What is IBAN Number? Full Form, Meaning, Example

With global payments projected to reach $290 trillion by 2030, the need to streamline international transactions is greater than ever. International Bank Account Number (IBAN or IBAN Number) is a key tool in this effort, providing a standardized way to identify overseas bank accounts. So, let’s dive in and explore what is IBAN number? What it looks like, and how you can get one for your international money transfers.

What is IBAN number?

IBAN full form is International Bank Account Number. It establishes a standardised numbering system to identify overseas bank accounts. Unlike a SWIFT code, which identifies a bank, the IBAN number specifically points to an individual bank account.

Initially adopted in European countries, IBAN numbers are primarily used for international transfers. However, in countries like Austria, Belarus, and Belgium, the IBAN number format is mandatory for both international wire transfers and domestic transfers.

It's important to understand that an IBAN number doesn’t replace your regular bank account number. Instead, it adds extra account details that make cross-border transactions smoother and more accurate. 

Up next, we’ll explore IBAN examples and break down its key components. 

Is IBAN same as Account number?

While an IBAN includes your account number, it doesn’t replace it. Instead, it adds essential details to streamline and ensure accuracy in cross-border transactions.

What is an IBAN Number Example? 

An IBAN number can have up to 34 alphanumeric characters in a specific format. The number of characters depends on the key fields covered in the IBAN number which include:

Country Code: A two-letter ISO code that represents the country where the account is held.

Check Digits: These are 2 unique digits generated by the bank to validate the IBAN.

Bank Identifier Code: The bank code identifies the specific financial institution/ bank where the account is.

Branch Identifier: Some IBAN numbers may also have branch identifiers that specify the particular branch of the bank

Basic Bank Account Number (BBAN): This section identifies the individual account within the bank in that specific country.

Consider the following hypothetical IBAN number example: GB29 NWBK 6016 1331 9268 19.

Now let’s see the various components of this IBAN number:

Let’s take another such IBAN number example and break it down:

IBAN Number: FR76 3000 6000 0112 3456 78901 

How to Find IBAN Number?

Here’s how you can find your IBAN Number 

You can use an IBAN calculator by entering your sort code and account number. But remember—always double-check the IBAN number before sending money to ensure that you are making the transfer to the correct bank account. A quick review can save you the headache of cancellation or wrong transfers!

 SWIFT Code vs. IBAN number

Let's take a minute to understand the difference between IBAN number and SWIFT code. Both IBAN numbers and SWIFT codes both play a crucial role in international bank transfers, but they serve different purposes. It’s easy to confuse the two, but here’s how they differ:

Is it safe to give someone your IBAN?

Yes, sharing your IBAN for international transactions is safe. It’s just your regular account number with added details like the country and bank codes, making it easier to identify your account globally.

What is IBAN Number India?

Indian banks do not provide IBAN number since India doesn’t use IBAN system for international transfers. Instead, they primarily rely on the SWIFT system to facilitate these transactions to a foreign bank account. You can receive your SWIFT transfers through Skydo seamlessly.

Numerous countries like the United States, and Canada also do not participate in the IBAN system and do not issue IBAN numbers. You can learn more about HDFC IBAN number, IBAN number ICICI bank, Axis Bank IBAN number right here. 

IBAN codes are mainly used in the European Union, along with countries like Hungary, Liechtenstein, Norway, Switzerland, and are increasingly adopted in regions like the Middle East.

Is IBAN the same as IFSC? 

No, IFSC stands for Indian Financial System Code, which identifies bank branches for domestic transactions in India. In contrast, IBAN provides a standardised method for identifying overseas bank accounts for cross-border transactions.

Open Virtual International Bank Accounts With Skydo

If you're seeking a practical alternative for your cross-border payments, Skydo is here to help. With Skydo, you can set up virtual international accounts in just five minutes, making it easier to do business in regions like the US, Europe, Singapore, and Australia.

These virtual bank accounts function like local bank accounts, allowing your clients to make payments as if they were transferring funds domestically. This means you can bypass SWIFT fees and the complexities of the IBAN system, streamlining your payment process significantly.

Skydo enhances your experience further by offering live Forex rates with no hidden charges or currency conversion fees. To keep you compliant with RBI and government regulations, you'll receive instant FIRA downloads after each transaction. Plus, each user is paired with a dedicated representative who is always available to guide you and answer any questions.

Make the switch to Skydo today and simplify your international payment experience.