Kisan Credit Card
The Kisan Credit Card (KCC), launched in 1998 by NABARD, provides revolving cash credit for short-term agricultural and allied-activity expenses at subsidised rates, through any commercial bank, RRB, Small Finance Bank, or cooperative bank. Under the Modified Interest Subvention Scheme (MISS), the government provides 1.5% interest subvention to banks, bringing the farmer’s rate to 7%; an additional 3% Prompt Repayment Incentive (PRI) for timely repayment brings the effective rate to 4% per annum. Budget 2025-26 raised the crop loan limit eligible for MISS from ₹3 lakh to ₹5 lakh, and the fisheries/animal husbandry limit from ₹2 lakh to ₹5 lakh. Effective January 2025, the collateral-free credit limit was raised from ₹1.6 lakh to ₹2 lakh per borrower. KCC operates as a 5-year revolving credit line (annually reviewed), repaid from harvest proceeds, with a RuPay debit card for ATM/POS access and PMFBY insurance bundled. For natural calamities, outstanding KCC balances can be converted to term loans with interest relief for up to 1 year (extendable to 5 years for severe disasters). Extended to fisheries and animal husbandry since 2018-19. As of 2025: approximately 7.72 crore operative KCC accounts with over ₹10 lakh crore outstanding.