2023 2024 Student Forum > Management Forum > Main Forum

 
  #2  
5th June 2017, 11:12 AM
Super Moderator
 
Join Date: Aug 2012
Re: Bank of India Kisan Credit Card

I am telling you complete information about Kisan Credit Card of Bank of India here:

Bank of India Kisan Credit Card

Eligibility to Apply:
a) Under the scheme, Branches may issue Kisan Credit Cards to the farmers who are otherwise eligible for sanction of short term credit for crop production, allied activities and other non-farm activities.

b) The farmers should come from the operational area of the Branch.

Issue of Cards:
a) The farmers under the scheme will be issued a credit card-cum-passbook incorporating the name, address, particulars of land holding, borrowing limit / sub-limits, validity period, etc. to facilitate recording of the transactions on an on-going basis.

b) The beneficiary farmer should produce the passbook while operating the account.

Technical Feasibility
a) Suitability of soil, climate and availability of adequate irrigation facilities.
b) Suitability of the produce for storage.
c) Suitability of the storage unit

Quantum of Finance and margin

For production / short term purposes - Loan amount will depend upon the type of crop, area under cultivation and scale of finance.

Short term working capital - For ancillary activities and minor investment of medium term nature.

Short term credit for consumption / domestic needs to the extent of upto 25 percent of gross estimated income of the farmer and maximum Rs.50,000/=.

Finance against storage receipts / produce marketing may be considered maximum upto 50 percent of the price of the produce prevailing at the time of storage / sanction of loan. Limits / advances upto Rs.10 lakhs per farmer can be extended for a maximum period of 12 months.

Security
(a) Upto Rs.50,000/= : D. P. Note Hypothecation of standing crops

(b) Above Rs.50,000/= : D. P. Note Hypothecation of standing crops Mortgage of land / Collateral security

Common Documents:

(a) Demand Promissory Note.
(b) Deed of Composite Hypothecation Agreement (CHA-1).
(c) Letter of Authority (AG-15).
(d) Charge on land as per Agricultural Credit Act or Equitable mortgage or Legal Mortgage of land (CHA-4).
(e) Letter of Pledge (OD-159).
(f) Pledge of Storage Receipt duly discharged.
(g) Undertaking to repay the advance within 12 months or on sale of produce.
(h) Banks lien to be notified to the storage unit.
(i) Undertaking from the godown / cold storage owners not to deliver the goods without production of the pledged storage receipt.
(j) L-515.
(k) L-516 (if required).

Types of Facilities:
(a) Revolving Cash Credit – Annual Review.

(b) The review may result in continuation of the facility, enhancement of the limit or cancellation of the limit / withdrawal of the facility, depending upon the performance of the borrower.

(c) The aggregate of credits into the account during the 12 months period should atleast be equal to the maximum outstanding in the account.

(d) No drawal in the account should remain outstanding for more than 12 months in case of normal crops and 18 months in case of sugarcane and banana crops.

(e) In case of reschedulement of the period of repayment on account of natural calamities affecting the farmer, the period for reckoning the status of operations as satisfactory or otherwise would get extended together with the extended amount of limit.

(f) As a measure of incentive for card holders with good performance, the Branches may at the time of review, enhance the credit limit suitably to take care of increase in cost of inputs / labour, change in cropping pattern, etc.

Last edited by sumit; 5th June 2017 at 11:55 AM.


Tags
short term

Quick Reply
Your Username: Click here to log in

Message:
Options

Thread Tools Search this Thread



All times are GMT +5. The time now is 07:55 PM.


Powered by vBulletin® Version 3.8.11
Copyright ©2000 - 2024, vBulletin Solutions Inc.
SEO by vBSEO 3.6.0 PL2

1 2 3 4