What Is Bank SWIFT Code
You all have heard IFSC Code, MICR Code, Branch Code, and Bank Code but did you know about what is bank SWIFT code? we will learn in this article what is bank SWIFT code and for what purpose this code is used. Let’s see the information about this.
What Is Bank SWIFT Code
The long form of SWIFT code in society for worldwide interbank financial telecommunication. It is also called BIC code which means Bank Identifier Code.
SWIFT code is used to exchange money globally. In short, it is known as the identity of banks globally. SWIFT code is important when a person wants to send money from India to another country without this code global transaction is not complete.
SWIFT code is approved by the International Organization for Standardization (ISO). A unique code is approved for all banks and their branches that do international transactions.
SWIFT Code Transactions
Suppose company A is in the US and this company wants to send money to company B in India. Company B has its account in Allahabad Bank Bandra branch. So the SWIFT code of this branch is ALLAINBBBOB through this code company B can also send money to company B.
SWIFT code can be 11-digit or 8-digit Let’s understand with the above example.
Alla – Allahabad Bank
In – India
BB – Bombay
Bob – Bandra Branch
As shown above, the first four letters indicate the bank, the next two letters indicate the country, and the last two letters indicate the branch.
Sometimes the SWIFT code can be eight digits as well. The SWIFT code of the bank’s head office is eight digits
Advantages of SWIFT Code
1. Security –
SWIFT code transfers money globally. SWIFT code is a unique code of each bank, thus securing global transactions.
2. Faster Transactions –
If you have internet access and an account in a bank and that bank provides SWIFT code service, your global transactions are speeded up.
Difference between the SWIFT code and the IFSC code
Sometimes many people get confused about the IFSC code and SWIFT code. Let us see the difference between IFC code and SWIFT code which are very different from each other.
|SWIFT CODE||IFSC Code|
|1. Full form – Swift code full form is Society Form Financial Telecommunication.||The Full form of the IFSC code is the Indian Financial System Code.|
|2. Usage – swift code is used in global transactions.||IFSC code is used in transactions in India.|
|3. Availability – Code is not available by every bank.||IFSC code is available to every bank.|
|4. Swift code can be 8-digit or 11-digit.||IFSC code is 11 digit and it include numbers or alphabet and the last number is zero, it can be used in future use.|
|5. In SWIFT code bank name, country name, city name, branch names are arranged as follows||IFSC code contains the bank name and branch name|