How to apply for a harvest loan online and offline; Bank checklist
As we know that agriculture is the most important sector in India, farmers in the country still face many difficulties when practicing agriculture – they have no money to buy quality seeds or fertilizers. . Therefore, to help farmers as well as farmers with finances, many banks have started providing crop loans.
Purpose of the harvest loan
Crop loan is basically a short term loan which is given to farmers and farmers by banks and cooperative societies. The loan can be used to buy various things like improved seeds, fertilizers, machinery, etc. The loan is usually repaid all at once after the crop has been produced.
List of banks offering harvest loans
In India, the following banks provide crop loans to farmers;
Indian Overseas Bank
United Bank of India
Besides harvest loans, banks also offer agricultural loans for various purposes.
SBI harvest loan
The State Bank of India, the country’s largest lender, offers loans for agricultural production in the form of ACC or KCC. The SBI loan covers the following items: agricultural production expenses, post-harvest expenses and contingencies, etc. .
Features and Benefits of the SBI Harvest Loan
It pays interest at the savings bank rate on the credit balance of the KCC account.
Free ATM debit card for all KCC borrowers
An interest subsidy at 2% per annum is given for the loan amount up to Rs. 3 Lacs
Additional interest subsidy at 3 percent per year for quick repayments
Notified crops or notified areas are covered by crop insurance for all KCC loans
The collateral guarantee is waived for the limit of KCC up to Rs. 1 lakh.
Direct link to apply for the SBI harvest loan
Documents required for harvest loan
Completed application form
Proof of identity like voter ID card / PAN card / Aadhaar card / passport / driving license
Proof of address like Aadhaar card / voter ID card / passport / driving license
How to apply for a harvest loan
Offline process – To apply for a harvest loan, simply go to the nearest bank branch. We have already mentioned the list of banks that offer crop loans. Meet with the bank manager and tell him you want to apply for a crop loan. The bank manager will give you a form and explain the whole process to you.
Online process – You can also apply online by visiting your bank’s official website. Read the instructions carefully and only for harvest loan.