REVISED SCHEME FOR UNITED KISAN CREDIT CARD

Transcription

1 REVISED SCHEME FOR UNITED KISAN CREDIT CARD 1. Objective The scheme aims at providing adequate and timely credit for the comprehensive credit requirements of farmers under single window for their cultivation and other needs as indicated below: a. To meet the short term credit requirements for cultivation of crops b. Post harvest expenses c. Produce Marketing loan d. Consumption requirements of farmer household e. Working capital for maintenance of farm assets, activities allied to agriculture, like dairy animals, inland fishery and also working capital required for floriculture, horticulture etc. f. Investment credit requirement for agriculture and allied activities like pump sets, sprayers, dairy animals, floriculture, horticulture etc. Note: The aggregate of components a. to e. above will form the short term credit limit portion and the aggregate of components under f. will form the long terms credit limit portion. 2. Area of operation Through all rural and semi urban branches. 3. Eligibility i. All Farmers- individual/joint borrowers who are owner cultivators. ii. iii. iv. Tenant Farmers, Oral lessees, Share Croppers.. SHGs or Joint Liability Groups of Farmers including tenant farmers, share Croppers etc. Illiterate and blind persons intending to avail of this facility may be allowed after taking proper safeguard against misuse and tampering. v. Maximum Age limit at the entry point for an individual is 70 years. However, in case of individuals 70 years of age, Kisan Credit Card may be issued with joint borrowers /coloanee having age of less than 70 years. 4. Purpose It is intended that both term as well as short term/working capital credit facilities will be provided through single Kisan Credit Card. The card will be issued for the following purposes: a) short term credit for cultivation of short duration crop including post harvest expenses,produce marketing loan, consumption requirement of farmer house hold. b) working capital credit for activities allied to agriculture and also working capital required for floriculture, horticulture,plantation crops etc. c) term credit (repayable beyond 12 months) for agriculture and allied activities including production of long duration crops like sugarcane,banana,pineapple,beetlevine and other fruit and plantation crops. However, it is to be ensured that transaction records of different loan facilities are kept distinct.

2 5. Fixation of Credit limit The credit limit under the Kisan Credit Card may be fixed as under: 5.1. All farmers other than marginal farmers The short term limit to be arrived for the first year: For farmers raising single crop in a year: Scale of finance for the crop (as decided by District Level Technical Committee) X Extent of area cultivated + 10% of limit towards post-harvest / household / consumption requirements + 20% of limit towards repairs and maintenance expenses of farm assets + crop insurance, PAIS & asset insurance Limit for second & subsequent year: First year limit for crop cultivation purpose arrived at as above plus 10% of the limit towards cost escalation / increase in scale of finance for every successive year (2nd, 3rd, 4th and 5th year) and estimated Term Loan component for the tenure of Kisan Credit Card, i.e. five years. (Illustration I) For farmers raising more than one crop in a year, the limit is to be fixed as above depending upon the crops cultivated as per proposed cropping pattern for the first year and an additional 10% of the limit towards cost escalation / increase in scale of finance for every successive year (2nd, 3rd, 4th and 5th year). It is assume that the farmer adopts the same cropping pattern for the remaining four years also. In case the cropping pattern adopted by the farmer is changed in the subsequent year, the limit may be reworked. (Illustration I) Term loans for investments towards land development, minor irrigation, purchase for farm equipments and allied agricultural activities. The banks may fix the quantum of credit for term and working capital limit for agricultural and allied activities, etc., based on the unit cost of the asset/s proposed to be acquired by the farmer, the allied activities already being undertaken on the farm, the bank s judgment on repayment capacity vis-à-vis total loan burden devolving on the farmer, including existing loan obligations The long term loan limit is based on the proposed investments during the five year period and the bank s perception on the repaying capacity of the farmer Maximum Permissible Limit: The short term loan limit arrived for the 5th year plus the estimated long term loan requirement will be the Maximum Permissible Limit (MPL) and treated as the Kisan Credit Card Limit Fixation of Sub-limits for other than Marginal Farmers: i. Short term loans and term loans are governed by different interest rates. Besides, at present, short term crop loans are covered under Interest Subvention Scheme/Prompt Repayment Incentive scheme. Further, repayment schedule and norms are different for short term and term loans. Hence, in order to have operational and accounting convenience, the card limit is to be bifurcated into separate sub limits for short term cash credit limit cum savings account and term loans. ii. Drawing limit for short term cash credit should be fixed based on the cropping patterns and the amounts for crop production, repairs and maintenance of farm assets and consumption may be allowed to be drawn as per the convenience of the farmer. In case the revision of scale of finance for any year by the district level committee exceeds the notional hike of 10% contemplated while fixing the five year limit, a revised drawable limit may be fixed and the farmer be advised about the same. In case such revisions require the card limit itself to be enhanced (4 th or 5 th year), the same may be

