Kisan Loan: The Reserve Bank of India (RBI) has raised the loan limit for farmers without collateral from Rs 1.6 lakh to Rs 2 lakh. Starting January 1, 2025, farmers are allowed to borrow up to Rs 2 lakh. This choice has been made to offer support to small and marginal farmers in light of increasing expenses. The new guideline instructs banks nationwide to eliminate collateral and margin needs for loans related to agriculture and allied activities up to Rs 2 lakh per borrower.
The Agriculture Ministry stated, ‘This choice has been made considering the escalating expenses and the necessity to enhance loan availability for farmers.’ The announcement indicated, ‘This action will significantly aid over 86 percent of small and marginal farmers holding land.’ Banks have been instructed to promptly carry out this directive and guarantee substantial awareness regarding the new loan regulations. The action is anticipated to enable convenient access to Kisan Credit Card (KCC) loans and will be in line with the government’s updated interest subvention scheme, offering loans of up to Rs 3 lakh at an effective interest rate of 4 per cent.
How to submit an application for Kisan Credit Card (KCC) online?
-Go to the official website of your chosen bank or government site to apply for KCC.
-Provide your personal details (name, contact, Aadhaar) and agricultural information (land records, crops).
-Submit necessary documents such as Aadhaar, PAN, land records, and bank information.
-Select the loan sum (up to Rs 2 lakh with no collateral required) and duration for the loan.
-Review your information and submit your application.
-Utilize the reference number to monitor your application’s status.
-After approval, obtain your Kisan Credit Card via mail or directly from the bank.
-Adhere to the bank’s guidelines to enable your KCC.