KCC Loan Scheme In Cooperative Society Bank

Abstract

Kisan Credit Card is a credit card to provide affordable credit for farmers in India. The Kisan Credit Card (KCC) scheme introduced in August 1998 by the joint efforts of Government of India, Reserve Bank of India(RBI), and National Bank for Agriculture and Rural Development (NABARD) to help farmers access timely and adequate credit. This allows the farmers to have cash credit facilities without going through time-consuming bank credit screening processes repeatedly. Repayment can be re-scheduled if there is a bad crop season and extensions are offered for up to four years. The card is valid for five years and subject to annual renewals. Withdrawals are made using slips, cards and a passbook. It has emerged as an innovative credit delivery mechanism to meet the production credit requirements of the farmers in a timely and hassle-free manner. This scheme is under implementation in the entire country by the vast institutional credit framework involving Commercial Banks, RRBs and co-operatives and has received wide acceptability among banks and farmers. However, during the last 15 years of implementation, many impediments were encountered by policy makers, implementing banks and the farmers in the implementation of the scheme. Recommendations of various committees appointed by GoI and studies conducted by NABARD also corroborate this fact. It was therefore felt necessary to revisit the existing KCC Scheme to make it truly simple and hassle free for both the farmers and bankers. According to ministry of finance, Dept of Financial services, Govt of Indian Bank to review the Kissan Credit Card under the chairmanship of Shri T. M. Bhasin, CMD of Indian Bank to review the Kissan Credit Card to suggest changes to be made in the KCC Scheme to make it a Smart Card cum Debit Card.

Existing System

Here the existing system is a manual that doesnt maintain details with proper security and cant track details easily. It doesn’t allow the customer to check their profile in proper way which leads customer dissatisfaction. Does not provide option to download loan form. Existing system doesn’t contains functionalities of fast retrieval information such as customer details and maintenance of all the loan details so it involves lots of paperwork. Doesn’t user-friendly interface. Lots of time is required to manage customer info & details so it feels that existing system not accurate and therefore maintenance becomes very complicate. It used to take more time to find customers because there is required extra manual effort such as to hire candidate. Difficulty in generating different reports as per the business requirement

Proposed System

Interest rates and the loan details are also available at the mobile phones. Customer can apply for a loan and after approved it they can track their details from online. This system provides detail about the customers, their loan details, EMI details and its rate details. System provides download option to download different type of loan form in MS word document. Using with this system admin can find customer easily and it’s a paperless system so workload is reduced. The decision process becomes faster and more consistent. After registration and login customer can use the system easily and also customer can view any query about loan details as well as EMI details in their profile. So this system saves time. It provides good communication for the farmers. In this system there are used EMI(Equated Monthly Installment) calculators. Provides a facility to generate the reports very easily.

Architecture