Kisan Credit Card Calculator

It's a government scheme that reduces the 7% base KCC rate by 1.5 percentage points for farmers, plus a further 1.5 percentage point prompt-repayment incentive if the loan is repaid on time — together bringing the effective rate down to 4% p.a. on eligible loans.

You lose both the interest subvention and the prompt-repayment incentive, and the rate reverts to the 7% base plus up to 2% penal interest — roughly 9% p.a. in total, more than double the subsidized rate.

Simple interest — it's calculated once on the original loan amount for the time it's outstanding, unlike an EMI loan where interest compounds on a reducing balance.

₹5,00,000 in total KCC credit, as of the 2025-26 Union Budget, which raised the cap from the earlier ₹3,00,000 limit. Amounts above this cap are charged at the bank's normal, non-subsidized rate.