Question

What is the full form of KCC, a scheme introduced by the Government of India for the benefit of farmers?
A.Kisan Capital Card
B.Kisan Credit Card
C.Krishak Credit Card
D.Krishak Capital Card

Answer 1

Hint: The KCC scheme is a credit scheme introduced in August 1998 by Indian banks. This model scheme was prepared by the National Bank for Agriculture and Rural Development (NABARD) to provide term loans for agricultural needs. KCC was given to all the beneficiaries under the PM-KISAN Scheme.

Complete answer:
The KCC provide loans to several farmers. Under this scheme a special credit card was provided to the registered farmers. This credit card is known as KCC. Kisan Credit Card is the full form of KCC. Kisan means Farmer. The Kisan Credit Card scheme was developed for the benefit of the farmers by the Indian Government. Initially, the loans are provided at $$4\% $$ interest, with a maximum amount of Rs. 3 lakhs. Timely payment will make future loans available at $$3\% $$ interest. Untimely payment will increase the rate of interest for future loans to $$7\% $$ . The scheme also enables farmers to avail a high rate of interest on their savings in their account. The scheme was created to protect the farmers from taking loans at high interest from money lenders and losing their property as collateral if they’re unable to pay back the loan.
So, the correct answer is option B.

Note: KCC is available to all farmers of age $18$ to $75$ years, and anyone over $60$ years of age must have a co-borrower to avail the loans from the bank, and the co-borrower must be a direct descendant of the person applying for the loan. All farmers can avail the loan irrespective of whether they are individual or joint farmers.