Big news from the bank - Rules are changing from depositing money to minimum balance, from October 1

YES Bank Announces New Rules for Merchant Accounts: Changes in Cash Deposits, Minimum Balance, and Debit Card Charges from October 1

YES Bank has announced major changes in its fee and charge structure for Merchant Easy and Merchant Prime current account holders. These new rules will come into effect from October 1, 2025. The revisions will impact key areas such as cash deposit limits, average monthly balance (AMB) requirements, non-maintenance penalties, and debit card charges.

New Cash Deposit Rules

• Merchant Easy Account: Customers can deposit up to 12 times their previous month’s AMB, with a maximum limit of ₹1.5 crore, free of charge.

• Merchant Prime Account: The free cash deposit limit is 15 times the previous month’s AMB, capped at ₹5 crore.

Deposits beyond these limits will attract a charge of ₹4 per ₹1,000, with a minimum of ₹50 per transaction.

Additional charges include:

• A 2% fee on deposits of notes valued at ₹50 and below, if the total exceeds ₹10,000.

• A monthly coin deposit limit of ₹1,000; amounts beyond this will be charged at 5%.

Minimum Balance and Penalty Rules

YES Bank has revised the average monthly balance (AMB) requirements:

• Merchant Easy: Minimum AMB of ₹25,000.

• Merchant Prime: Minimum AMB of ₹50,000.

Non-maintenance penalties:

• A ₹250 penalty for shortfalls.

• If the balance falls to less than half of the required AMB, the penalty increases to ₹500.

Transaction and Payment Services

The bank has also clarified its rules for fund transfers and payment services:

• RTGS, NEFT, and intra-bank transfers will remain completely free.

• IMPS transactions: The first five transactions per month are free; beyond that, charges range from ₹2.5 to ₹15, depending on the amount.

• Cheque book: Up to 100 pages free; additional pages will be charged at ₹2 per leaf.

• Demand drafts issued at YES Bank branches will remain free of cost.

Revised Debit Card Charges

Every merchant account will now come with the Element Business Debit Card:

• Annual fee: ₹349.

• International ATM withdrawal: ₹150 per transaction.

• International balance inquiry: ₹20 per inquiry.

• Domestic ATM usage:

  • At other bank ATMs: 3 free transactions in metro cities and 4 free transactions in non-metro locations.

  • After the free limit: ₹23 per financial transaction and ₹10 per non-financial transaction.

What Account Holders Should Know

YES Bank has emphasized that all charges mentioned are exclusive of taxes and are subject to change from time to time. The bank has urged Merchant Easy and Merchant Prime account holders to carefully review these updates to avoid additional fees and penalties starting October 1.

The changes reflect a broader move by banks to restructure current account rules, balancing the needs of businesses while covering operational costs. For merchants who handle large cash transactions, understanding these revised limits and charges will be critical to managing day-to-day banking smoothly and cost-effectively.