The substantial number of Kisan Credit Card or KCC loan applications is proof of the scheme’s success and outreach. While numbers show this initiative to be a success, it is vital for farmers to know all crucial facts regarding this line of credit. While the amount of credit offered with these cards is quite low in comparison with those on feature-rich cards such as the Bajaj Finserv RBL Bank SuperCard and its likes, there are multiple advantages of this scheme too.

This credit option has no restriction on how farmers utilise the funds advanced by financial institutions. As a result, farmers can cover all farming related expenditures, from buying seeds to working capital and other requirements. In terms of eligibility criteria, every farmer can avail KCC loan option including sharecroppers, tenant farmers, etc. as long as they are between 18 and 75 years of age. In case of senior citizens, there must be a co-applicant.

The document requirements are also minimal. Farmers must provide their identity and address proof, application form, and land documents. The online application procedure for KCC is simple like that of other credit cards.

In case they want to apply offline, they must visit a branch of the financial institution where they want to apply. Carrying all the necessary documents is necessary. Generally, applications are approved within a few days, though the high number of applications has slowed the process currently.

While numerous factors decide the best credit card for a farmer, this credit option offers an integrated insurance cover. It provides financial coverage for the farmer in case of accidents, as well as their agricultural assets. While the rate of interest depends on the financial institution, the government offers a 2% subsidy on the interest rate. If the KCC is used prudently, the offered subsidy goes up to 4%. Furthermore, farmers also have the option to repay after their harvest.