Swift code and IFSC code are identification codes. These identification codes are used for the purpose of electronic money transfer between financial institutions, mainly banks. Which means one has to mention these codes when transferring money from one bank to another. Swift code is used for international money transfer, while IFSC codes are required for domestic money transfer i.e transfer money from one bank to another within India.
Also Read : IFSC Code Vs MICR Code
SWIFT code stands for ‘Society for Worldwide Interbank Financial Telecommunication’ code. A SWIFT code is a universal way of identifying banks throughout the world. The SWIFT code is an 8 or 11 alphanumeric characters code that uniquely identifies financial institution. The first four characters of a SWIFT code are letters and refer to the bank specifically. The next two characters are the country code, and the last two characters are the location code. If a SWIFT code is eleven characters, this means that the bank has added a three-digit code to denote a specific branch of a bank. It is the standard format of Bank Identifier Codes (BIC) which is approved by the International Standard Organization (ISO) and represents a particular bank or bank branch. The purpose of these codes includes the transferring of money between banks especially for international wire transfers and also used for exchanging of other messages between banks.
- Find a complete list of Swift codes : Here (International)
- Find a complete list of Swift codes : Here (India)
IFSC stands for ‘Indian Financial System Code’. If you are in India and wish to transfer money from one bank to another within the country, you can easily do it once you know the IFSC codes of both the banks. IFSC required whether you are using RTGS, NEFT or CEMS, which are different payment systems developed by RBI. IFSC is a 11 digit code The first four characters of this alphanumeric code disclose the name of the bank. The fifth character has been kept zero to accommodate expansion of branches. Last 6 characters in the code tell the exact location of the bank. The IFSC code is even printed on the cheque books issued by all banks and one can know the IFSC code by looking at the cheque slip. Here are some examples of IFSC codes.
- Find a complete list of IFSC codes : Here
Swift Code And IFSC Code: Difference Between Swift Code And IFSC Code
- Swift Code Stands for ‘Society for Worldwide Interbank Financial Telecommunication’ whereas IFSC stands for ‘‘Indian Financial System Code’
- SWIFT code is for international money transfer while IFSC code is used for domestic money transfer (within India)
- SWIFT code has been developed by International Standard Organization (ISO) while IFSC code has been developed by Reserve Bank Of India (RBI)
- SWIFT code has 8 or 11 characters while IFSC codes contain 11 characters