Kisan Credit Card is a central government credit scheme for farmers, administered by the Ministry of Agriculture and Farmers Welfare. It gives timely and adequate credit for crop production, post-harvest needs, produce marketing and allied farming activities. The scheme is still open in 2026, and eligible farmers can apply through their bank branch or the Jan Samarth digital portal.
Since 2019 the scheme has been extended to cover working capital for animal husbandry, dairying and fisheries. In June 2026 the Reserve Bank of India issued revised Kisan Credit Card directions for commercial banks, small finance banks, regional rural banks and rural cooperative banks, which will apply to loans sanctioned from 1 January 2027. This keeps the scheme current and aligned with the latest banking rules.
Kisan Credit Card - Introduction
Kisan Credit Card helps farmers get easy access to credit at the right time for their cultivation needs. The card works like a revolving cash credit facility, so a farmer can draw money as and when required within the sanctioned limit and repay it flexibly. This makes managing agricultural inputs and production costs simpler.
The government supports the scheme through the Modified Interest Subvention Scheme. Short-term crop loans through Kisan Credit Card are available at a concessional interest rate of 7%, and farmers who repay on time get an extra 3% incentive, which brings the effective rate down to just 4% per annum.
Objective and Purpose
Kisan Credit Card aims to provide complete credit support through a single window. A farmer can use this facility for:
- Short-term credit for crop cultivation, including seeds, fertilisers and other inputs.
- Post-harvest expenses and produce marketing loans.
- Working capital for farm asset maintenance and household consumption needs.
- Investment credit for agricultural and allied activities such as animal husbandry, dairying and fisheries.
Type of Card
Banks issue cards in different forms, from magnetic stripe cards with PINs to advanced chip-based and biometric-enabled cards. These options let farmers transact easily at ATMs, micro-ATMs and with agricultural input dealers.
Delivery Channels
To make fund access easy, the following channels are available:
- Withdrawals through ATMs or micro-ATMs.
- Withdrawals through business correspondents using smart cards.
- Point of sale machines through authorised input dealers.
- Mobile banking with IMPS and Aadhaar-enabled payment systems.
Key Information
| Scheme Name | Kisan Credit Card |
|---|---|
| Level | Central |
| Beneficiary Type | Individual farmers |
| Target States | All |
| Category | Agriculture, Rural and Environment |
| Assistance Type | Financial assistance / Cash credit |
| Nodal Ministry | Ministry of Agriculture and Farmers Welfare |
| Implementing Agency | NABARD and commercial banks |
| Effective Interest Rate | 4% per annum with prompt repayment |
| Collateral-Free Limit | ₹2.00 lakh per borrower |
Benefits
A farmer can get a competitive credit limit based on crop scale, land area and repayment capacity. For example, if Ramesh cultivates a single crop, his limit is calculated on the scale of finance per acre plus portions for post-harvest expenses, household consumption and farm maintenance.
The limit is reviewed every year to account for rising costs, and it stays valid for up to five years. In January 2025 the Reserve Bank raised the collateral-free limit for short-term agricultural loans from ₹1.60 lakh to ₹2.00 lakh per borrower, which helps small and marginal farmers borrow without pledging assets.
| Limit Component | Calculation Basis |
|---|---|
| Short-term crop limit | Scale of finance x area + 10% post-harvest + 20% maintenance |
| Subsequent annual limit | Previous year limit + cost escalation |
| Investment limit | Based on asset unit cost and repayment capacity |
Eligibility
A farmer is eligible for Kisan Credit Card under any of these categories:
- Individual or joint owner cultivators.
- Tenant farmers, oral lessees and sharecroppers.
- Self help groups or joint liability groups engaged in agricultural activities.
Application Process
Online Application
STEP 1 - Visit the Jan Samarth portal at jansamarth.in or the official website of your preferred bank. Jan Samarth is a one-stop digital platform that links government-sponsored loan and subsidy schemes, including Kisan Credit Card.
STEP 2 - Open the agriculture banking section, select Kisan Credit Card and click on the Apply button to fill the digital form with your details.
STEP 3 - Submit the form and note the application reference number. The bank evaluates your data digitally and a representative usually contacts you for verification within 3 to 4 working days.
Offline Application
A farmer can also visit the nearest bank branch to apply. Download the application form from the official bank website or collect it at the branch, fill it in and submit it with the required documents to a bank representative who will guide through the remaining steps.
Documents
To complete the application, keep the following documents ready:
- Duly filled application form and two recent passport-sized photographs.
- Valid ID proof such as Aadhaar card, driving licence, voter ID or passport, plus proof of address.
- Certified proof of landholding from revenue authorities and cropping pattern details.
- Security documents if the limit exceeds the collateral-free ceiling set by bank policy.
References
RBI Press Release on Revised KCC Scheme 2026 | RBI Master Directions Commercial Banks KCC 2026 | SBI Kisan Credit Card Portal | RBI KCC Official Notification
FAQ's
What is the validity period of the Kisan Credit Card?
The card is valid for 5 years, subject to annual review based on farming activities and repayment performance.
What is the age requirement to apply for a Kisan Credit Card?
A farmer should be between 18 and 75 years of age. Senior citizens must have a co-borrower who is a legal heir.
What is the interest rate on the Kisan Credit Card?
Interest rates vary by bank, but the government supports an effective rate of 4% per annum for prompt repayment on short-term crop loans through the Modified Interest Subvention Scheme.
What are the types of finance available under this scheme?
The scheme provides revolving cash credit for short-term needs and term loans for long-term investments, including allied activities.
What are the security norms under the Kisan Credit Card?
For loans up to ₹2.00 lakh, security is limited to hypothecation of crops. For larger amounts, banks may require land mortgage or third-party guarantees.
What benefits does the Government of India provide under this scheme?
Farmers get a concessional interest rate of 7% on short-term crop loans, plus a 3% prompt repayment incentive, which brings the effective rate down to 4% per annum on limits up to ₹3 lakh.