3 done and the farmer be so advised. For term loans, installments may be allowed to be withdrawn based on the nature of investment and repayment schedule drawn as per the economic life of the proposed investments. It is to be ensured that at any point of time the total liability should be within the drawing limit of the concerned year. iii. Wherever the card limit/liability so arrived warrants additional security, the branches may take suitable collateral as per policy of the Bank For Marginal Farmers: A flexible limit of Rs. 10, to Rs. 50, be provided (as Flexi KCC) based on the land holding and crops grown including post harvest warehouse storage related credit needs and other farm expenses, consumption needs, etc., plus small term loan investments like purchase of farm equipments, establishing mini diary/backyard poultry as per assessment of Branch manager without relating it to the value of land. The composite KCC limit is to be fixed for a period of five years on this basis. Wherever higher limit is required due to change in cropping pattern and/or scale of finance, the limit may be arrived at as per the estimation indicated at para 5.1. (Illustration II).6. Validity i. The credit card will be valid for 5 years subject to annual review. ii. The review may result in continuation of the facility, enhancement of the limit or cancellation of the limit / withdrawal of the facility, depending upon increase in cropping area / pattern and performance of the borrower. iii. When the bank has granted extension and/ or re-schedulement 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. When the proposed extension is beyond one crop season, the aggregate of debits for which extension is granted is to be transferred to a separate term loan account with stipulation for repayment in installments. 7. Rate of interest (ROI): The rate of interest will be linked to base rate of the bank.this will be guided by the extant guide lines of the bank. However, if Government supported interest subvention is provided for any component of the limit, the rate of interest may be fixed accordingly. At present, rate of interest for production credit for raising short term crop under interest subvention scheme up to the limit of Rupees three lac is 7(seven) percent per annum. 8. Margin: For Short term crop loans, no separate margin need to be insisted as the Margin is in-built while fixing the Scales of Finance. For term loan component, it will be in conformity with the guidelines of RBI from time to time, presently for loan up to Rs lakh margin requirement -NIL and for loan above Rs lakh %. 9. Security: 9.1. It should be in conformity with the guidelines issued by RBI/BANK from time to time in respect of agricultural advances. As per extant guideline there is no collateral security required upto a loan limit of Rs.1,00,000/-. Collateral security may be obtained for loan limit above Rs lakh in case of advances of non tie up for recovery and above Rs lakh for the advances with tie-up for recovery Primary. Hypothecation of asset - Crop/Farm Machinery/Dairy Animal, etc. as applicable. Charge/ mortgage of land where immovable assets created out of bank loan like shallow tube well, cattle shed etc.irrespective of loan amount.

