What is Kisan Credit Card?
Kisan Credit Card is a lifeline for Indian farmers. Here are a few details to answer your question what is kisan credit card?
Kisan credit card or KCC was introduced in 1998 by the Government of India to give farmers quick access to short-term credit for everything from buying seeds to paying for irrigation. This put a hold on the hassle of traditional bank loans.
The aim was to cut through red tape and make credit more accessible. Farmers now, Instead of applying for a new loan every season, get a revolving credit limit that can be used as needed. It’s like having a financial safety net that adjusts to their crop cycle. You know what was the best part? The interest rates. They are subsidized, sometimes as low as 4% thus making it far more affordable than borrowing from local moneylenders.
KCC is used for:
- Buying seeds, fertilizers, and pesticides
- Renting or repairing farm equipment
- Covering post-harvest expenses like storage and transport
- Supporting dairy or poultry farming
- Even meeting household needs during tough seasons
The credit limit is based on farmer’s land size and crop type, and it can go up to ₹5 lakh. Plus, repayment terms are flexible, so that’s a huge relief. Hope you got what you were looking for 