Federal Kisan Credit Card
Features & Benefits
Federal Kisan Cards are issued to farmers to meet their cultivation needs and non-farm requirements including purchase of inputs and other short term requirements and working capital requirements for allied activities in a flexible and cost effective manner.
Purpose
Provide adequate and timely credit support for:
1. To meet the short term credit requirements for cultivation of crops
2. Post-harvest expenses
3. Produce marketing loan
4. Consumption requirements of farmer household
5. Working capital for maintenance of farm assets and activities allied to agriculture, like dairy animals, inland fishery etc.
6. Investment credit requirement for agriculture and allied activities like pump sets, sprayers, dairy animals etc.
Terms & Conditions
Eligibility
All the farmers who cultivate crops engaged in allied activities like Dairy, Poultry etc and for their composite requirements are eligible for Federal Kisan Credit Card scheme. Farmers cultivating authorised leased lands are also eligible.
Repayment
Loan can be repaid as Lump sum.
Card Validity period
The Federal Kisan Card is for a period 60 months subject to an annual review. The operations in the account shall be through the issuing branch only.
Loan Amount
The limit is arrived at based on the operational Land holding, cropping pattern, scale of finance for crops grown, maintenance cost of Farm Animals, Farm machineries, allied activities and other contingent expenses of the applicant after insisting for 15% margin.
Interest Subvention
2% interest subvention (IS) and 3% for prompt repayment incentive (PRI) up to a limit of Rs.3.00 lakhs. Conditions apply*.
Primary Security
Hypothecation of crops and other movable assets in the farm.
Collateral Security
Equitable Mortgage of land where the loan amount exceeds Rs. 1.60 L
Interest Rates & Charges
- Please visit the rates and charges page for details
Explore Other Agri Loans
Loans to individual farmers [including Self Help Groups (SHGs) or Joint Liability Groups (JLGs) i.e. groups of individual farmers, provided banks maintain disaggregated data of such loans and Proprietorship firms of farmers, directly engaged in Agriculture and Allied Activities, viz. dairy, fishery, animal husbandry, poultry, bee-keeping and sericulture. Loans sanctioned to Corporate farmers, Farmer Producer Organisations (FPOs)/(FPC) Companies of Individual Farmers, Partnership firms and Co-operatives of farmers engaged in Agriculture and Allied Activities are also eligible under farm credit subject to specific conditions.
Loans provided for construction of storage facilities, soil conservation and watershed development, Plant tissue culture and Agri-biotechnology, seed production, production of bio-pesticides, bio-fertilizer, and vermi composting are eligible to be classified under Agri infrastructure. Loans for construction of oil extraction/ processing units for production of bio-fuels, their storage and distribution infrastructure along with loans to entrepreneurs for setting up Compressed Bio Gas (CBG) plants are also eligible as per revised RBI guidelines.
Loans to co-operative societies of farmers for purchase of the produce of members , Loans for setting up of Agri-clinics and Agri-business centres, Loans to Start-ups that are engaged in agriculture and allied services, Loans to Custom Service Units who undertake farm work for farmers on contract basis are eligible under this category. Loans provided for Food and Agro-processing up to an aggregate sanctioned limit of ₹100 crore per borrower from the banking system is also eligible under Ancillary services. Loans sanctioned by banks to MFIs and NBFCs complying specific conditions stipulated by RBI for on-lending to agriculture sector will also qualify under this head. In addition to these Bank loans to Primary Agricultural Credit Societies (PACS), Farmers’ Service Societies (FSS) and Large-sized Adivasi Multi-Purpose Societies (LAMPS) for on-lending to agriculture will qualify under ancillary category for priority classification.
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