4 Additional/ Collateral Collateral Security wherever applicable, as per RBI/Bank's guidelines a) Charge/Mortgage of land by way of declaration as per prevailing agriculture credit operation act of the concern state. b) Equitable mortgage / Registered mortgage as applicable or third party guarantee acceptable to the bank. Loan up to Rs lac may be considered without insisting any collateral in case of advances with tie-up for recovery.. In State where branches have the facility of on- line creation of charge on the land records, the same shall be ensured by the disbursing branch. 10. Interest payable on credit balances Interest as applicable for S.B. Account, is payable in the Revolving Cash Credit account on the credit balance, if any. 11. Repayment The repayment period may be fixed as per the anticipated harvesting and marketing period for the crops for which a loan has been granted i.e.within due dates fixed by the bank ; Kharif st. March. & Rabi th. September The term loan component will be normally repayable within a period of 5 years depending on the type of activity / investment as per the existing guidelines applicable for investment credit Financing branches at their discretion may provide longer repayment period for term loan depending on the type of investment. 12. Documents i. D.P. Note for the sanctioned limit ii. iii. iv. Loan Agreement/ sanction letter duly accepted by the borrower. Letter of continuity Hypothecation of crop / assets to be created out of bank loan v. If the sanctioned limit is more than Rs.1,00,000/- mortgage of land/or third party guarantee acceptable to the Bank. vi. Consent letter in respect of disclosure of name in case of default. 13. Disbursement: The short term component of the KCC limit is in the nature of revolving cash credit facility. There should be no restriction on the number of debits and credits. The drawing limit for the current season/year could be allowed to be drawn using any of the following delivery channels. a. Operations through branch. b.operations using Cheque facility. c.withdrawal through ATM/ Debit Cards. d. Operations through Business Correspondents and ultra thin branches. e. Operation through PoS available in Sugar Mills/Contract farming companies, etc., especially for tie-up advances. f. Operations through PoS available with input dealers. g. Mobile based transfer transactions at agricultural input dealers and mandies. Note : (e),(f) & (g) will be introduced as early as possible so as to reduce transaction costs of both the Bank as well as the farmer.

5 The long term loan for investment purposes may be drawn as per installment fixed. 14. As the CC limit and the term loan limit are two distinct components of the aggregate card limit bearing different rates of interest and repayment periods, until a composite card could be issued with appropriate software to separately account transactions in either sub limits, two separate electronic cards may be issued. 15. Classification of account as NPA: 15.1 The extant prudential norms for income recognition, asset-classification and provisioning will continue to apply for loans granted under revised KCC scheme. As per extant prudential norms for income recognition,asset classification & provisioning ; 1. If the instalment of principal or interest thereon remains overdue for two crop seasons for short duration crop raised, the account will be treated as NPA. 2. If the instalment pf principal or interest thereon remains overdue for one crop season for long duration crops raised, the account will be treated as NPA. 16. Accounting procedure i. For short-term farm loan, the limit will be in the form of a revolving cash credit. ii. For term loan as per scheme, the account is to be created to the debit of the SCHEME CODE OF LAUBC in the General Ledger. 17. Crop Insurance under NAIS: Besides the mandatory crop insurance, the KCC holder should have the option to take benefit of Asset Insurance, Personal Accident Insurance and Health Insurance (wherever product is available) and have premium paid through his KCC account. Necessary premium will have to be paid on the basis of agreed ratio between the bank and farmer to the Insurance Companies from the KCC accounts. Farmer beneficiaries should be made aware of the insurance cover available and their consent (except in case of crop insurance, it being mandatory) is to be obtained, at the application stage itself. All Crop loans under KCC are to be covered under National Agricultural Insurance Scheme (NAIS)/ Modified National Agricultural Insurance Scheme (MNAIS),Weather Based Crop Insurance Scheme(WBCIS) as the case may be in respect of the notified crops. The schemes are implemented with the approval/consent of State Government concerned, which are monitored and followed up by SLBC of that State. All farmers both loanee and non-loanee farmers growing the above notified crops in the notified areas are eligible for insurance coverage. In each district there is a Nodal Branch for receiving premium for insurance coverage and remitting the premium to the Agricultural Insurance Corporation of India. Subsidy on premium is allowed in respect of small and marginal farmers. In case of Term loan the assets created out of bank loan will be insured as per extant guideline of bank Personal Accident Insurance Scheme (PAIS) The coverage under PAIS is also compulsory for all KCC holders. The premium payable under the scheme is to be shared by the issuing Branch and the KCC holder in the ratio of 2:1.

