Difference Between Swift Code Number and IBAN

IBAN and Swift Codes are different codes used by the banks all over the world to reduce transcription errors, easy identification of bank accounts and for automatic, safe and cheap transfer of funds.

IBAN stands for International Bank account number and it is used for the processing of cross border transaction. IBAN identifies the Country, financial institution and individual bank account, Mostly IBAN is used in the European countries and it’s format of  is different for each country. IBAN is always used with BIC Number and it is the extantion of sort code and account number and contain little more information.

One needs to provide an IBAN to send money to European union countries because they have adopted the use of IBAN for fund transfer. But this is not the case if you are transferring money within the country (for example for sterling payment in United Kingdom) you need only sort codes and account number. you can check the IBAN with the help of IBAN Checker below.

Swift Code is standard format of business identifier codes approved by ISO.  Swift codes or BIC Codes are required to identify the banks anywhere in the world for money transfer. This unique ID identifies both financial and non-financial institutions and consists of 8 or  11 characters which exactly identifies the particular bank and its branches.

People need swift codes to transfer funds  specially in case of an international wire transfer. These codes are issued by SWIFT. SWIFT stands for society for interbank financial telecommunication,  which provides communication platform between banks  to exchange financial information.

Read more about swift codes click here

 

 IBAN Checker : Validate the IBAN by checking it in the search box below