Agriculture is the backbone of India’s economy, and easy access to affordable credit is vital for farmers to grow and prosper. The Kisan Credit Card (KCC) scheme, launched by the Government of India, is one such initiative designed to empower farmers with timely financial support. In this blog, we’ll cover everything about KCC — what it is, benefits, eligibility, how to apply, and recent updates.
What is the Kisan Credit Card?
The Kisan Credit Card is a special credit facility that allows farmers to withdraw loans for their agricultural needs, much like a debit or credit card. It was launched in 1998 to provide short-term credit for purchasing seeds, fertilizers, pesticides, and other inputs required during the cropping season.
Key Features of KCC
Loan Limit: Up to ₹3 lakh for crop production and allied activities.
Interest Rate: Approx. 7% per annum with government subsidies.
No Collateral: For loans up to ₹1.6 lakh, no collateral is needed.
Validity: Usually valid for 5 years with renewal options.
Uses: Crop loans, equipment purchase, dairy, fishery, and poultry farming.
Who is Eligible?
The KCC is designed for all farmers, including:
Land-owning farmers
Tenant farmers, sharecroppers
Joint Liability Groups (JLGs) and Self Help Groups (SHGs)
Farmers aged between 18 and 75 years
Benefits of KCC
Timely and easy access to credit reduces dependence on local moneylenders.
Subsidized interest rates help reduce the cost of farming.
Helps farmers invest in modern technology and improve productivity.
Supports allied activities like dairy and fisheries.
Flexible repayment based on crop cycles.
Documents Required
Identity and address proof (Aadhar card, voter ID, passport)
Land ownership or tenancy documents
Passport-sized photographs
Crop details and bank account info
How to Apply?
Farmers can apply for a Kisan Credit Card through:
Banks such as SBI, PNB, HDFC, Axis Bank, and cooperative banks.
Online via the JanSamarth Kisan Credit Card Portal.
Recent Updates on KCC Scheme
The government has extended the Interest Subvention Scheme for 2025–26, providing over 7 crore farmers with subsidized loans. The maximum credit limit has increased for allied activities, making it easier for farmers to diversify their income sources.
Final Thoughts
The Kisan Credit Card is a powerful tool that can transform Indian agriculture by making credit accessible and affordable. If you’re a farmer or know someone who could benefit, it’s worth exploring how to apply and take advantage of this scheme.