What does SWIFT code mean in banks?

A SWIFT code, also brought up as a Bank Identifier Code (BIC) may well be an 8 or 11 characters unique alphanumeric bank code that helps to identify particular banks worldwide while sending money to overseas banks. If the SWIFT code is given as 8-digits, it’s aiming to be assumed that it refers to the primary office of the bank.

swift code example format
Note: Most of the banks use SWIFT codes to send or receive money from overseas banks. If you’re sending money to someone’s overseas bank account, then you will need to be compelled to induce the recipientsSWIFT code from his/her bank branch so on an attempt to the successful money transfer.

A SWIFT code consists of 8 or 11 characters and this code is made of letters and numbers as follows:

The first 4 characters indicates the Bank code
The next 2 characters indicates the ISO code of country code
The next 2 characters indicate the position code
The rest of the remaining characters indicates the branch code, optional (‘XXX’ for primary office).

Example: ALLAINBBXXX
ALLA (4 characters): Bank or Institution Code.
IN (2 characters): ISO country code of India
BB2 characters or digits: location code
XXX 3 characters or digits: branch code, optional (‘XXX’ for primary office)