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There is definitely lots of Cydia tweaks that alter the functionality of banner notifications, but most of them feature a ton of Settings and often times cost money. If you are looking for a simple solution to making banner notifications less annoying then you will want to check out the BannerSwipe Cydia tweak.
The BannerSwipe Cydia tweak allows you to dismiss banner notifications by simply grabbing them (tapping and slightly pulling down) and then swiping them away. Upon doing this the banner notification will slide out of view with a nice little fade animation.
There is not settings associated with BannerSwipe and no icons will be added to your homscreen. You simply install the tweak and you can begin using it right away. I tested the tweak on my iPhone 5 and can confirm it works without any hiccups.
If you are interested in BannerSwipe you can find it on the ModMyi repo for free. Let us know what you think of the tweak in the comments.