KCC Loan Limit: The government runs various schemes for farmers, such as the PM Kisan Yojana, PM Fasal Bima Yojana, and the Kisan Credit Card (KCC) scheme. Both central and state governments are committed to assisting farmers in every possible way, with the primary goal of providing financial support.
If you are a farmer in need of funds, you can obtain a loan from a bank through the Kisan Credit Card scheme. This scheme is designed to provide agricultural loans to farmers based on their specific needs. However, many farmers often wonder: what is the maximum loan amount available under the KCC scheme? Do all farmers receive the same loan limit?
What documents are required for KCC?
Applying for a Kisan Credit Card requires documents related to identity and land ownership. These may include an Aadhaar card, voter ID, PAN card, and land records. If a farmer wishes to obtain a KCC for activities such as animal husbandry or fisheries, information or documents related to those specific activities may also be required.
Who is eligible for KCC?
Eligible farmers who own land can apply for a KCC. Additionally, farmers cultivating land on a sharecropping or lease basis can also avail of this facility, provided they meet the eligibility criteria. Certain eligible applicants associated with farmer groups and self-help groups may also fall within the scope of the scheme. It is advisable to verify eligibility and required documents with the concerned bank before applying.
What is the maximum loan amount farmers can receive?
Under the KCC scheme, a farmer can receive a total credit limit of up to ₹5 lakh. However, this does not mean that every farmer will automatically receive ₹5 lakh. The central government has raised the limit for collateral-free agricultural loans under the KCC scheme to ₹2 lakh. In certain cases, this limit can go up to ₹3 lakh.
Why do not all farmers receive a loan of up to ₹5 lakh?
It depends on the amount of agricultural land the farmer owns. Which crop is being cultivated?
What is the estimated cost of the crop?
How much working capital does the farmer need for farming?
What are the expenses related to irrigation and other farming activities?
How to apply for a KCC?
Eligible farmers can apply for a Kisan Credit Card through branches of government, rural, or cooperative banks. Online applications can be submitted via the Kisan Rin Portal or the Jan Samarth Portal. Some banks also offer KCC application facilities through their websites or mobile apps.