6 The premium payable for a one-year policy is Rs.15/- while the same for a three year policy will be Rs.45/- only. The insurance coverage will be from the date of receipt of premium by the Insurance Co. ] Maximum age of the farmer 70 years on the date of commence of policy. Coverage : Accident death... Rs.50,000/- Permanent total disability... Rs.50,000/- Loss of two limbs or two eyes... Rs.50,000/- Loss of one limb or one eye... Rs.25,000/- 18. Other conditions No processing charge will be levied up to a card limit of Rs lakh No pre-repayment / folio charge will be levied Charging of interest is to be done uniformly as is applicable to agriculture advance. Bank will charge interest on all direct Agriculture advances on half yearly basis. However, interest on current dues, i.e. short duration crop loan and installments not falling due in respect of term loans should not be compounded When short duration crop loan or installments under term loan become overdue,branches can add interest outstanding to the principal and compounded the interest. However, the total interest debited to an account should not exceed the principal amount in respect of short term advance to small and marginal farmers For such loan, Service Area Concept will not be applicable The concept of 'No Objection Certificate' is dispensed with up to Rs /=, but indebtedness of the farmer is to be examined by exchange of list of borrowers amongst the bankers in the service area/block/tehsil One time documentation at the time of first availment and thereafter simple declaration (about crop raised/ proposed) by farmer from the second year on wards provided the documents are in order or renewed within 3 years Farmers to be provided with KCC short term sub limit cum SB account so as to allow credit balance in KCC cum-sb account to fetch interest at savings bank rate. A separate folio needs to be maintained for long term sub limit until both the sub-limits are integrated through an electronic card with suitable software. 19. Application form In addition to KCC application form, separate application form for each purpose is to be obtained. But, while fixing the limit, the sub-limit is to be earmarked for each purpose separately 20. Economics of the Scheme The economics will vary from scheme to scheme to be undertaken by the farmers. The branch is to draw up the Economics based on production-linked programme of each specific scheme In course of drawing up economics of the scheme, income from each activity has to be worked out separately. On the basis of each separate economics, a summary is to be drawn up to arrive at the final position of the Integrated Farm Productions Scheme.

7 21. Interest subvention / interest incentive: In case of short term production credit up to limit of Rs.3.00 lakh interest subvention is permissible up to the date of payment or up to the date beyond which the outstanding loans become overdue i.e. 31 st. March for Kharif and 30 th.september for Rabi respectively whichever is earlier subject to a maximum period of one year Interest incentive subvention may also be allowed for those prompt paying farmers who repay their short term production credit (up to a maximum Rs lakh) with in the due dates fixed by the bank for repayment of crop loan, subject to a maximum period of one year from the date of disbursement / drawal. Details of interest Subvention Scheme will be communicated in time to time as and when circular will be issued by Govt. of India /RBI

8 ILLUSTRATION-1 A. SMALL FARMER RAISING MULTIPLE CROPS IN A YEAR 1. ASSUMPTION: A. LAND HOLDING IN ACRE IRRIGATED 2 B. CROPPING PATTERN 1.KHRIF PADDY IN ACRES: 1 2.RABI POTATO IN ACRES: 1 C. LONG TERM CROP: SUGAR CANE IN ACRES: 1 D. SCALE OF FINANCE INCLUDING CROP INSURANCE 1.PADDY IN RS POTATO IN RS SUGAR CANE IN RS E. INVESTMENT CREDIT/ALLIED ACTIVITIES 1. ESTABLISHMENT OF DAIRY UNIT HAVING 2 CATTLE AND SHED IN 1ST YEAR (AMT.IN RS.) LOAN REQUIRED FOR LONG TERM CROP(AMT IN RS.) IN 1ST YR REPLACEMENT OF PUMP SET(AMT. IN RS.) IN 3RD YEAR OTHER CONSIDERATION CONSUMPTION LOAN IN RESPECT OF ST. PRODUCTION CREDIT 10% RECURRING EXPENDITURE FOR MAINTAINANCE OF FARM ASSET IN RESPECT OF ST. PRODUCTION CREDIT 20% ESCALATION COST/INCREASE IN SCALE OF FINANCE IN EVERY YEAR 10% ASSESMENT OF TOTAL REQUIREMENT S L N O PARTICULARS REQUIREMENT FOR ST PRODUCTION CREDIT IN RS.(ACRES X SCALE OF FINANCE) COSUMTION COMPONENT IN RS. 10 % OF C0LLUM -3 EXPENDITUR E FOR MAINTAINCE OF FARM ASSETS DRAWING LIMIT KHARIF SEASON( LOANING TIME IST APRIL TO 30 TH SEPTEMBER PADDY RABI SEASON( LOANING TIME IST OCTOBERTO 31ST MARCH POTATO TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 1ST YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 2ND YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 3rd YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 4th YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 5th YEAR (A) TERM LOAN REQUIREMENT Term loan -1 for dairy Term loan -2 for Sugar cane Term loan -3 for replacement of pump set TOTAL TERM LOAN REQUIREMENT (B) MAXIMUM PERMISSIBLE BANK FINANCE UNDER KISAN CREDIT CARD (A)+(B)

