Kisan Credit Card: Eligibility, Limit, Interest Rate, and How to Apply in 2025
The Kisan Credit Card (KCC) scheme provides farmers with flexible, revolving crop credit through a credit card-linked loan account, with interest rates as low as 4% per annum after government interest subvention for timely repayment on loans up to ₹3 lakh. Launched in 1998 and significantly revised following RBI and NABARD recommendations, KCC is implemented through scheduled commercial banks, regional rural banks, cooperative banks, and small finance banks. This page covers the current KCC loan limit, interest rate, eligibility, how to apply online, and the RBI's latest revisions to the scheme.
What is the Kisan Credit Card Scheme?
The Kisan Credit Card (KCC) scheme was launched in August 1998 by the National Bank for Agriculture and Rural Development (NABARD) and implemented by the Ministry of Agriculture and Farmers Welfare in collaboration with the Ministry of Finance. The scheme provides farmers with a flexible line of credit to meet short-term crop production needs, post-harvest expenses, produce marketing, maintenance of farm assets, and the consumption requirements of farmer households.
KCC operates as a revolving credit facility, unlike a standard term loan, farmers can draw funds as needed during the crop season and repay after harvest, repeating the cycle annually. The credit card is linked to a savings-cum-overdraft account. The scheme was significantly revised in 2004 to include a built-in term loan component for allied activities and in 2012 for a simplified application process. Following the 2019 budget, KCC was extended to fishermen and animal husbandry farmers. The RBI revised KCC interest subvention and collateral norms in 2022, rationalising the scheme further. A key PM Kisan linkage: PM Kisan beneficiaries are explicitly targeted for KCC saturation, farmers with PM Kisan registration are proactively offered KCC by banks.
Key Benefits of Kisan Credit Card
| Benefit Type | Amount / Description | Applicable Category |
|---|
| Crop loan credit limit | Up to ₹3 lakh as revolving credit | All eligible farmers |
| Interest rate, up to ₹3 lakh (post-subvention) | 4% p.a. for timely repayment | Crop loans up to ₹3 lakh |
| Interest rate, standard (pre-subvention) | 7% p.a. (2% interest subvention + 3% prompt repayment incentive = net 4%) | Loans within ₹3 lakh limit |
| Interest rate, above ₹3 lakh | Bank's prevailing lending rate (no subvention) | Loans above ₹3 lakh |
| Collateral | No collateral required for loans up to ₹1.6 lakh | All KCC holders under this limit |
| Allied activities credit | Loans for animal husbandry, fisheries, and non-farm allied activities | Extended KCC beneficiaries |
| Personal accident insurance | ₹50,000 death/permanent disability cover; ₹25,000 partial disability cover | All KCC holders |
| Built-in savings account | KCC linked to savings-cum-overdraft account | All KCC holders |
| ATM / debit card | KCC issued as a RuPay debit card for cash withdrawal and POS transactions | All KCC holders |
| Credit limit validity | 5 years, with annual review and enhancement based on cropping pattern | All KCC holders |
KCC Interest Rate, How It Works
| Component | Rate |
|---|
| Bank lending rate (base) | 7% p.a. |
| Central government interest subvention | 2% (reduces rate to 5%) |
| Prompt Repayment Incentive (PRI) | Additional 3% reduction for timely repayment |
| Effective rate for timely repayment (loans ≤ ₹3 lakh) | 4% p.a. |
| Rate for late repayment or loans > ₹3 lakh | Bank's prevailing rate, no subvention applied |
KCC Loan Limit, How It Is Calculated
The KCC credit limit is set by the bank based on the farmer's landholding, cropping pattern, and scale of finance (SoF), notified by the District Level Technical Committee (DLTC) for each crop and district.
