Transfers between countries are carried out daily in large and small amounts. If you make payments abroad, then sooner or later you will come across the following type of transfer.
Swift code. What it is? This code is part of the international payment system. Perhaps it is the most popular and widespread, since with it you can send money to another person who is located in almost any country.
In addition, this system is used by all countries engaged in international financial transactions. After all, it is very convenient. Thanks to the wide correspondent web, transfers can be sent in almost any currency.
Swift code. What it is?
This is the code that is assigned to each participant in the popular money transfer system. You can find it out at a bank or other financial institution.
Even well-known transfer systems, such as Contact, Western Union and others, do not have such a wide network of points of sending / receiving payments and cannot boast the same popularity.
How is this money transfer system arranged?
Each bank has correspondent accounts with other foreign banking institutions. The network of this type of translation consists of them. Accounts must be opened in all types of currencies in which money transfers are made.
When a client arrives at the bank and indicates all the necessary details, the bank determines through which foreign accounts it is best to send money and forwards them. And so, from account to account, money is transferred until it stops at the indicated account.
Thanks to such a system, it is possible to send a transfer to any country that is connected to the Swift system.
What are the advantages?
Money can be sent to almost any country. Imagine more than 1,000 corporations and 10,000 institutions around the world connected to Swift.
Multicurrency. No transfer system supports transfers in the same number of currencies.
What are the downsides?
The speed of transfers and payments. Unlike other systems, which can receive transfers within 10-15 minutes from the moment of sending, the gap in Swift is much longer. The average duration of the transfer is 2-3 days, depending on the length of the chain of banks that non-cash money will go through.
You need to know the swift code of the receiving bank and the account number of the person or organization to which the transfer is made. This very often causes difficulties, as customers turn to the bank without this information. If there is no recipient's details, then when sending the transfer, you can make a mistake and the money will go to the wrong place or hang on some correspondent bank accounts on demand.
How to send such a transfer?
Suppose you want to send money to an English university for tuition. First of all, you need to know the bank details of this educational institution. Call them or send an email request asking them to indicate the account number and swift code of the bank to which you need to send money to pay for training.
For example, the swift code of Sberbank of Russia (head office) is as follows: SABRRUMM. But each representative office of even the same institution may have its own separate code.
This helps speed up the payment process. That is, if your account is located in the Altai branch, then you should indicate the following details of it “Sberbank swift code SABRRUMMAC1”.
After these data are received, contact any branch of the bank nearby. It’s not necessary to go to the main office - go where it’s convenient for you to perform this operation, all the same the cost of the service is the same everywhere.
A bank employee will ask you a swift code. What it is, was indicated above. He also needs to provide information with the bank current or card account number where the money should be credited. In addition, he needs to know the purpose of the payment.
If you pay for studies, then the operator will have to indicate “payment for education” to the payer and write your full name in Latin letters. If the wrong swift code, account number or payment purpose is not clear, then the transfer will not be sent.
Some tips
Even if you know the swift code, what it is and the bank account number, you still need to make sure that when sending the operator correctly indicates all the details and purpose of the payment.
Also remember that in certain countries there are a number of restrictions for transfers both in the amount of sending and in the amount of receiving money.
If you urgently need to send a transfer in an amount that is more than the restrictions, then you can take the help of colleagues or loved ones by breaking one amount into several parts.