9 ILLUSTRATION-1 B. OTHER FARMER RAISING MULTIPLE CROPS IN A YEAR 1. ASSUMPTION: A. LAND HOLDING IN ACRE IRRIGATED 10 B. CROPPING PATTERN C. LONG TERM CROP: D. SCALE OF FINANCE INCLUDING CROP INSURANCE 1.KHRIF PADDY IN ACRES: 5 2.RABI GROUND NUT IN ACRES: 5 SUGAR CANE IN ACRES: 5 1. PADDY IN RS GROUND NUT IN RS SUGAR CANE IN RS E. INVESTMENT CREDIT/ALLIED ACTIVITIES 1.ESTABLISHMENT OF DAIRY UNIT HAVING 4 CATTLE AND SHED IN 1ST YEAR (AMT.IN RS.) LOAN REQUIRED FOR LONG TERM CROP(AMT IN RS.) IN 1ST YR PURCHASE OF TRACTOR (AMT. IN RS.) IN 1ST YEAR OTHER CONSIDERATION CONSUMPTION LOAN IN RESPECT OF ST. PRODUCTION CREDIT 10% RECURRING EXPENDITURE FOR MAINTAINANCE OF FARM ASSET IN RESPECT OF ST. PRODUCTION CREDIT 20% ESCALATION COST/INCREASE IN SCALE OF FINANCE 10% S L. N O PARTICULARS REQUIREMENT FOR ST PRODUCTION CREDIT IN RS.(ACRES X SCALE OF FINANCE) COSUMTION COMPONENT IN RS. 10 % OF C0LLUM -3 EXPENDITURE FOR MAINTAINCE OF FARM ASSETS DRAWING LIMIT KHARIF SEASON( LOANING TIME IST APRIL TO 30 TH SEPTEMBER) PADDY RABI SEASON( LOANING TIME IST OCTOBERTO 31ST MARCH) GROUND NUT TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 1ST YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 2ND YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 3rd YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 4th YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 5th YEAR (A) Term loan requirement Term loan -1 for dairy Term loan -2 for Sugar cane Term loan -3 for PURCHASE OF TRACTOR TOTAL TERM LOAN REQUIREMENT (B) MAXIMUM PERMISSIBLE BANK FINANCE UNDER KISAN CREDIT CARD (A)+(B)

