The Kisan Credit Card scheme is an initiative that was launched by the NDA Government in August, 1998. The primary objective of the scheme was to save the vulnerable farmers from the informal money lenders, who often exploit them by charging exorbitant rates of interest. Syndicate Bank is one of India’s most trusted banks. It offers the Kisan Credit Card to the Indian farmers for a specific time period, so that they can meet their agricultural expenses comfortably.
Features of Syndicate Bank Kisan Credit Card
Given below are a few key features of Syndicate Bank Kisan Credit Card :
Validity – The Syndicate Bank Kisan Credit Card has validity for a term of 5 years.
Rate Of Interest – Syndicate Bank Kisan Credit Card charges interest on an everyday product basis for an account balance more than INR 500 that has been in the account for over 15 days at the interest rate of a savings account.
Insurance Cover – As specified by the State Government, insurance through Agriculture Insurance Company of India Ltd. is compulsory. The individual who holds the Syndicate Bank Kisan Credit Card should be covered under Personal Accident Insurance. A credit card holder who is below 70 years of age can avail this insurance which is up to ₹ 50,000, with a minimal premium amount. The cardholder also has the provision of Premium for Assets and or Health Insurance.
Limit of Withdrawal – Syndicate Bank Kisan Credit Card provides the cardholder with the flexibility to withdraw money from his credit card up to a certain limit. The cardholder can take out any amount within his credit limit. He also enjoys the variability to repay the funds when he starts receiving his farm income.
Debit Balance – The debit balance in the Kisan Credit Card does not have to be zero during any period.
Period of Liquidation – For clearing the debt, there is a time period. For crops of short duration, it is 1 year and for long duration crops, the time period is 18 months.
Eligibility Criteria for Syndicate Bank Kisan Credit Card
- The applicant should either be a farmer or a co-borrower and the owner of the land.
- The cultivation land should be actively producing a crop.
- Sharecroppers, tenant farmers and oral lessees may also apply for the KCC.
- The minimum and maximum age of the applicant must be between 18 to 75 years. The applicants who are over the age of 60 years have to have a co-applicant who is below 60 years and is a legal heir or an immediate member of the family of the primary applicant.
Syndicate Bank Kisan Credit Card provides the farmers with credit that can greatly aid them in fulfilling their agricultural necessities. Apart from insurance, the credit card holder is also protected against losses due to natural calamities, pest attack etc. The flexible options of repayment make it convenient and stress-free for the farmer to pay his debt. The credit is made available to the cardholder for a period of 3 years with very low interest rates. The Syndicate Bank Kisan Credit Card saves them from the various hurdles of acquiring finance from other sources.