YES Bank Crisis: Mobile, Net Banking Go Down After RBI Caps Withdrawals Limit at Rs 50,000

Hours after the RBI put YES Bank on effected moratorium from March 5 to April 3 and imposed a cap on the private lender to pay more than Rs 50,000 to the depositors, the mobile banking app and net banking website services went unavailable.

YES Bank Net Banking. (Photo Credit: File)

Mumbai, March 5: Hours after the Reserve Bank of India put YES Bank on effected moratorium from March 5 to April 3 and imposed a cap on the private lender to pay more than Rs 50,000 to the depositors, the mobile banking app and net banking website services went unavailable. The employees of the private bank lender even complained that they did not receive any intimation.

According to a report, published in the Business Insider, the bank emmployees did not receive any intimation about the latest Reserve Bank's restrictions. One of the employee said, "There has been no intimation to employees as well. after the notification there is no email or Whatsapp notification from the management." YES Bank Crisis: Reserve Bank Caps Withdrawals at Rs 50,000, Appoints Former SBI Chief Financial Officer as Administrator.

Adding more, the employee said that he tried to withdraw the cash at around 8 pm, but the transaction failed at the ATM. Stating more, he said, as the news website quoted, "I tried to withdraw cash at around 8:00 pm but couldn't. Then tried to net banking and that failed too. That is when I realised there is something wrong."

There were even some sources who claim that the YES bank might limit IMPS, NEFT, RTGS and fund transfers in the coming days. However, experst opine that the downtime is likely temporary and the issue would be resolved soon.

Earlier in the evening, RBI had imposed a cap on the private lender to pay more than Rs 50,000 to the depositors during the moratorium period. The new cap is applicable for all the depositors who have multiple accounts with the bank.

The Reserve Bank has imposed the restrictions on the leading private lender after it found that YES Bank has been grappling with mounting bad loans. Sources claimed that, along with other financial institutions, State Bank of India would be helping capital-starved Yes Bank to bail-out. It has also superseded the board of YES Bank with immediate effect. The apex bank had also appointed former SBI chief financial officer Prashant Kumar as administrator for Yes Bank.

(The above story first appeared on LatestLY on Mar 05, 2020 11:52 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).

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