10 ILLUSTRATION-II MARGINAL FARMER RAISING SINGLE CROP IN A YEAR 1. ASSUMPTION: A. LAND HOLDING IN ACRE 1 B. CROPPING PATTERN 1.KHRIF PADDY IN ACRES: 1 D. SCALE OF FINANCE INCLUDING CROP INSURANCE 1. PADDY IN RS E. INVESTMENT CREDIT/ALLIED ACTIVITIES 1. ESTABLISHMENT OF DAIRY UNIT HAVING 1NON DESCRIPT CATTLE 1ST YEAR (AMT.IN RS.) OTHER CONSIDERATION CONSUMPTION LOAN IN RESPECT OF ST. PRODUCTION CREDIT 10% RECURRING EXPENDITURE FOR MAINTAINANCE OF FARM ASSET IN RESPECT OF ST. PRODUCTION CREDIT 20% ESCALATION COST/INCREASE IN SCALE OF FINANCE 10% ASSESMENT OF TOTAL REQUIREMENT S L. N O PARTICULARS REQUIREMENT FOR ST PRODUCTION CREDIT IN RS.(ACRES X SCALE OF FINANCE) COSUMTION COMPONENT IN RS. 10 % OF C0LLUM -3 EXPENDITURE FOR MAINTAINCE OF FARM ASSETS DRAWING LIMIT KHARIF SEASON( LOANING TIME IST APRIL TO 30 TH SEPTEMBER PADDY RABI SEASON( LOANING TIME IST OCTOBERTO 31ST MARCH TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 1ST YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 2ND YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 3rd YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 4th YEAR TOTAL REQUIREMENT OF PRODUCTION CREDIT AT THE END OF 5th YEAR (A) Term loan requirement Term loan -1 for dairy (B) TOTAL TERM LOAN REQUIREMENT MAXIMUM PERMISSIBLE BANK FINANCE UNDER KISAN CREDIT CARD (A)+(B) 48900

11 United Bank of India Head Office 11, Hemanta Basu Sarani, Kolkata Ref. No. U.B.I. KISAN CARD SANCTION LETTER Branch Date :.. Sir / Madam, Sub : As per UBI Kisan Card Scheme your application dated. for crop loan / term loan under agriculture & allied activities.l With reference to above we are glad to inform you that above loan proposal has been sanctioned under the following terms and conditions. 1. Type of loan : Cash Credit (S T Loan) / Term Loan under United Kisan Card Scheme for crop cultivation / purchase / construction of 2. Overall sanctioned limit : Rs Sub-limit : Cash credit for short term production credit year / Season / Purpose Amount Drawing limit a) 1 st year/kharif b) 1 st year/rabi c) 2 nd year d) 3 rd year e) 4 th year f) 5 th year Term Loan : Rs.. For (purpose) TERM LOAN NO /Purpose Amount Drawing limit a) Term loan-i b) Term loan-ii c) Term loan-iii d) Term loan-iv 4. Last date of renewal of limit 5. Disbursement : a) Cash credit under Short term production credit by cheque / with -drawal / credit card etc.

12 b) Term loan I By banker s cheques/ pay order/ cash in case of necessity. c) Term loan II. By banker s cheques/ pay order/ cash in case of necessity. d) Term loan III By banker s cheques/ pay order/ cash in case of necessity. e) Term loan IV By banker s cheques/ pay order/ cash in case of necessity. 6. Repayment : a) Cash credit under Short term production credit by 12 months from the date of consecutive debit. b) Term loan I By no of monthly/ half yearly installments towards principal plus interest due. c) Term loan II By no of monthly/ half yearly installments towards principal plus interest due. d) Term loan III By no of monthly/ half yearly installments towards principal plus interest due e) Term loan IV By no of monthly/ half yearly installments towards principal plus interest due 7. Security : a) Primary : i. Hypothecation of crop both standing and future. ii. Hypothecation of livestock & assets created out of bank loan b) Additional : i. As per Agricultural Credit Operation Act Mortgage / Hypothecation of acre land under Mouja. Dag No.. Khaitan No.... ii. Personal Guarantee of Sri / Smt Whose present net worth is Rs.. 8. Interest a) For short term production credit (cash credit) rate of interest. % p.a. payable halfyearly / yearly. The rate of interest is simple in nature up to due date. b) For term loan the rate of interest % p.a. above/ below the BR i.e..% p.a. payable half- yearly/ yearly rest. c) Interest rate is subject to change as per RBI / H.O. guidelines. Interest incentive will be available for the prompt paying borrower for production credit loan. the rate of interest incentive is subject to change as per directive of GOI / RBI. 9. Insurance a) Crop Insurance (NAIS) to be done as per Govt. of India order at own cost of the borrower. b) Insurance of assets created out of bank loan to be done at own cost of the borrower with bank clause. c) Interest rate is subject to change as per RBI / H.O. guidelines. d) Personal insurance coverage of the borrower under Personal Accident Insurance Scheme (PAIS) is also to be done. 10. Other terms & conditions a) Bank officials / representatives will be at liberty to inspect the farm and assets at any time. b) Bank will realize inspection / supervision charges minimum Rs. per year.

