# # #

PSB Kisan Suvida Scheme (PSB KSS)


To provide additional hassle free investment credit to farmers for agriculture purposes .


Individual farmers/joint borrowers who are existing Kisan Credit Card (KCC) holders having satisfactory track record of one year.

Area of Operation

The scheme to be implemented by all the branches

Nature of Facility

Term Loan repayable within 3-5 years for undertaking activities like farm mechanization, land development, minor irrigation, allied activities, horticulture and all other agriculture related activities

Quantum of Loan

Rs 50000/- per acre of owned land with maximum of Rs 5 Lacs.

The Term Loan be sanctioned on the basis of risk assessment on case to case basis.

This loan amount shall be in addition to existing KCC limit of applicant.


Hyp. of assets created out of Bank loan. The additional security will be land already mortgaged with the Bank in KCC limits. The undertaking be obtained from borrower that the Security will not released until and unless Term loan account is adjusted. Third party guarantee be obtained.


15% to 25 % of the project cost.

Rate of Interest

The rate on interest will be linked to Base Rate. Presently the rates of interest are as given below (In terms of I.D. Circular No.1647 dated 26.09.2011) :-

Loan Amount  Minor Irrigation (% p.a.)

Tractor Loans

(% p.a.)

All other Direct Agriculture purpose

(including allied activities  % p.a. )

 Upto Rs 50000/- Base Rate +1.50 i.e. 11.75 BR+ 2.25 i.e. 12.50 BR+ 2.25 i.e. 12.50
 Above Rs 50000/- and upto Rs 3 lacs Base Rate+ 2.50 i.e. 12.75 BR+ 3.00 i.e. 13.25 BR+ 2.25 i.e. 12.50
Above Rs 3 lacs and upto Rs 5 lacs Base Rate + 3.00 i.e. 13.25 BR+ 3.00 i.e. 13.25 BR+ 3.00 i.e. 13.25

Discretionary Powers:

The Sanctioning Authority would remain in terms of the circular on discretionary powers HO:Credit Monitoring and Policy Deptt Circular No.1657 dated 29.05.2012 , as revised from time to time.

Penal Interest:

In case there is any default in repayment as sanctioned, the penal interest is to be charged on the amount of default for the period/duration of default till the account is regularized as mentioned hereunder:

  • No penal Interest shall be charged for loans upto Rs 25000/-
  • In case of loans above Rs 25,000/- penal interest @ 2% p.a. over interest rate applicable is to be charged on the amount in default

Loan Application:

Loan application shall be as prescribed for Agriculture Term Loan along with undertaking on Affidavit as per Annexure I.


Agriculture Term Loan documents as per activity/purpose to be undertaken.

Processing and other charges:

For loan upto Rs 25,000/- --- NIL

The processing fees and other charges such as Inspection charges etc. are to be levied as per Banks extant

Norms as applicable on agricultural term loans.

Post Sanction monitoring and follow up:

Pre sanction exercises to be conducted at the time of appraisal of the Loan. Post Sanction inspection for verification of end use of funds.

Loan Classification:

Direct Agriculture under Priority Sector.

For Hot Listing (Blocking)
ATM/Rupay Cards
SMS to 9223815844
LOST(space)last 4 digits of
card number
LOST(space)your 14 digits account number
(through registered mobile no)
For Balance Enquiry
(By Missed Call) 7039035156 (Toll Free)
All India Toll Free 1800-419-8300