Question
Under KCC, farmers can avail short term loans up to 3
lakh at a simple interest rate of ___ on condition of timely payment.Solution
Farmers can avail short term loans at a simple interest rate of 4% on condition of timely payment. Interest Subvention up to 3% is given if the farmer repays the loan promptly, but in case of late payment, bank will charge interest rate of 7% on the loan amount.
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