Bank Identifier Code

Bank Identifier Code (BIC) provides a standardized alphanumeric code system that uniquely identifies financial institutions worldwide for secure and accurate international money transfers, operating under ISO 9362 standards to ensure global consistency in payment routing and processing. This critical infrastructure component enables automated payment systems to correctly identify recipient banks and their specific branches across different countries and regulatory jurisdictions.

The structural format of BIC codes consists of 8 or 11 characters that specify the bank code, country code, location identifier, and optional branch designation, creating unambiguous institutional identification that prevents payment routing errors and reduces processing delays. These codes integrate with SWIFT messaging networks and other international payment systems for cross-border transactions while maintaining compliance with and sanctions screening requirements.

The operational significance of BIC codes extends throughout global banking operations, where accurate institutional identification supports correspondent banking relationships, regulatory reporting requirements, and risk management procedures that protect against and operational errors. Organizations benefit from reliable payment routing capabilities that reduce settlement risks and processing costs, while regulatory authorities gain enhanced visibility into cross-border payment flows for monitoring and compliance enforcement purposes.