IBAN: International account number and bank code
The IBAN (International Bank Account Number) is according to standard 13616 ISO (International Organization for Standardization), the new international bank account number. The very long combination of letters and letters often gives rise to confusion. Basically, however, it is easy to remember: the IBAN begins with a country code consisting of letters. For Germany, for example, DE. The following is a two-digit check number, which can be used to determine whether the respective IBAN is plausible. The country code and the test number are defined internationally. This is followed by a nationally defined component. In the Federal Republic, this is the bank sort code and the account number. Within a country the IBAN is always the same length,
BIC: Clear identification of credit institutions
The abbreviation BIC stands for Bank Identifier Code. This code allows the unambiguous identification of credit institutions according to ISO standard 9362. The BIC is sometimes referred to as a SWIFT code. An international BIC directory is issued by SWIFT (Society for Worldwide Interbank Financial Telecommunication). Therefore, the designation SWIFT code – BIC and SWIFT code are also used synonymously. The BIC consists of 8 or 11 digits and must not be specified in Germany for national transfers since February 2014.
The conversion to BIC and IBAN
BIC and IBAN are issued by the respective bank account holder. You can find the account identifiers on the account statement. They can also be accessed via online banking. For online shop operators, it is important to specify BIC and IBAN on their own website and, of course, on letterheads and invoices, in order to make the payment process as simple as possible for the customer. But not only for transfers by the customer is the indication of the international account connection necessary – also for the load receipt are some things to be considered. For a SEPA direct debit mandate, the payee (vendor) must have a written authorization to debit the debtor (debtor).