All farmers in India, including small and marginal farmers, members of self-help groups (SHGs), and joint liability groups (JLGs), have access to the KCC scheme. The most recent information available indicates that as of March 2021, Indian farmers had received more than 10 crore KCCs.
The KCC system offers farmers timely and substantial loan support, which is one of its main advantages. Farmers are able to withdraw money through the program from ATMs, bank locations, and other financial facilities. Farmers can return the loan in installments based on their crop cycles under the flexible repayment options offered by the KCC plan. Farmers who repay their loans on time also receive a 2% interest subsidy under the KCC scheme.
In KCC accounts, the overdue period typically lasts one year beyond the due date, following which the account is labeled as a non-performing asset (NPA). The bank may file a lawsuit against the borrower if the account is not rectified within the overdue term. Farmers who are actually having trouble, though, can go to the bank and ask for a longer grace period.
The National Bank for Agriculture and Rural Development (NABARD), in collaboration with the Reserve Bank of India (RBI) and other commercial banks, introduced the Kisan Credit Card (KCC) Scheme. The program was started to make loans easily accessible and to encourage farmers to use contemporary farming methods. The KCC scheme has been essential in helping farmers receive financial assistance and in boosting India’s agricultural productivity.
Finally, if a borrower passes away without repaying a personal loan, the loan becomes their legal heirs’ responsibility. The bank may speak with the legitimate heirs and demand that they pay back the loan. The bank may file a lawsuit against the legal heirs if they are unable to pay back the loan. It’s vital to remember that personal loans are unsecured loans, meaning they don’t need any kind of security. As a result, it is crucial to assess one’s capacity to pay back the loan before applying for a personal loan.
In conclusion, the Kisan Credit Card (KCC) Scheme has revolutionized the lives of Indian farmers. It encourages farmers to embrace contemporary farming techniques by giving them timely and substantial finance support. The program has significantly improved India’s agricultural productivity and strengthened the rural economy. Farmers should utilize the KCC scheme to better their livelihoods and support the expansion of India’s agricultural industry.
You can approach your bank and discuss a repayment plan to settle the past-due sum if you want to get out of your NPA (Non-Performing Asset) account. Farmers in India can also take advantage of a one-time settlement option through the Kisan Credit Card (KCC) Scheme to pay off their NPA accounts with a reduced sum. This option, however, is constrained and might differ from one bank to another. It is recommended to talk with your bank about your alternatives and get their advice on how to settle your NPA account.
I’m sorry, but the title of the article, “Kisan Credit Card (KCC) Scheme in India: Benefits, Overdue Period, and Launch,” does not include “KCC loan fresh.” However, the Kisan financing Card (KCC) programme in India offers farmers access to financing through the KCC loan program. Farmers can use this kind of revolving financing to buy seeds, fertilizer, insecticides, and other agricultural inputs to suit their demands. Based on the farmer’s repayment habits, the KCC loan may be renewed for another term of up to five years.