13 c) Card is to be produced at the issuing branch for renewal within 12 months. Card will remain valid for maximum 5 years subject to yearly renewal. d) All the banking transactions are to be done with this branch and no asset can be charged to other bank / institution / person without written permission of the bank. e) This card is the property of the bank and is to be deposited unconditionally to the bank on demand. f) In case of loss / theft of the card written intimation to be given to the bank and a duplicate card is to be collected at own cost. Bank will not remain liable for any loss / damage for the lost card. g) Withdrawal is restricted up to sanctioned limit. h) Related expenses, if any, of this scheme may be realized by the bank from your account. i) Bank may withdraw the facilities of this account for any of the under-mentioned reasons : i. Failure to abide by the rules of this loan. OR ii. Violation of accepted terms & conditions for any reason. OR iii. Declaration of borrower s bankruptcy or otherwise by competent court of law for any reason. OR iv. Death of the borrower. OR v. For any other reason which bank may deem sufficient for withdrawal of the facilities. j) A card (with passbook) will be given for withdrawal of sanctioned amount k) Drawal will be allowed in one or more instalment(s) according to above mentioned loan sub-limit. Maximum loan limit will be restricted up to Rs l) Bank may add/ alter/ change any terms and conditions in future in case of necessity to protect the bank interest. m) Sanctioned amount can be withdrawn from the concerned branch only with specialized withdrawal slip on production of card & passbook. n) No other person excepting the borrower will be allowed to withdraw the money. If you are agreeable to the above mentioned terms and conditions then please put your signature as a token of acceptance on the copy of this sanction letter. Yours faithfully, Manager I have read all the above-noted terms & conditions and agreed to accept the sanction. Date: Signature of the borrower KCC-Kisan Card

14 UNITED BANK OF INDIA.BRANCH PRE-SANCTION CUM PROCESSING SHEET 1 Name APPLICANT-I APPLICANT-II APPLICANT-III 2 Father/Husband s name APPLICANT-I APPLICANT-II APPLICANT-III 3 Address of Applicant-I 4 Phone/mobile no 5 Age APPLICANT-I APPLICANT-II APPLICANT-III 6 Caste OBC/SC/ST/GEN 7 Whether belongs to minority Yes/ no 8 Land holding Home stead.acre cultivable.acre Out of which.acre irrigated Water area.acre 9 Source of irrigation Own STW/Tank/Govt DTW/ cannel water. 10 Existing Cropping pattern Kharif Rabi Mention crop with acreages 11 Proposed Cropping pattern Mention crop with acreages

15 --- : 2 : Loan opted for Short term production loan Term loan -I Term loan-ii Term loan-iii Term loan-iv TOTAL Requirement Credit officer s report Requirement for short term production credit Ist year Items are a Scale of financ e Total cost of cultivatio n Consumptio n loan(10% of column-4 Maintenanc e of existing farm assets(20% OF CL-4) TOTAL x3= = 7 A.kharif paddy Maize Jute Vegetabl e B.Rabi Wheat Potato Boro paddy Oil seeds

16 Vegetabl e

17 1 ST Year requirement (A+B)= Year --- : 3 : --- Fixation of Drawing limit ( year wise) Requirement for ST Loan Add 10% of col-2 for escalation of scale of finance Total Drawing limit =4 5 1 st year NA kharif(a) 1 st year Rabi(B) End of 1 st year (A+B) 2 nd year 3 rd year 4 th year 5 th year Maximum permissible bank finance for short term production credit=(x) NA NA Term loan Requirement Items Purpose Project cost Margin Bank loan Term loan -1 Term loan-ii Term loan-iii Term loan - IV Total Total Maximum permissible bank finan ce = (X+Y) (Y)

