SWIFT code (BIC)
An 8- or 11-character code that identifies a bank or institution in international payments, also called a BIC (Business Identifier Code).
What a SWIFT code is
A SWIFT code is a Business Identifier Code (BIC), the ISO 9362 standard identifier for banks and other institutions. Swift, the member-owned network banks use for financial messages, registers and publishes BICs. Senders include the code in an international wire transfer so the message reaches the right bank.
How it works
The code's parts identify the institution, its country and often its location, with an optional branch code at the end. When a business sends money abroad, its bank uses the beneficiary bank's BIC to route the payment message, often through correspondent banks.
- 01 · FIND The sender gets the beneficiary bank's SWIFT code, often from an invoice or the bank.
- 02 · SEND The sender's bank creates a payment message that names that code as the beneficiary's bank.
- 03 · ROUTE Swift delivers the message, and banks settle funds through accounts they hold with each other.
| Part | Length | Identifies |
|---|---|---|
| Party prefix | 4 letters or digits | The bank or institution |
| Country code | 2 letters | The country, per ISO 3166 |
| Party suffix | 2 letters or digits | Often the location, such as a city |
| Branch code | 3 characters, optional | A branch; XXX means the primary office |
An 8-character code points to the primary office; an 11-character code adds a branch code, where XXX also means the primary office.
When businesses use it
- Receiving payments from customers or partners abroad
- Paying overseas suppliers, contractors or subsidiaries by international wire
- Setting up payee details in treasury and accounts payable systems
- Giving banks the payee bank details they need to screen payments against OFAC sanctions lists
Cross River's international payments run over Swift and in-country local rails, with Fedwire for domestic USD transfers. Foreign exchange quotes are executable 24 hours a day, five days a week. See international payments at Cross River.