The Center has been initiating and promoting different agricultural schemes to fulfill Modi’s vision of doubling farmer’s income by 2022. Recently, Union Minister of Agriculture, State, Gajendra Singh Shekhawat announced that only three documents will be required to avail Kisan Credit Card (KCC), where farmers can take a loan up to Rs. 3 Lakh instantly without submitting a long list of documents. As per the report, Kisan Credit Card (KCC) is limited to only 7 crore farmers while there are around 14 crore farmers in our country. The main reason behind this lacking is the long process of documentation.
What are the Steps?
The first step is the verification process, where the government will verify whether the person who is applying for the loan is really a farmer or not. The bank will inspect the papers of the farmers and take a copy of it.
The second process includes the verification of the Permanent Residence Certificate of the farmer to ensure whether the loan is going to the right person or not.
The last process includes the affidavit of the farmer, where he has to ensure that he does not have a loan outstanding in any other bank. Moreover, the government directed the banking association not to charge any fees for the KCC application.
While speaking about the coverage of Kisan Credit Card (KCC), Shekhawat said, “We are trying to increase the coverage of Kisan Credit Card (KCC). At present, it is limited to about 50 percent of farmers. Around 7 crore farmers have Kisan Credit Card (KCC) while there are 14 crore farmer’s families in our country. This is because farmers have to go through a long complex process to avail the card.”
Shekhawat also added that the state governments and banks have been asked to make Kisan Credit Cards (KCC) available by setting up camps in villages across the country in collaboration with the village Panchayats. Moreover, the Modi government has not limited the Kisan Credit Card (KCC) only to agriculture where it also covered animal husbandry and fisheries. Both these categories will get a maximum of Rs 2 lakh, while for agriculture; you can avail up to Rs 3 lakh.
Agricultural credit-
If you have land or borrowed money for farming, then you can take a farm loan without thinking of mortgaging your land where the limit is Rs. 1 Lakh. Along with mortgaging the land on a loan of more than 1 lakh rupees, the guarantor will also have to be given.
