IFSC, MICR & SWIFT CODE

IFSC, MICR and SWIFT code

Banking Codes like IFSC, MICR and SWIFT help us enable a secure banking transaction. These codes are connected to the banking system to secure our transactions. These codes act as an address between two parties and help them to follow a particular path. Let’s discuss different codes used in the Indian banking system.

IFSC CODE

  • IFSC- Indian Finance System Code
  • Used in NEFT, RTGS, UPI, IMPS transactions
  • Used only in a domestic transaction
  • acts as a unique identifier for the bank branch
  • Every bank public or private has its IFS Code
  • Contains 11 characters ( Alphanumeric )

IFSC Code

    E.g. – SBIN0000456

MICR

  • MICR- Magnetic ink Character recognition
  • Identifies a bank and a branch participating in CTS (Cheque Truncation System) – Electronic way to clear the cheque using MICR code
  • One can locate the MICR code at the bottom of a cheque leaf, next to the cheque number ( See image below )
  • It is also normally printed on the first page of a bank savings account passbook
  • 9 Digit Numeric code
     
    MICR code of Bank

     

     MICR code on cheque

 

In the above case, 444002923 is MICR code

SWIFT CODE

  • Society for Worldwide Interbank Financial Telecommunication
  • Also known as BIC ( Bank Identifier Code)
  • Headquarter: La-Hulpe, Belgium
  • It is used to transfer money overseas
  • India 74th nation to join
  • 8 / 11 character code ( Alphanumeric)
     
    SWIFT code

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