UCO Bank is a major commercial bank in India that is owned by the Government. UCO Bank was listed on Forbes Global 2000 List and was also rated as one of India’s most trusted brands. After NABARD came up with the Kisan Credit Card Scheme to cater to the financial needs of farmers and to offer affordable credit, UCO Bank Kisan Credit Card was introduced along with other special schemes for farmers. This credit card will offer timely credit for farmers during cropping season and will help them towards the purchase of farm equipment’s and harvesting.
Also, affordable interest rates, direct delivery channels and reliability offered by UCO Bank Kisan Credit Cards will encourage the farmers to move away from non-institutional means of credit.
The features and benefits the accompany UCO Bank Kisan Credit Card makes it a very popular products amongst all Kisan welfare schemes.
This credit card is designed to cater to the monetary needs pertaining to the following purposes - produce marketing loan, post-harvest expenses, investment credit requirement for agricultural activities and other allied activities including sprayers & dairy animals, short term credit requirements that comes with cultivation of crops, working capital requirement for maintenance of farm assets and activities.
The assessment of crop loan quantum is based on the scale of finance for the crop + insurance premium amount x extent of area cultivated + 10% of the limit towards post-harvest consumption and household requirements + 20% of limit towards maintenance expenses of farm assets. This formula guarantees that every borrowers gets the required loan quantum.
The Kisan Credit Card is valid for a period of 5 years from the date of issuance.
The assessment of credit limit for the first and subsequent years is done as follows. The first year limit for crop cultivation uses is determined by limit + 10% of the limit towards cost increase or escalation in scale of financing for every consecutive year (2nd, 3rd, 4th & 5th year). The maximum permissible limit is the value arrived at the end of fifth year.
For UCO Bank Kisan Credit Card crop loans, the margin is in-built in scale of finance and hence no separate margin is insisted.
For marginal farmers, flexi KCC is offered with simple assessment procedure.
Interest rates are made affordable by interest subvention and incentive subvention scheme for prompt repayment by the Government of India and State Government norms.
For loan limit up to Rs. 3 lakhs, no processing fee is charged under the UCO Bank Kisan Credit Card loan scheme.
The loan disbursement is done through a variety of channels, including ICT driven channels like mobile handsets, ATM and PoS.
No withdrawal from the KCC account to remain outstanding for a period of more than 12 months. There is no need to bring the debit balance to zero in the account at any given point of time.
The applicant has to submit documents only one time, during first availment. After that, a simple declaration about the crops raised by farmers would suffice.
The following advantages accompany UCO Bank RuPay Kisan Credit Card, which is another variant of the KCC offered by UCO Bank.
Existing KCC accounts that are operative as well as new Kisan Credit Card holders are given the RuPay enabled Kisan Credit Cards.
The following transactions can be carried out using a RuPay Kisan Credit Card - cash at Point Of Sale, cash withdrawal from ATM, purchase with cash back, ATM balance enquiry, mini statement and Pin change at ATM.
UCO Bank RuPay Kisan Credit Card is accepted at UCO Bank ATMs, other bank ATMs and over a huge number of merchant PoS.
RuPay Kisan Credit Cards will empower farmers to withdraw up to their drawing limit for the current season at ATMs during different times when required at the same cropping season instead of a onetime withdrawal.
The interest rates for UCO Bank Kisan Credit Card loan is as given below. The interest rates are made affordable by the subvention scheme offered by the Government of India.
|Item||Rate of Interest||Interest Subvention||Incentive Subvention|
|Agri Crop Loan up to Rs. 3.00 lakh||7. 00%||2. 00% up to Rs. 3 lakh||3. 00% for farmers paying instalments promptly (up to Rs. 3. 00 lakh)|
|Above Rs. 3.00 lakh and upto Rs. 25 lakh||Base Rate + 1. 00%||Not applicable||Not applicable|
|Above Rs. 25.00 lakh and upto Rs. 1.00 crore||Base Rate + 2. 00%||Not applicable||Not applicable|
Some important points to be noted about the interest rates for UCO Bank Kisan Credit Card are as follows.
Given below are the conditions that one must satisfy to be able to apply for a UCO Bank Kisan Credit Card.
An applicant must submit the following documents to advance the UCO Bank Kisan Credit Card application process.
For a complete list of documents required, do enquire with UCO Bank.
This credit card is offered in all semi-urban and rural branches of UCO Bank and also in selected urban branches where the villages are allocated under ACP (Annual Credit Plan) scheme.
For loans up to Rs. 3 lakhs, no processing fee is charged. For loans exceeding Rs. 3 lakhs, a nominal amount may be charged as processing fee. Do contact UCO Bank to know more about the prevailing rates and charges as they are subject to frequent change.
Any withdrawal from the account has to be paid back within a time period of 12 months.
Yes, if a customer fails to repay the loan before the due date or within a period of one year, the interest will be charged at the normal rate from due date, i.e. Base Rate + 1. 00%.
The following is the prescribed security for UCO Bank Kisan Credit Card crop loans.