In order to provide short term loans to farmers, the Kisan Credit Card Scheme was launched in the year 1998.
Kisan Credit Card New Interest Rate: The Kisan Credit Card Scheme was introduced in the year 1998 with the objective of providing short term loans to farmers. In the midst of the Corona crisis, the government has announced a new interest rate on the Kisan Credit Card. The country’s Prime Minister Narendra Modi has recently launched a campaign for distribution of Kisan Credit Card scheme to all beneficiaries under PM Kisan Yojana (PM Kisan Yojana) in Chitrakoot district of Uttar Pradesh. Under this initiative, KCC scheme has been distributed to more than 25 lakh beneficiaries of PM Kisan across the country and more than 2,000 bank branches in rural areas have been entrusted to provide the benefit of this scheme to the farmers.
Interest Rate on Kisan Credit Card
For the loan under the KCC scheme, farmers have to pay the loan with simple interest at the rate of 7% per annum for a year or till the date of payment (whichever is earlier). You will have to pay interest from the card rate if you do not pay due to due date. However, if you are unable to pay till due date, then the interest will be reduced in Chahami. All types of KCC loans provide agricultural insurance for crop and area. The remaining amount in KCC gets interest at the savings bank rate.
If you repay your loan within one year, then there is a discount of 3% in the interest rate. 2 percent subsidy is available. In this way farmers get a rebate of 5 percent. Overall, you will have to pay 4 percent interest in the card. Loans up to Rs 3 lakh get a discount on interest at the rate of 2 per cent.
These documents are needed for Kisan Credit Card
For Kisan Credit Card, you have to fill a form. In which voter ID, PAN card, passport, Aadhaar card, driving license. Any of these documents can be inserted. Along with this, you can use Aadhaar card, Voter ID, Passport, Aadhar card or Driving license for verification of address.