Is Yes Bank open to MSME OTS post-reconstruction?

Yes, materially more open than pre-reconstruction. The Stressed Assets Group has an explicit mandate to resolve legacy accounts; well-documented OTS proposals typically get responsive committee review.

Where do I file a Yes Bank OTS?

Directly with the Stressed Assets Group vertical for accounts above threshold. Small-ticket cases file with Regional Collections Head. Verify current SAG mapping through the branch.

Does Yes Bank accept structured OTS?

Yes for secured cases with clear source-of-funds — typically 3–4 tranches over 4–6 months.

How quickly does Yes Bank decide?

60–150 days on clean files. SAG-cleared cases are relatively predictable once documentation is complete.

Yes Bank · Stressed Assets Group

Yes Bank MSME Loan Settlement

Active resolution mandate at SAG
Committee-driven approvals per exposure band
Openness to OTS higher than pre-reconstruction era

Free Case Assessment Talk to a Consultant

Yes Bank, post-reconstruction, has been actively resolving its stressed MSME book. Settlement openness has increased materially with structured stressed-assets processes and defined committee approvals.

The Stressed Assets Group (SAG) is the effective owner of most MSME NPA files above defined thresholds. SAG has a strong internal push to resolve legacy accounts — well-drafted OTS proposals typically get responsive committee review.

Down-payment 15–25% is standard; balance windows 60–120 days. SARFAESI action executed on secured cases post-180 days NPA.

Free Assessment

30-minute confidential case review

A senior consultant reviews your outstanding, NPA stage and options — no obligation, no cost. All conversations are covered by NDA.

• Waiver band estimate for your case
• Best-fit authority / branch to file at
• Risk of SARFAESI / auction escalation
• Documentation checklist

Yes Bank OTS Policy — What Actually Governs Your Case

SAG post-reconstruction is a materially more receptive counterparty than pre-reconstruction Yes Bank. Files that document clean source-of-funds and structure close at the top of the band.

Post-reconstruction stressed-assets policy with structured committee approvals
Openness to OTS higher than pre-reconstruction era
Down-payment 15–25%; balance 60–120 days
SARFAESI action executed on secured cases post-180 days NPA

Yes Bank Observed Waiver Bands by NPA Stage

NPA Stage	Observed Yes Bank Waiver Band	Down-Payment	Balance Window
Sub-standard	40–55%	15–25%	60–90 days
Doubtful	55–70%	15–20%	60–120 days
Loss Asset	60–78%	15–20%	up to 6 months
Post-SARFAESI 13(4)	50–72%	20–25%	60–90 days

Yes Bank Settlement Process — Step by Step

Step 1
Confidential Assessment
Case review — outstanding, NPA stage, security cover, promoter exposure. 30-minute consultation.
Step 2
Documentation & Hardship File
3-year financials, bank statements, GST, sanction letters, hardship narrative and source-of-funds evidence.
Step 3
OTS Proposal Drafting
Structured proposal referencing RBI framework, RVS working, precedent cases and payment schedule.
Step 4
Bank Submission
Proposal filed with the right authority — SAM branch / SARB / SAG / Regional Collections Head.
Step 5
Committee Negotiation
Follow-up, counter-offers, precedent deployment and final waiver / structure negotiation.
Step 6
Sanction & Payment
OTS sanction letter, down-payment, balance tranches, and receipt reconciliation.
Step 7
No Dues & Closure
No Dues Certificate, security release, CIBIL update, guarantor discharge.

Yes Bank Recovery Approach & Escalation Ladder

Yes Bank Stressed Assets Group (SAG) handles MSME NPA cases above defined thresholds. SAG vertical head is the effective approver on larger MSME OTS.

SME Collections — routine engagement
Regional Collections Head — small-ticket OTS
SAG Vertical — most MSME NPA files
SAG Head — material waivers and structured OTS

SARFAESI at Yes Bank — Practical Realities

Yes Bank SARFAESI cadence — 13(2) at 90–180 days NPA. Reply drafts pointing to a filed SAG proposal typically freeze escalation.

Auction stays available with SAG endorsement; branch-level filing rarely holds an auction on its own.

Eligibility

Account classified as SMA-2, NPA sub-standard, doubtful or loss asset
Not tagged as wilful default or fraud
Realistic source of funds for at least the down-payment tranche
Willingness to sign a full and final settlement with the bank
Promoter/guarantor cooperation in documentation and negotiation
No parallel criminal / recovery proceedings that block settlement

Standard Documentation

• Latest sanction letter and all amendments / renewals
• 3-year audited financials (P&L, balance sheet, notes)
• Latest GST returns (12 months) and income-tax returns
• Complete bank statements — 24 months across all lenders
• CIBIL commercial and consumer reports (self and guarantors)
• Hardship narrative — cause and consequences of stress
• Source-of-funds evidence for OTS payment
• Security valuation report (secured cases)
• SARFAESI notices, DRT filings, correspondence trail

Bank-Specific Documents

• Yes Bank sanction letter and NPA classification
• Yes Bank Statement of Account (24 months)
• SAG mapping confirmation (from branch)
• 13(2) / 13(4) notices from Yes Bank, if issued

Yes Bank OTS — close-out window 60–150 days

Week 1–2
Assessment
Case diagnosis, document collection, hardship narrative drafted.
Week 3–4
Proposal Filed
OTS proposal submitted to competent authority with all annexures.
Week 5–10
Negotiation
Committee cycle, counter-offers, RVS reconciliation.
Week 11–16
Sanction & Payment
Sanction letter, down-payment, balance tranches.
Week 17–20
Closure
No Dues Certificate, security release, CIBIL update.

Settlement Calculator (Indicative)

Rough waiver band based on NPA stage. Actual outcome depends on bank, RVS, DPD and negotiation.

Outstanding (₹)NPA Stage

Estimated waiver band: 55%–70%

Indicative payable: ₹15,00,000 – ₹22,50,000

OTS Eligibility Checker

Quick 4-question check. Not a formal opinion.

Account is NPA (Sub-standard / Doubtful / Loss) or SMA-2 Account is tagged Wilful Default / Fraud Realistic source of funds for down-payment Promoter / guarantor cooperation available

Needs review — some flags reduce OTS eligibility. Speak with a consultant.

Case Studies

Trading — ₹2.9 Cr at Yes Bank SAG, Mumbai

Mumbai trading firm, ₹2.9 Cr NPA. SAG cleared OTS at ₹1.35 Cr (53.4%) with 20% on sanction and 3 tranches over 90 days.

Manufacturing — ₹5.4 Cr Doubtful

Pune manufacturer, ₹5.4 Cr doubtful. OTS at ₹2.6 Cr (51.8%) with 20% on sanction and 4 tranches over 6 months.

Retail — ₹1.6 Cr

Delhi retail SME, ₹1.6 Cr NPA. OTS at ₹78L (51.2%) with 20% on sanction and balance in 90 days.

Client Voices

"Filed clean OTS with the right authority. Sanctioned in 4 months at 62% waiver."
— Rajesh K., Auto Ancillary Promoter

"Timely SARFAESI reply and structured OTS saved the shop unit. Closed with No Dues in 5 months."
— Anita S., Textile Trader

"Post-13(4) proposal filed with SAM branch — auction stayed and settled at 68% waiver."
— Vikram J., Food Processing

Frequently Asked Questions

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