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Principles & Practices of Banking

Unit – 21 : Agricultural Finance

1. Loans repayable up to 18 months are short term loans.

2. Medium/long term loans are for more than 36 months.

3. All farmers who require loan for their cultivation expenses are eligible to get loan under KCC scheme.

4. KCC accounts should be renewed annually, well before the above due dates, every year to continue the limit during the KCC validity period of 5 years. Branches shall, therefore, ensure to obtain revival letters before expiry of 3 years wherever applicable, as per the Limitation Act.




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