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Agricultural Credit

What to Do?
What Can You Get?
Whom to Contact ?

What to Do?

To save themselves from the clutches of money lenders, farmers can avail loan facility from banks.
Loan facility is available through a large network of Commercial Banks, Regional Rural Banks and
Cooperative Credit Institutions in the country to fulfill the crop loan and term loan needs of the farmers.
Ensure timely repayment of bank loan.
Proper record of loan should be maintained by farmer.
Utilize the bank loan for actual purpose for which bank loan is taken.

What Can You Get?

A: Credit Facility to Farmers

S.No	Credit Facility	Quantum of Assistance
1	Interest Assistance	Crop loan upto 3.00 lakhs at 7% rate of interest. This interest rate becomes 4% due to 3% interest subvention incentives provided to those farmers who repay crop loan on time
2	Collateral / security-free loan	No need of collateral security for farm loan up to 1.60 lakh
3	Kisan Credit Card	Farmers can avail crop loan through Kisan Credit Card. Loan /credit limit is fixed on the basis of crop sown and area under cultivation. Kisan Credit Cards are valid for 3-5 years. Farmers are also provided risk coverage in the event of accidental death/ disability. Crop coverage loans are covered under the Crop Insurance Scheme.
4	Investment Loan	Loan facility to the farmers is available for investment purposes in the areas viz. Irrigation, Agricultural Mechanization, Land Development, Plantation, Horticulture and Post-Harvest Management

Whom to Contact ?

Nearest Commercial Banks, Regional Rural Banks and Cooperative Credit Societies

Source: Department of Agriculture & Cooperation

Last Modified : 3/2/2020

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