YES Bank, a leading private sector lender has announced to further hike its savings account rate from 6% to 7%. The bank was among the first ones to deregulate its savings account rates.

As the savings account rates have been deregulated, the banks can now decide the rate they want to offer to their customers. Small banks are using this opportunity to lure people and to increase their customer base.

The bank has also increased the Non-Resident Savings Account deposit rate to 6% from 4% for deposits upto Rs. 1 lac. For deposits above Rs. 1 lac, the rates have been hiked to 7% from 4%.