Kisan Credit Card Scheme

• Simplifies disbursement procedures
• Removes rigidity regarding cash and kind
• No need to apply for a loan for every crop
• Assured availability of credit at any time enabling reduced interest burden for the farmer.
• Helps buy seeds, fertilizers at farmer’s convenience and choice
• Helps buy on cash-avail discount from dealers
• Credit facility for 3 years – no need for seasonal appraisal
• Maximum credit limit based on agriculture income
• Any number of withdrawals subject to credit limit
• Repayment only after harvest
• Rate of interest as applicable to agriculture advance
• Security, margin and documentation norms as applicable to agricultural advance

• Approach your nearest public sector bank and get the details
• Eligible farmers will get a Kisan Credit Card and a pass book. It has the name, address, particulars of land holding, borrowing limit, validity period, a passport size photograph of holder which may serve both as an identity card and facilitate recording of transactions on an ongoing basis.
• Borrower is required to produce the card cum pass book whenever he/she operates the account.

'Personal Accident Insurance Package" is provided to the Kisan Credit Card (KCC) holders.  

Salient features of the scheme

• Scope of Cover - This scheme covers all the Kisan Credit Card Holders against death or permanent disability within the country.
• Persons Covered - All KCC holders up to the age of 70 years.
• Risk coverage - The benefits under the scheme are as under;
• Death due to accident caused by outward, violent and visible means: Rs.50,000/-
• Permanent total disability: Rs.50,000/-
• Loss of two limbs or two eyes or one limb and one eye: Rs.50,000/-
• Loss of one limb or one eye: Rs.25,000/-
• Period of Master Policy - Valid for a period of 3 years.
• Period of Insurance - Insurance cover will be in force for a period of one year from the date of receipt of premium from the participating Banks in cases where annual premium is paid. In case of three year cover, the period of insurance would be for three years from the date of receipt of premium.
• Premium - Out of the Annual premium of Rs.15/- per KCC holder, Bank has to pay Rs.10/- and Rs.5/- has to be recovered from KCC holder.
• Operational procedure - The servicing of the business will be undertaken by the four Insurance Companies on zone-wise basis- United India Insurance Co Ltd covers Andhra Pradesh, Karnataka, Kerala, Andaman and Nicobar, Pondicherry, Tamil Nadu and Lakshadweep.
• Implementing branches have to remit the Insurance premium on a monthly basis along with the list of farmers to whom KC cards have been issued during the month.
• Claims Procedure - In case of death, disablement claims & death due to drowning: Claim administration will be done by the designated office of the Insurance Companies. Separate procedure is to be followed.