Mangala Kissan Credit Card
- These cards are called as Mangala Kissan Credit Card and will be sanctioned through Primary Agricultural Credit societies.
- Purpose : Mangala Kissan Credit Cards are provided to the farmer who are the members of the Society, to get themselves engaged in their agricultural activities depending upon their financial needs, in a easy manner. The loans obtained are to be repaid promptly and conveniently by the farmers.
- Eligibility :
The applicant must be a farmer and should be the member of the Primary Credit Co-operative Society where his agricultural property exists. He should not have availed similar facility from any other Commercial Bank, Co-operative Bank or Cooperative society.
The credit limit sanctioned under this scheme is subject to the aggregate credit limit for which he is eligible for all type of crops grown by him as mentioned in the Normal Credit Statement prepared by the society.
- Terms of Sanction
a. Application for Mangala Kissan Credit Card may be submitted at any time during the year provided he should clear all his crop loans borrowed before availing this facility or the crop should be cleared from the proceeds available under the card.
b. Credit Card application should be duly filled in the prescribed form with all enclosures. During annual review a simple request letter is sufficient for renewal of limit but for increase of limit during annual review necessary bonds etc should be furnished for fresh limit. For the renewal of the account at end of third year fresh application with all enclosures are needed.
c. After scrutinising the application the Secretary will place the same before the Managing Committee for sanction. The Managing Committee of the society is authorised to sanction the loan under Credit Card Scheme. The Managing Committee may reject the application without giving any reasons to the applicant. Managing Committee will take the decision of fixing the Credit Card limit after taking into consideration
i. Lands owned by the applicant
ii. Eligibility under Crop loan and
iii. The applicants dealings with the Society in the previous years.
- Duration of the Credit Card :
1 Each individual will be granted one Credit Card. The period of the card is 3 years subject to annual review before the end of April every year.
2. Annual Review includes continuation of the credit facility to the next year, increase or decrease of the limit in pursuance to the operation of the card during the year, termination of the card irrespective of the period of sanction.
3.The Card Holder is the liberty to surrender the card and opt for the crop loan system at any time during the year. In such case the crop loan sanctioned will be adjusted towards the amount due under credit card. The due date fixed for the respective crop loan will also apply for the crop loan conversion made under this scheme.
- Annual Review and renewal of the Card:
For allowing the contuation of the Credit Card during the annual review or renewal the aggregate credit in the account during the period from May to April should be equal or more than the maximum credit in that account during the above period.
Interest due on the account is fully collected.
No drawals in the account should not be outstanding for more than 12 months under any circumstances.
If any account is not renewed before its date fixed for annual review or renewal then entire balance outstanding in the account should be repaid before renewal of the account on later date.
- Operational Conditions:
Mangala Kissan Credit Card is just like a Revolving Credit Accounts and card holder can draw the amount from the account with in the limit fixed and repay the amount with out any time or number restrictions.
The rate of interest applicable for Mangala Kissan Credit Card is the rate applicable for the Crop loans.