YES Bank has reduced interest rates on its savings accounts, aligning with recent moves by other banks after the Reserve Bank of India (RBI) cut the repo rate by 25 basis points to 6%.
The revised rates will apply from April 21, 2025.
Balances up to ₹10 lakh will now earn 3% per annum. Deposits between ₹10 lakh and ₹25 lakh will fetch 3.5%.
Accounts holding between ₹25 lakh and ₹50 lakh will earn 4%, while those above ₹50 lakh and below ₹100 crore will earn 5%.
The bank will continue to apply interest on incremental balances across slabs. For balances above ₹100 crore, customers need to contact the bank directly, the lender mentioned on its website.
CEO Prashant Kumar said the decision was taken during the Liability Committee meeting held on April 17.
He called it a “profitability-focused move” following the RBI’s rate cut, according to a Moneycontrol report.
“We aim for deposit growth to outpace loans to ensure stability,” Kumar said, adding that the bank is targeting 12–15% loan growth in FY26. Deposit growth is expected to slightly exceed loan growth to maintain a healthy credit-to-deposit (CD) ratio.
The bank plans to bring the CD ratio down to around 85%, from 86%.
YES Bank also offers MIBOR-linked savings accounts for certain customers. Rates remain subject to change at the bank’s discretion, the lender said.
The move follows similar cuts by other major banks. ICICI Bank trimmed its savings account interest rate by 25 bps on April 16, bringing returns on lower balances to 2.75%.
Axis Bank also revised its savings account rates on April 15.
HDFC Bank was among the first to cut savings rates after the RBI’s 25-bps repo rate reduction last week.
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