Find all the information about IFSC for Bank Transfers
Fund transfer is an integral part of any transaction. You need to be sure about all the transfers done so that it reaches the right person or account. Retrieving the money from a wrong transfer can be difficult and the bank or the financial institution would not take the responsibility of the same. The reason is because they have not initiated the fund transfer on their own. It is done through you as per the information provided. Banking has now taken a huge leap where cheques are no longer used for major transactions. Let us look at the reasons for such a dip and then focus on the uses of IFSC in banking transactions.
Dip in Cheque Use
Cheques have become an old method to make a payment. The reason is simple as the cheques would take a long time to clear when compared to the new online transactions. Also, cheques would pose a threat of being lost or stolen and can be manipulated easily. You would have to issue a cheque to the party so that they can go and deposit the same in their bank. This would take time and the funds can be used for other reasons in the meanwhile. This would make the cheque bounce and attract charges from both the parties. Therefore, cheques are not considered an ideal way to make a payment these days.
What is IFSC?
IFSC stands for Indian Financial System Code which is provided by the financial authority Reserve Bank of India for online transactions. This code is specific to the bank and their branches so that the funds can be routed to the specific account and the holder of the account can get the benefits of such transactions. This IFSC is a great way to get the funds on the same day when done in the banking hours. You need not wait for the cheque to get cleared and then use the funds for your necessities.
Few Facts about the IFSC
- IFSC is a 11-digit code which is alphanumeric. It defines the bank branch in such a code.
- The first four digits are the bank branch alphabets and the last 6 digits are the bank branch codes. The sixth number is a series to add any future numbers to the bank branch numbers.
- This IFSC is printed on the bank cheque leaves and is unique for each bank and its branch.
- IFS Code can be used by any individual, company, or anyone who has an active account and funds to transfer.
You can transact an RTGS or an NEFT transaction using the IFSC and this is quite fast and reliable. All you need to do is know the bank account number along with the name of the account holder and the IFSC to make the transfer. The basic difference between both the transactions is that in an NEFT there is no limit defined for any transfers and it reflects within the day. While for an RTGS the limit on the lower side is one lakh INR and the payment reflects within 2 hours from transfer. The reason an IFSC is important so that your transaction is sure shot and does not go to any other account.
How to find an IFSC online?
You can find an IFSC online with the help of a few details. The websites are loaded with all the bank details which can be found with ease. All you need to do is enter the bank name along with the branch address. The system will give you the correct IFSC result. Even if you have the IFSC for the transfer, you should check it again using such online options so that you know the transfer would happen accurately. These tools are built for the benefit of individuals who do not have access to such details and still need it. Other ways to find the IFSC is to check on the bank cheque leaves or while entering the details on the bank account website. You would get an option to find an IFSC. Here you can verify the IFSC and then initiate the transfer. You can also make a small amount transfer in the individuals account and ask them to check if the transfer happened correctly. Once they confirm, you can transfer the entire amount to be sure completely.