Updated upto 14.06.

2019

Banking @ Your Convenience

PNB Kisan Credit Card Scheme (KCC)

Eligibility Farmers-Individuals/Joint borrowers who are owner cultivators

Tenant farmers,Oral lessees, Share-croppers(Oral tenants can be eligible for loan
only if land owners agree to become co-borrowers. However, in case the loan is
secured by liquid security like FDR, NSC/ KVP etc. (at least 100% value) the above
condition may be waived. )

Self Help Groups or Joint Liability Groups of Farmers

Purpose Short Term Credit Component includes - credit for cultivation of crops, post-
harvest expenses, produce marketing loan, consumption, Working Capital for
maintenance of farm assets & allied activities.
Long Term Credit Component includes investment credit for agriculture & allied
activities.
Quantum of limit Rs 50 lakh (Max) (Above Rs.20 lakh -CH power)
Fixation of limit Scale of finance for the crop (as decided by District Level Technical Committee) x
Extent of area cultivated + 10% of limit towards post-harvest / household /
consumption requirements (the premium for health insurance cover may also be
covered with a maximum
coverage of upto Rs. 3 lakh) + 20% of limit towards repairs and maintenance
expenses of farm assets + crop insurance and/or Accidental Insurance including
PAIS, health insurance &asset .

First year limit for crop cultivation purpose arrived

at as above plus 10% of the limit towards cost escalation / increase in scale of
finance for every successive year ( 2nd , 3rd, 4th and 5th year) and estimated Term
loan component for the tenure of Kisan Credit Card, i.e., five years.

 insurance.LandlessLaborers/ Oral lessees/share croppers/tenant farmers can

be given KCC limit upto 50000 on basis of affidavit.
Review/ Renewal  In-built provision for 10% limit enhancement on annual basis
 KCC is issued for 5 years with annual review.
 Limit to be renewed on merits of case, one month before expiry.
Charges Please refer to LOANS AND ADVANCES CIRCULAR NO.89 and circulars issued
thereafter.
Margin Production Credit -NIL
Term Loan:
UptoRs.1 lakh - Nil
1 lakh to 2 lakh -5%
2 lakh to 5 lakh - 10%
Above 5 lakh - 25%
No dues certificate “No Dues Certificate” is not to be obtained for agricultural loans from individual
borrowers (including SHGs and JLGs) in rural and semi urban areas. However, for
loans above Rs.1.00 lakh, affidavit to this effect be obtained from such borrowers.

But the following methods can be utilised for credit histroy enquiry. A) Credit history
check through credit information companies B) CERSAI registrationC) Peer
monitoring D) Information sharing among lenders and E) Information search
(writing to other lenders with an auto deadline)
Security Hypothecation of crop/ assets created out of bank loan AND
Upto 1 lakh no collateral security/guarantee etc
Above 1 lakh – Charge on land as per Agricultural Credit operations and
Miscellaneous Provisions Act of the State concerned/Mortgage of agricultural land

PNB SARANSH Website: pnbindia.in Toll free No: 1800-180-2222

Updated upto 14.06.2019

valued at 100% of amount of loan for other farmers

and 75% of the loan amount for small farmers/marginal farmers.or cash securities or
suitable third party guarantee.

Interest  UptoRs.3 lakh- 7% p.a. (Regular KCC)

 Irregular & O/S beyond Rs.3.00 lakh – Normal ROI
*Interest subvention also available as per GOI guidelines
For the purpose of interest subvention, the accounts will be treated as
irregular if any debit entry is not adjusted within a period of 12 months (for
both short duration and long duration crops)

Crop Insurance Crops should be covered under Pradhan Mantri FasalBimaYojna (PMFBY)/
Weather Based Crop Insurance Scheme (WBCIS)

Personal Insurance cover is available under Pradhan Mantri Suraksha Bima Yojana
Insurance (PMSBY). Premium payable is Rs.12/- p.a.

Disbursement/oper Limit can be operated through Branch/cheque/ATM

ation
Issuance of Card PNB Rupay Kisan Card is to be issued to all eligible farmers. Validity of the Card is
5 years subject to availability of sanctioned limit/ DP.
Others Oral tenants can be eligible for loan only if land owners agree to become co-
borrowers. In the accounts which are secured by liquid securities like FDR,
NSC/KVP, etc., the cards to oral tenants can be issued without stipulating the
condition of land owners to be made coborrowers.

Landless labourers, share croppers, tenant farmers and oral lessees can be issued
PNB Kisan Card (KCC) upto limit of Rs 50,000/- on the basis of an affidavit
containing details of land tilled/ crops grown, duly stamped as per the respective
State Stamps rules.

It should be ensured that no double financing takes place.

For initiating and processing KCC loan proposal, Branch Heads shall not keep
the proposals, of upto Rs. 3.00 lakh, pending for want of services of
Agriculture Officers.

Branches should keep Specimen Signatures of Patwari/ Tehsildar on Bank’s record

and update them from time to time. These Specimen Signatures may be used in
verifying genuineness of submitted land records.

In case the land/shed is on lease/rent basis or otherwise where borrower’s title to

land does not permit him to create a mortgage thereof, suitable guarantee may be
accepted as an alternative security.

the operative limit may be enhanced every year but no fresh

documents are required. The borrower should be intimated about every
successive revision in the operative limit and his consent be also obtained
each time on the format given in the Appendix VI.

Circular PSFID/PRIORITY SECTOR/CIRCULAR NO.108/2017, Additional documents is

available in the said circular. Use Ask A Question in case of any doubt or
clarification available in E-Circular site.

PNB SARANSH Website: pnbindia.in Toll free No: 1800-180-2222