What is Kisan Credit Card (KCC)?; How to apply online for it; Check Eligibility, Process & Features|UPSC

Kisan Credit Card: Know what is Kisan Credit Card Scheme, who can apply for KCC, how to apply for it online, what is the eligibility and its key features. The information is important for UPSC IAS 2020 exam.

May 15, 2020 19:17 IST
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Kisan Credit Card Scheme: Finance Minister Nirmala Sitharaman on May 14, 2020 announced a concessional credit of Rs 2 lakh crore to benefit 2.5 crore farmers through the Kisan Credit Card (KCC) scheme. The government will undertake special drive to provide this credit to PM-KISAN beneficiaries through the Kisan Credit Card. Moreover, the Minister also announced that the KCC scheme would now cover Fishermen and Animal Husbandry. The move is expected to enable farmers get credit at concessional rates. Here in this article, we have shared everything about the Kisan Credit Card Scheme such as what is the scheme, who can apply for it, how to apply for it online, what is the eligibility and its key features. The information is important for UPSC IAS 2020 exam.

Let's have a look at all the key information about the Kisan Credit Card below that answers all your queries:

Key Features of Kisan Credit Cards

Offers Institutional Credit or Loan to Farmers to carry out agricultural activities

Farmers get flexible loan repayment options

Farmers can avail loan for a period of up to 3 years

Kisan Credit Card holders can also enjoy benefits of National Crop Insurance Scheme & PM-KISAN

Helps farmers in purchasing seeds, fertilizers, etc.

Allows farmers to withdraw cash from the card

Provides protection against loss of crops due to pest attack and natural calamities

What is Kisan Credit Card?

The Kisan Credit Card is a government scheme that lets farmers borrow money from banks at concessional rates in the form of loans.

When & Why was Kisan Credit Card scheme launched?

The Kisan Credit Card Scheme was launched in the year 1998 to fulfill the financial needs of farmers in India.

How is Kisan Credit Card scheme beneficial for farmers?

The scheme helps the farmers in availing of the institutional credit at concessional rates. It reduces the dependency of farmers on informal banking system or moneylenders.

What is covered under Kisan Credit Card?

Loan at cheap rate of interest

Post-harvest expenses

Working capital to maintain farm assets and agriculture-related activities

Investment credit for plantation, drip irrigation, land development, pump sets, etc.

Farmers' Consumption requirements

Who can apply for Kisan Credit Card?

  1. Small & Marginal farmers
  2. Share croppers
  3. Fishermen
  4. People involved in Animal Husbandry
  5. Lessee and tenant farmers
  6. Self Help Groups (SHGs)
  7. Joint Liability Groups (JLGs)
  8. What is eligibility criteria for Kisan Credit Card?

Individuals involved in farming and agricultural activities can apply for the KCC. Farmers who cultivate on the land of other people are also eligible to apply for the Card.

The Age of applicant should be between 18 to 75 years.

For people who are above 60 years, it is mandatory to have a a co-applicant.

How to apply online for Kisan Credit Card?

Have a look at the process to apply online for Kisan Credit Card:

Step 1: Visit the official website of bank - SBI/Axis Bank/PNB/Indian Overseas Bank/Bank of India/HDFC Bank/Others

Step 2: Search ‘Apply for KCC’ online & Download & Print Application Form

Step 3: Fill the KCC form completely

Step 4: Submit the filled form to nearest branch of the Bank

Step 5: Loan Officer will review your form, will issue application reference number

Step 6: Save the application reference number

Step 7: Once the loan is sanctioned, Kisan Credit Card will be dispatched

Direct Link to Apply Online for PM KISAN Credit Card


KCC - Bank of India



What documents are required to apply for Kisan Credit Card?

Filled KCC application form

Copy of Photo ID proof - Aadhaar card/PAN card/Voter ID/Driving Licence/Passport/ NREGA Job Card/Letter issued by UIDAI

Copy of Address Proof - Aadhaar card/Voter ID/Driving Licence/Utility Bill/Ration Card/Property Registration Document/ NREGA Job card/Bank Account Statement

Land documents

2 passport size photographs

Documents asked by the bank

How much amount of loan can we get under Kisan Credit Card?

The farmers get the short term loan through Kisan Credit Card up to Rs. 3 lakh. To avail of the loan above Rs 1 Lakh, farmers need to mortgage the crops or his land.

What is Rate of Interest for loan under Kisan Credit Card?

Farmers get the loan of up to Rs 3 Lakh at reduced Interest Rate of 7%. If a farmer is able to repay the loan amount on due date; he or she get another 3% rebate. In this case, the effective Interest Rate becomes 4% only.

How can we use Kisan Credit Card?

Farmers can use the KCC card for purchasing seeds, pesticides, fertilizers, for doing payment to labourers, for wihtdrawal of cash and for purchasing agriculture related products and equipment. Farmers who have availed loan of Rs 25000 and above get Cheque Book along with the KCC.

Which Banks are offering Kisan Credit Cards?


State Bank of India - SBI

Axis Bank

Punjab National Bank - PNB

Indian Overseas Bank

Bank of India



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