| Component | Basis |
|---|
| Short-term credit (crop production) | Scale of Finance × area under cultivation |
| Post-harvest / household expenses | 10% of crop production limit |
| Maintenance of farm assets | 20% of crop production limit |
| Allied / non-farm activities | As assessed by bank |
| Term loan (asset creation) | Based on investment requirement |
| Total KCC limit | Sum of all above components |
Eligibility Criteria
| Criterion | Requirement |
|---|
| Farmer type | Owner-cultivators, tenant farmers, oral lessees, sharecroppers, and SHG/JLG members |
| Fishermen | Owners of fishing boats / vessels or those engaged in marine/inland fisheries |
| Animal husbandry farmers | Owners of sheep, goat, poultry, or dairy animals |
| Age | 18 to 75 years; co-borrower (legal heir) mandatory for applicants above 60 years |
| Land records | Required for owner-cultivators; tenancy/lease document for tenant farmers |
| Credit history | Satisfactory credit history, no existing NPA with the applying bank |
| Existing KCC | Only one KCC per farmer household |
Documents Required
| Document | Purpose |
|---|
| Aadhaar card | KYC identity verification |
| PAN card | For loans above ₹50,000 |
| Land records / 7/12 extract | Proof of landholding and crop pattern |
| Tenancy agreement / oral lease declaration | For tenant farmers (format notified by state) |
| Passport-size photographs | 2 recent photographs |
| Bank account details / passbook | Existing savings account at the bank |
| Affidavit of no-dues | Declaration of no existing crop loan default |
| Income / crop production estimate | Crop sowing certificate or Patwari certificate |
How to Apply for a Kisan Credit Card
Online, via PM Kisan Portal (Saturation Drive)
- Visit pmkisan.gov.in → Farmers Corner → KCC Form.
- Download the KCC application form.
- Fill in the form and submit it at your bank branch along with required documents.
- Alternatively, if your PM Kisan application is active, your bank may proactively contact you for KCC issuance under the saturation drive.
Online, via Bank Websites
- Visit the website of your bank (SBI, PNB, Bank of Baroda, Canara Bank, etc.).
- Navigate to Agriculture Loans → Kisan Credit Card → Apply Online.
- Fill in the online application form and upload documents.
- Bank verifies the application and conducts field inspection if required.
- KCC is issued within 15 days of complete document submission (RBI guideline).
Offline, via Bank Branch
- Visit your nearest bank branch, regional rural bank, or cooperative bank branch.
- Request the KCC application form.
- Submit the completed form with all required documents.
- Bank processes the application, assesses the credit limit, and issues the KCC.
State-Wise KCC Implementation
| State | Primary Implementing Banks | Key Notes |
|---|
| Uttar Pradesh | SBI, PNB, Gramin Banks | Largest KCC base; paddy and wheat the primary crops; PM Kisan saturation drive ongoing |
| Maharashtra | Bank of Maharashtra, SBI, cooperative banks | Cotton, soybean, sugarcane KCC prevalent; DCCB (cooperative) network strong |
| Rajasthan | Bank of Baroda, SBI, RRBs | Bajra, mustard KCC; desert district limits set by DLTC annually |
| Andhra Pradesh | SBI, Indian Bank, AP Grameena Vikas Bank | Paddy, tobacco, chilli KCC; AP YSRCP linked supplemental interest subvention |
| Karnataka | Canara Bank, SBI, Karnataka Gramin Bank | Sugarcane, paddy, ragi; DLTC sets state-specific SoF for 30+ crops |
| Tamil Nadu | Indian Bank, TN cooperative banks, SBI | Paddy, banana, sugarcane; DCCB network used for cooperative KCC |
| Bihar | SBI, Central Bank, Uttar Bihar Gramin Bank | Paddy, maize; Bihar government interest subvention supplement for select crops |
| Punjab | Punjab National Bank, SBI, cooperative banks | Wheat and paddy dominant; Punjab has high average KCC limit due to higher SoF |
| Gujarat | Bank of Baroda, SBI, cooperative banks | Cotton, groundnut, cumin; Gujarat government adds input subsidy linked to KCC |
| Odisha | SBI, Odisha Gramya Bank, cooperative banks | Paddy dominant; tribal farmer KCC under special RRB programmes |
