IFSC is the short form of Indian Financial System Code which is used for many purposes. The code is different for each bank branch. It is used for Real Time Gross Settlement (RTGS) and National Electronic Fund Transfer (NEFT) systems. You must have heard about IFSC code and may have used it more than once in your life. So, in this article, we have tried to through some light on the importance of this feature along with some interrelated terms.
What is IFSC code of a bank?
As mentioned above, IFSC code is a unique code which differs from one bank branch to another. It is the identity of a particular branch. This code is used whenever a person has to transfer money online using RTGS and NEFT.
What are NEFT and RTGS?
National Electronic Fund Transfer (NEFT) and Real Time Gross Settlement (RTGS) permits individuals, companies, and firms to transfer their funds from one bank to another online. The list of branches that allow NEFT and RTGS are available on the website of Reserve Bank of India (RBI). The facility is limited to money transfer within the country only.
Where do you find IFSC Code
IFSC code is available on the checkbook and cheques. The same can also be found online if the account holder has none of them or does not prefer keeping them with themselves. There are many IFSC code finders available online.
How can you find IFSC for your bank?
You can either visit your bank’s website or any other IFSC code finder website to know the code of your bank branch. You only need to mention the bank name branch address and then you will find the IFSC code as per your requirement.
How many digits are there in IFSC code?
IFSC is an 11 digit alpha-numeric code with first four digits identifying the bank, the fifth is numeric (Kept 0) and the last six digits represent the bank branch. For instance, if your account is with ICICI Bank in Noida Sector- 126, the IFSC code will be ICIC0001579. Similarly, other banks and branches have their unique codes.
What is IMPS fund transfer?
Just like NEFT and RTGS, IMPS is another way to transfer money to the country from one bank to another. Immediate Payment System (IMPS) is different in a way because it was launched by National Payment Corporation of India. The money can be transferred through online (Net Banking), Mobile Number or through ATM and is an instant transfer option through each medium. There are, however, minimal charges associated with the transfer but it is still the best option to take or give money.
With the above information on IFSC code search and other related terms such as RTGS, IMPS, and NEFT, just in case you want to know the code of your bank branch to transfer money, you can now do it. The process of transferring money is not possible without IFSC code that you have understood.