Gadwal farmers now have a new way to get long-term loans for agricultural needs like tractors, harvesters, and other equipment. These loans are offered through the local Primary Agricultural Cooperative Society (PACS), which operates under the District Cooperative Central Bank (DCCB).
Pothula Madhusudhan Reddy, President of Single Window, announced the scheme at a press conference on Sunday. He explained that farmers often struggle to get loans from regular banks. Because of this, many turn to private moneylenders who charge very high interest rates. In some cases, farmers have lost their land after failing to repay these costly loans—especially in years when crops fail.
To solve this problem, the Single Window has launched a new support program. Under this scheme, small and marginal farmers can mortgage up to three acres of land and borrow up to ₹10 lakh at a very low interest of just ₹1.
The loan must be repaid in 14 installments over seven years. Farmers will pay ₹1.1 lakh every six months. By the end of the loan term, the total repayment will be around ₹15.4 lakh, including both principal and interest.
To qualify for the loan, farmers need a minimum CIBIL score of 650 from the DCCB Bank. Also, they must not have any unpaid crop or long-term loans from other banks. If they do, those loans must be cleared before applying.
Applicants must submit the following documents:
– Pattadar Passbook (Title Deed)
– Registered sale deed and revenue documents (for purchased land)
– Legal heir certificate and updated documents (for inherited land)
– Old title deeds and passbooks
– Revenue records like Khata, Pahani, and Record of Rights (ROR) from as far back as 2008–09
All documents will be carefully reviewed. If everything is in order, the application will be forwarded to DCCB Bank. Once approved, the loan amount will be credited to the farmer’s bank account within one month.
In addition to land mortgage loans, farmers can also apply for loans to buy equipment under the Agriculture Infrastructure Scheme. These loans come with a 9% interest rate. However, farmers who repay on time will get a 3% subsidy from the Central Government, bringing the effective interest down to just 6%, or 50 paise per ₹100 per month.
This initiative, guided by Mahabubnagar District DCCB Bank Chairman Mamilapalli Vishnuvardhan Reddy, aims to reduce farmers’ reliance on moneylenders and provide them with a safe and affordable credit system.
Mr. Madhusudhan Reddy encouraged all eligible farmers to visit the Single Window office for help with the application process and to take full advantage of this opportunity.
