SWIFT is an international interbank organization that ensures the successful completion of a transaction when transferring money from one country to another. Using the SWIFT identifier, the money is sent to a specific bank branch where the beneficiary's money account is located.
Function and operation of SWIFT
SWIFT operates as an international community in which each of the participants has their own unique identifier. Today SWIFT codes are used by about 9000 banks registered in different countries. To make a money transfer, a community member today only needs to know this code and the recipient's personal IBAN identifier. With the use of SWIFT, about 2 million transactions are carried out daily, which are carried out in money or securities. Sometimes the SWIFT code is called BIC, SWIFT Code or SWIFT ID.
Generating the code
The SWIFT code is generated in accordance with the generally accepted standard ISO 9362. The code itself is an alphanumeric combination that looks like BBBB CC LL bb. Each of the sections represents a specific identifier that indicates the location of a particular bank.
In the first place of the code there are four numbers, alternating with letters to designate a specific bank or other financial institution. This parameter is key when sending a payment and must be specified exactly when making a transfer. The CC code identifies the country in which the beneficiary's bank is located. The alphanumeric country code is used in accordance with a specific ISO 3166 standard and can be obtained from employees of banking organizations. The LL code parameter defines the specific location of the payee. The last 3 digits of SWIFT specify the bank branch code. If the financial institution does not have departments, the code can be set as XXX.
Where to get SWIFT
As a rule, the SWIFT code must be issued by the bank when opening an account. You can also request an identifier when contacting the bank's subscriber service. Providing a SWIFT code in some cases is optional for a successful transaction, however, providing such information will significantly speed up the payment process.
Also, the SWIFT parameter can be found on the official website of the bank, which serves the recipient's account. If it is not possible to find out the required combination of numbers, there are special services for searching for SWIFT identifiers on the Internet. To find out the code on resources such as Routingnumbers or The swift codes, you just need to specify the address of the recipient bank.
