Bank Sort Codes
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Bank sort codes are numbers assigned to a bank or branch for internal purposes. This coding system helps banks to complete transactions easily because there is no need to write the complete address of branches or banks. A customer should furnish the bank sort code and account number to allow automatic processing of deposits or transfers from the same bank or third party banks.[br]
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How Bank Sort Codes are Used
Most banks worldwide print the bank sort codes of the initial branch on checks and debit cards. In an 18-digit debit card, the bank sort code lies between the initial four digits and the final eight digits of the account number. If a customer moves from one branch to another, the bank sort codes will change.
Bank Sort Codes in the UK
The initial digits of bank sort codes are assigned to settlement members of Belfast Bankers’ Clearing Committee and the Cheque and Credit Clearing Company. These codes are of six digits with three pairs, separated by hyphens. For example in 54-21-38, 54 indicates that the bank is a branch of NatWest. The Cheque and Credit Clearing company manages the clearing system in Great Britain, under the aegis of Association for Payment Clearing Services.[br]
Bank Sort Codes: ISO 9362 or SWIFT
ISO 9362, also known as BIC Code, SWIFT-BIC or SWIFT ID, is a standard format of Bank Identifier Codes (BICs) approved by the ISO (International Organization for Standards). This unique identification code refers to a particular bank. Banks use these codes to transfer money between banks, particularly for international wire transfers. Swift codes are of eight or 11 characters. The initial four characters, only alphabets, refer to the bank code and the subsequent two letters refer to the country code. The last two characters refer to the location of the bank. Some swift codes contain 11 characters. The extra three characters refer to branch code. If the code is of eight digits, one can assume that it refers to the primary branch or the head office of the bank.
It will take weeks for a person to receive a wire transfer from the US or UK without Bank Sort Codes and SWIFT Codes. With the help of SWIFT (Society for Worldwide Interbank Financial Telecommunication) and Bank Sort Codes, people can send and receive the money within three working days.
