An agriculture loan is an overdraft facility which could be used to meet the cost of farming, cultivation and working capital activities for agri-business and associated activities. This loan could also be used for buying cattle, purchase of equipment for farming and irrigation and other agricultural requirements.

Agriculture loans are generally low interest loans that farmers can avail to run their farming business more efficiently.

In India, Government banks, private banks, co-operative societies, rural and urban banks provide agricultural loans to farmers. Most banks offer Retail Agri Loan - Kisan Credit Card which is a specially designed credit card for farmers. It provides convenient credit for farmers to meet day to day farming requirements.

Another type of loan offered is the Long-Term Loan for agriculture & allied activities. This could be availed for larger expenditure like buying agriculture equipment, cattle etc. The repayment tenure differs with each lender. You can pay back the loan in convenient monthly/Half yearly/ Yearly instalments as per your budget.