
• Enter the required personal, address, landholding, crop and other relevant details in the application form.
• Upload the required documents as specified by the bank.
• Review the information entered in the application form and submit it online.
• Note down the application or reference number received after successful submission.
• The bank will verify the application and contact the applicant for further processing, verification or additional documents, if required.
• After approval, the bank will sanction the KCC facility and issue the Kisan Credit Card according to its applicable process.

Offline through bank branch

1. Visit the nearest branch of a Public Sector Bank, Private Sector Bank, Small Finance Bank, Regional Rural Bank, or Rural Cooperative Bank that offers the Kisan Credit Card.
2. Collect the KCC application form from the branch, or download it from the bank's official website.
3. Fill in the form with details of your land holding, the crops you cultivate, or the allied activity you undertake, such as dairy, fisheries, or sericulture.
4. Attach your land record or tenancy/cultivation certificate, along with your Aadhaar number.
5. Where applicable, provide the undertaking required under the One Farmer–One KCC provisions.
6. Submit the completed application form and documents to the bank branch for verification.
7. The bank assesses your credit limit based on the applicable Scale of Finance for your crop or activity, and sanctions the Kisan Credit Card limit accordingly.
8. On approval, the bank issues a RuPay Kisan Credit Card, linked to your KCC cash-credit account, which you can use for withdrawals through the branch, ATM, Business Correspondent, or PoS terminal.

Online through mobile app

Farmers can apply for a Kisan Credit Card (KCC) online through the KRISHIKA mobile app, the official mobile application of the Department of Agriculture and Farmers Welfare. The app allows farmers to submit their KCC application digitally and provide the required details and documents for processing by the concerned lending institution.

• Download the KRISHIKA mobile app, the official mobile application of the Department of Agriculture and Farmers Welfare, to apply for a Kisan Credit Card online.
• Register or provide the required details on the digital platform.
• Select the option to apply for a Kisan Credit Card (KCC).
• Enter the required personal, landholding, crop and other relevant details.
• Upload the required documents as requested on the platform.
• Review the application details and submit the KCC application online.
• Note down the application or reference number for future tracking.
• The concerned bank will verify the application and may request additional information or documents, if required.
• After approval, the bank will sanction the KCC facility and issue the Kisan Credit Card according to its applicable process.

Loan Repayment

KCC loan repayment depends on the type of credit taken and the crop or investment financed. Farmers should repay the loan within the period fixed by the lending bank according to the applicable repayment schedule.

• Short-term crop loans are generally repayable after the crop harvest and marketing period.
• The repayment period for crop loans is linked to the crop cycle and the time required to sell the produce.
• Term loans are normally repayable within five years, depending on the nature of the investment and the repayment capacity of the farmer.
• The bank can allow a longer repayment period for certain agricultural investments based on the nature of the activity.
• Farmers who repay eligible short-term agricultural loans on time can receive the 3% Prompt Repayment Incentive under the applicable interest-subvention guidelines.
• Farmers should repay the outstanding amount within the due date to avoid losing applicable repayment incentives and to maintain the KCC account in good standing.

Validity and Renewal of Kisan Credit Card

The Kisan Credit Card (KCC) loan is valid for five years, subject to periodic review by the lending bank. The bank reviews the KCC facility to ensure that the credit limit continues to meet the farmer's requirements and remains suitable based on the cropping pattern and repayment performance.

• The KCC loan is valid for five years, subject to applicable terms and conditions.
• The bank reviews the KCC account periodically during the validity period.
• The bank can continue the KCC facility after review when the farmer meets the applicable conditions.
• The bank can enhance the KCC limit when the farmer's credit requirement increases due to changes in cropping pattern or other eligible requirements.
• The bank can reduce or cancel the credit limit based on the farmer's requirements and repayment performance.
• Farmers should update their crop details before each cropping season as required by the lending bank.
• Farmers should repay the KCC loan within the applicable due date to maintain the account and receive applicable repayment benefits.

Collateral and Security

The Kisan Credit Card (KCC) Scheme provides collateral-free agricultural credit up to ₹2 lakh per borrower, subject to the applicable rules of the lending institution. For credit above the collateral-free limit, the bank may require appropriate security or collateral according to its lending norms and the nature of the loan.

• Farmers can get collateral-free agricultural credit up to ₹2 lakh per borrower.
• For loans above ₹2 lakh, the lending bank may require collateral or other security as per its applicable rules.
• The security requirements may vary according to the loan amount, type of credit facility and bank's lending policy.
• Farmers should contact the concerned lending institution to know the exact collateral and security requirements applicable to their KCC loan.

What Will Change in the Kisan Credit Card Scheme from January 1, 2027?

The Reserve Bank of India has issued new Kisan Credit Card (KCC) Directions, 2026. These provisions will apply to KCC loans sanctioned from January 1, 2027. Loans sanctioned before this date will continue to follow the applicable existing guidelines until maturity or the next renewal.

• The KCC facility will have a six-year tenure as a composite facility.
• The KCC will cover both short-term working capital and investment credit for eligible agriculture and allied activities.
• Banks will waive collateral security and margin requirements for agricultural and allied-activity loans up to ₹2 lakh per borrower.
• For KCC loans involving hypothecation of crops or stock and tie-up arrangements for recovery, banks may waive collateral security for loans up to ₹3 lakh.
• For loans above ₹2 lakh, banks will decide the collateral and margin requirements according to their credit policy and applicable RBI guidelines.
• Marginal farmers will continue to be eligible for a Flexi KCC limit of ₹10,000 to ₹50,000, based on the bank's assessment.
• The KCC facility will cover additional eligible expenses such as soil testing, weather advisory services, digital agricultural services, technological support and organic or good agricultural practices certification.
• Banks will obtain land records, tenancy certificates or equivalent documents as a one-time documentation requirement for a fresh KCC loan, subject to their applicable policy.
• For sharecroppers and oral lessees, banks may accept certificates from local administration or Panchayati Raj institutions. In specified cases, an affidavit may be accepted for loans up to ₹50,000.
• Processing fees, inspection charges and other applicable charges will follow the bank's policy and applicable regulatory guidelines.

Relevant Links

• Kisan Credit Card (KCC) Application Form.
• Kisan Credit Card Scheme Official Website.
• NABARD (National Bank for Agriculture and Rural Development) Website.
• RBI Directions for KCC 2027
• KCC Guideline for Animal Husbandry and Dairying.
• Reserve Bank of India Website.
• Department of Animal Husbandry and Dairying Website
• Common Service Centre Website.
• KCC PIB Notification.
• KRISHIKA Mobile App

Contact Information

• Common Service Centre (CSC) Toll Free Number : 18001213468
• NABARD Helpline Numbers:
  • 022-26539895.
  • 022-26539896.
  • 022-26539899.
• Kisan Call Center Helpline Number: 18001801551
• Department of Animal Husbandry and Dairying Helpline Number: 011 23388534
• Common Service Centre (CSC) Helpline Email ID: [email protected]
• NABARD Helpdesk Email ID:  [email protected]