18 --- : 4 : --- Sanctioned Overall Limit : Rs. Sub-Limit : a) ST production credit : b) Term loan-i : c) Term loan -II : d) Term loan-iii : : e) Term loan-iv : TOTAL : Margin a) For production credit : Nil b) For Term loan Security Primary : a) Hypothecation of Crop both present & future. b) Hypothecation of assets created out of Bank loan. c) Charge/ mortgage of land where immovable assets are created. Additional : a) Charge of.. acre of land bearing Plot Nos of Mouza.. as per the Agricultural Credit Operation A/c. b) Personal guarantee of. having net worth of Rs Documents to be obtained 1) Application forms with photograph : 2) Land Possession Certificate : 3) Duly accepted Sanction Letter : 4) Pronote : 5) Hypothecation of crop / Charge of Land : 6) Vernacular : 7) Disclosure Declaration : Signature of R.D.O. / Credit Officer Signature of Manager Date : Date :

19 UNITED BANK OF INDIA Head Office : 11, Hemanta Basu Sarani, Kolkata Branch Application for UBI Kisan Credit Card The Manager, United Bank of India Photograph Branch Dear Sir, I hereby apply for UBI Kisan Card for the purpose of my farm credit and furnish below the necessary particulars : 1. Full Name (Block Letters) : 2. Age : 3. Father s/husband s Name : 4. Full Address : Village. Post Office.. Gram Panchayet... Block.... Police Station.. District.. State Particulars of land holding (furnish certified copies of record of rights) Mouza J.L. No. Dag No. Khaitan No. Nature of Right Total Acreage Of which Irrigated Indicate source of Irrigation contd..2

20 --- : 2 : Particulars of existing liabilities (furnish certified copies of record of rights) Agency a) Agricultural Credit Society b) Land Dev. Bank c) Govt. Agency(ies) d) Banks e) Other Creditors Amt. outstanding (Rs.) Of which overdue (Rs.) Purpose of borrowing Security offered Instalment Amount payable during the Year (Rs.) 7. Particulars of Farm Equipment owned Equipment Description Date of purchase a) Plough Cattle b) Dairy Cattle c) Oil Engines / Pump set / Electric Motor d) Power tiller / Tractor e) Transport Vehicles f) Other (specify) Original cost Present condition 8. Proposed crops to be grown Crops proposed to be grown Kharif a) b) c) Rabi d) e) f) Term loan g) Term loan-i h) Term loan-ii i) Term loan-iii j) Term loan-iv TOTAL Acreage to be Credit requirement per Total covered acre Irrigated/Rainfed Irrigated/Rainfed requirement contd..3

21 --- : 3 : Security proposed to be offered i) Charge on crop : ii) Charge on land : iii) Surety / Mortgage on land : a) Particulars : b) Value / Worth : I hereby declare that the particulars given above are true and correct to the best of my knowledge and belief. I hereby authorize the Bank to disclose all or my particulars or details or information relating to my loan accounts with the Bank to any other financial institution Government or any agency (ies) as may be considered necessary or desirable by the Bank. It will be in order for the Bank to disqualify me from receiving any credit facilities from the Bank in case it is proved that the declarations of my outside borrowings made above contain misrepresentation of facts. I hereby declare that I have no borrowings for the stated purpose from any other agency on the date of application. I have gone through the UBI Kisan Card Scheme of United Bank of India and the rules, terms and conditions framed there under and agreed to undertake to act in conformity with the same. I also agree and undertake to obey and abide by all orders / directions, rules given or made or framed by the Bank from time to time in connection with the said UBI Kisan Card Scheme. Enclo : i) Scale of finance (For Crop. cultivation) ii) Scheme (for other purpose) Yours faithfully, Applicant s Signature Place : Date :.