Yes Bank has announced a comprehensive revision of charges for its salary and defence-related accounts, set to take effect from October 1, 2025. The changes will impact Smart Salary accounts and Yes Vijay accounts, including Advantage, Exclusive, Defence Pension, and Agniveer variants.

New Debit Card Structure

Under the revised structure, Smart Salary Advantage account holders will receive RuPay debit cards with a joining fee of ₹199.00. Higher-tier variants will be issued Engage or Explore cards, with conditional fee waivers available.

Fee Waiver Conditions

YES Bank has introduced conditions for fee waivers on these accounts. Account holders can avoid charges by maintaining either:

• A minimum monthly salary credit of ₹10,000.00, or
• An average monthly balance of ₹10,000.00

ATM Transaction Limits and Charges

The bank will continue to offer free ATM transactions at other banks, with limits varying by location:

• Metro areas: Up to three free transactions per month
• Non-metro areas: Up to five free transactions per month

Beyond these limits, charges will apply as follows:

• Financial transactions: ₹23.00 per transaction
• Non-financial transactions: ₹10.00 per transaction

For international cash withdrawals, a fee of ₹150.00 per transaction will be levied.

Cheque Return Charges

YES Bank has also outlined charges for returned cheques:

• First instance: ₹500.00
• Subsequent instances: ₹750.00

Account Reclassification

Accounts without salary credits for three consecutive months may be reclassified as regular savings accounts. These accounts could then be subject to non-maintenance charges of up to ₹750.00.

Yes Vijay Account Benefits

Yes Vijay account holders will receive:

• Free Element and Engage debit cards
• Free cash transactions up to ₹1,00,000.00 or two transactions monthly
• Unlimited free transactions at YES Bank ATMs
• Free NEFT/RTGS services

Special Provisions for Defence and Pension Holders

Defence and pension account holders will continue to enjoy unlimited free transactions at YES Bank ATMs and free NEFT/RTGS services.

This revision in charges reflects YES Bank's effort to streamline its account offerings while providing differentiated services based on account types and customer segments. Customers are advised to review these changes and ensure they meet the criteria for fee waivers to optimize their banking experience with YES Bank.

Japanese banking giant Sumitomo Mitsui Banking Corp (SMBC) is set to make a substantial investment in Yes Bank , signaling a major boost for the Indian private sector lender. The planned infusion of Rs 16,000 crore, through a combination of equity and debt, aims to strengthen Yes Bank's balance sheet and improve its financial position.

Investment Structure

The Rs 16,000 crore investment from SMBC will be structured as follows:

This strategic move is separate from SMBC's earlier commitment to pay Rs 13,500 crore to existing shareholders for acquiring a 20% stake in Yes Bank.

Regulatory Approval and Future Plans

SMBC has received approval from the Reserve Bank of India (RBI) to acquire up to a 24.99% stake in Yes Bank. The Japanese bank is working on establishing a wholly owned subsidiary to potentially acquire a majority stake in the future.

Additional Considerations

• SMBC is seeking promoter status in Yes Bank
• The company is exploring options to increase its stake by an additional 4.99%
• Negotiations with private equity investors Advent and Carlyle are underway

Potential Impact

The low-cost funding from SMBC is expected to have a positive impact on Yes Bank's financial metrics. Notably, it could help improve the bank's net interest margin, which stood at 2.5% as of the most recent reporting period.

This significant investment by SMBC underscores the growing interest of international financial institutions in India's banking sector and could potentially reshape Yes Bank's future trajectory in the competitive Indian banking landscape.