Difference Between Swift Code And IFSC Code

Swift code and IFSC code are identification codes. These identifying codes are used by financial institutions, primarily banks, for the purpose of electronic money transfer. Which implies that when you transfer cash from one bank to another, you have to mention these codes. Swift code is used for global transfer of cash, while IFSC codes are needed for national transfer of cash i.e. transfer of cash within India from one bank to another.

SWIFT code

SWIFT code stands for the code 'Society for Worldwide Interbank Financial Telecommunication' A SWIFT code is a universal way for the worldwide identification of banks. The SWIFT code is an alphanumeric code of 8 or 11 characters that identifies financial institution uniquely. A SWIFT code's first four characters are letters and specifically refer to the bank. The country code is the next two characters, and the last two characters are the location code. If a SWIFT code is 11 characters, this implies that a three-digit code has been added by the bank to indicate a bank's particular branch.It is the normal Bank Identifier Codes (BIC) format that is approved by the International Standard Organization (ISO) and constitutes a specific branch of a bank or bank. The aim of these codes is to transfer cash between banks, particularly for global wire transfers, and to exchange other messages between banks.

IFSC code

IFSC is the Indian Financial System Code. If you're in India and want to move cash within the nation from one bank to another, you can do it readily once you understand both banks ' IFSC codes. IFSC needed you to use RTGS, NEFT or CEMS, which are various RBI-developed payment systems. IFSC is an 11 digit code The first four alphanumeric code characters reveal the bank's name. The fifth character was held zero in order to accommodate branch development. The last six characters in the code tell the bank's precise place. The IFSC code is even printed on the check books published by all banks and by looking at the check slip you can understand the IFSC code.

Difference Between Swift Code And IFSC Code

1. Swift Code Stands for ‘Society for Worldwide Interbank Financial Telecommunication’ whereas IFSC stands for ‘‘Indian Financial System Code’
2. SWIFT code is for international cash transfer at the same time as IFSC code is used for home cash transfer (within India)
3. SWIFT code has been developed with the aid of International Standard Organization (ISO) even as IFSC code has been advanced by Reserve Bank Of India (RBI)
4. SWIFT code has 8 or 11 characters even as IFSC codes contain eleven characters