Dear Reader, In this article you will learn about different types of codes used in Banking. These codes are used to identify a particular bank. With the help of these codes, you can perform various functions related to e-banking like online transaction, cheque presentation, etc. Using these codes, one can identify the address of a particular branch and other related information.
- IFSC Code stands for Indian Financial System Code.
- This code is an alpha-numeric code that is used to uniquely identify a bank branch participating in the electronic payment systems in India like Real Time Gross Settlement (RTGS) and the National Electronic Fund Transfer (NEFT).
- It is an 11 digit code.
The components of IFSC code are:
- First 4 letters represent bank code.
- The 5th letter is a ‘0’(Zero).
- last six letters represent bank branch.
For example: IFSC code of a particular branch of ICICI bank may look like ICIC0001207.
- MICR stands for Magnetic Ink Character Recognition.
- The magnetic ink character recognition line is printed using special ink, which is sensitive to magnetic fields that allow computers to read the printed information.
- This code is present at the bottom of cheques and other vouchers.
- MICR code is 9 digits numeric code used to identify a bank participating in electronic clearing scheme.
The components of MICR code are:
- First 3 digits represents city code
- The second 3 digits represents Bank code
- The last 3 digits denotes bank branch.
For example:MICR-no of one of the Indian Bank branches in Chennai is 600019004.
- SWIFT standS for Society for Worldwide Inter bank Financial Telecommunication.
- It is a unique identification code for both financial and non-financial institutions approved by the International Organization for Standardization (ISO).
- SWIFT codes are used mainly for international money transfer between banks.
- It is a standard format of Bank identifier Codes (BIC)
- It is an 8 or 11 digit code.
The components of SWIFT code are:
- First 4 characters represent bank code.
- Next 2 characters represent ISO 3166-1 alpha-2 country code.
- Next 2 characters represent location code.
- The last 3 characters represent branch code.
For example: The SWIFT code of one of the branches of Indian Bank in Chennai is IDIBINBBASA.
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