Kisan Credit Card Documents Required

The Reserve Bank of India has given some clear guidelines about the documents Required for Kisan Credit Card application to process the formalities as given below-

• Copy of Proof of Date of Birth

The applicant may attach a Birth Certificate issued by the Municipal Authority or by the Registrar of Births and Deaths or the Date of birth certificate from the last school attended or any other Educational Institute.

• Copy of Identity Proof

For proof of Identity, one may present the Aadhaar Card, PAN card, Voter ID or Driving License.

• Copy of an Address proof document

Documents that may be produced as Proof of Address include Aadhar Card, PAN card, Voter ID or Driving License. One must ensure that whatever proof one takes, it should have the current address of the applicant.

• A latest passport size photograph of the applicant
• Duly filled and signed-in Application Form

At the time of submitting the documents required for Kisan Credit Card application, following are the points that should be kept in mind.

• Ensure that all documents are clearly photocopied.
• Carry and keep the originals safely with you, just in case more copies are required.
• The applicant’s photograph should be latest and clear.
• Most Banks allow self-attestation. In that case, your signature should match with the one in your bank records, and remember to mention the date under the signatures.
• When filling the Application Form, ensure that no errors, cuttings or correction-tools are used.

The Kisan Credit Card is a boon to the farmers as it allows them to enjoy short-term credit with easy repayment so as to facilitate their sudden financial crunch and ensure that their lifestyle is not hampered due to the same.

• The Kisan Credit Card scheme supplies the farmers with adequate, regular and cost-effective credit from recognized banks.
• Farmers also get a Free ATM cum debit card (from the State Bank of India). The farmers may also avail an addition interest subvention @2% for loan amount up to ₹ 3 lakhs.
• There is also an additional subvention @3% for prompt repayments made by the farmers.
• The KCC holders get interest at the saving bank rate on credit balance in their KCC account.
• The KCC holders are authorised a personal accident insurance up to ₹ 50,000 in case of death and permanent disability and up to ₹ 25,000 for the risk.
• Also, the notified crops, as well as the notified areas, are covered under crop insurance for all KCC holders.
• The Kisan Credit Card was introduced in consultation with the major banks of India including commercial banks, state co-operative banks, as well as Regional Rural Banks thereby giving easy access to farmers, even the ones living in remote areas.
• The KCC scheme apart from providing cash credit, also helps the farmers with Term Credit that enables them to meet their short-term requirements.

The conceptualization of the Kisan Credit Card was aimed to provide flexibility in terms of loan repayment. A farmer is given the pliability that allows him to reschedule his repayment, in case of some unforeseen circumstances such as a bad-crop season. In such a case the farmer may receive a term extension of four years or maybe more.

• The farmers in India lag far behind when it comes to being aware of various financial issues. What add to their misery are unnecessary delays, unwieldy procedures and many improper practices adopted by the money lending agencies.
• The aim of launching the Kisan Credit Card was to provide short-term credit to the farmer, especially during the cropping season.
• When in a financial crunch, the farmers turn to the non-institutional sources for credit. Their needs to purchase seeds, fertilisers and pesticides force them to go to moneylenders, traders, landlords and commission agents.
• When it comes to lending money, banks tend to lend far fewer amounts to agriculture than do the non-institutional sources.
• Even though the non-institutional sources lend money at very high-interest rates and are rather counter-productive, farmers find them to be convenient and trust this traditional way of borrowing money.
• When unable to pay off the debt, the farmer and his family undergo too much stress, harassment and at times public shame, which takes a toll on the physical as well as mental health.

The biggest benefit that the Kisan Credit Card provides to the farmers is that all farmers including Individual as well as Joint cultivator owners are eligible, and can apply for their Kisan Credit Card. Tenant farmers, oral lessees and sharecroppers may also apply.