What is an IBAN? - International Bank Account Numbers

What is an IBAN number?

Just like you need a sort code and account number to identify somebody’s account when sending money within the UK, the same logic applies to payments made for the rest of the world. 

An international bank account number (IBAN) simply identifies the account belonging to an individual (or business) so people can send money to the right recipient. 

Without a system like IBAN, each country would rely on its own mechanics to identify accounts, making it tricky to send money across borders.

More than 88 countries are part of the IBAN system, from Andorra to Israel to Saint Lucia. 

Requirements for International Bank Account Numbers

An IBAN consists of:

How an IBAN Number Works

An IBAN’s purpose is to identify a bank account to facilitate transactions across countries. This way, every country uses the same system, and payments can easily be made across borders.

When you want to pay a person or business in a country that’s part of the IBAN system, you’ll need their IBAN number to complete the transaction. You’ll also need to use a platform that facilitates these foreign transactions and allows you to enter an IBAN number - such as ANNA

ANNA also offers IBAN codes for businesses through Payoneer, meaning customers can receive IBAN payments too.

Do You Need an IBAN in the United Kingdom?

IBANs are designed for international transactions, so there’s no need to use them for payments within the UK. Instead, you can simply use sort codes and account numbers. 

What does an IBAN look like?

IBAN Format and Structure

IBAN numbers consist of a string of up to 34 letters and numbers, with the exact length varying between countries. 

The first two letters are always the country code of the nation the account comes from, with the other letters and numbers varying between nations.

Example of an IBAN

An IBAN in the United Kingdom starts with the digits “GB” and has 22 digits. 

For instance, GB29 NWBK 6016 1331 9268 19.

How do I find my IBAN number?

Wondering how to get your IBAN? Let’s run through the process for a few different platforms. 

Internet banks

In most cases, you can find your IBAN on your digital bank statement or with your account details on your online account. 

Technically, you can generate an IBAN for any UK bank account using your account details. However, it’s best to check with your financial institution that the IBAN is valid to avoid a failed transaction.

Banking apps

Similarly, on apps, you can navigate to your account details to find an IBAN. For example, on ANNA, you can find your IBAN number by tapping the green thunderbolt icon and selecting “get IBAN.”

Sometimes, payment providers don’t show the IBAN number in the app, but it may still be available online.

How do you check an IBAN number?

IBAN validation helps you to reduce the chances of a failed transaction by looking for potential errors. There are some online tools you can use for this, such as IBAN.com.

IBAN checksum

An IBAN checksum is the check digits in an IBAN — the third and fourth digits in the number, which follow the country code. Its purpose is to verify the IBAN length matches the country code. 

Country support IBAN

One of the most basic checks you can make is whether a specific country supports IBAN transfers. If it does not, no bank account from within this country can have an IBAN. 

Check IBAN number length

As mentioned, the IBAN should be a specific length depending on the country in question. 

Check account number checksum 

A Basic Bank Account Number (BBAN) is the account number belonging to a specific country. This is the last part of an IBAN, so it’s another check you can use.

Other routing numbers

People often get confused about the differences between IBANs and other account types, so let’s clear things up.

IBAN vs BIC

A BIC code identifies accounts for international transfers across the world. Not all countries use IBANs, such as the United States, but over 200 nations use the BIC and SWIFT system.

ANNA also allows you to generate BIC and SWIFT codes.

IBAN vs SWIFT code

A SWIFT code is another term for a BIC code, used to transfer money internationally.

IBAN examples by country

Let’s look at some examples of IBANs for major countries:

FAQs

How reliable and safe are IBAN numbers?

The IBAN system was created with safety in mind, and has the approval of finance regulators in the European Union. However, as with anything involving money transfers, it’s wise to exercise caution.

What happens if an IBAN number is incorrect?

If an IBAN number is incorrect, the payment will most likely be rejected by the bank. In some cases, the payment may go to the wrong account or be delayed while the bank investigates.

Which countries offer IBANs?

More than 88 countries are part of the iBAN system, and the number is always rising. 

Is it safe to give out an IBAN Number?

Sharing an IBAN number is usually safe since the information can only be used for you to receive money rather than to take money from your account. 

Which bank belongs to which IBAN?

An IBAN contains information about a bank’s branch, which can be used to find out the bank it belongs to. There are some online tools that help with this, such as IBAN.com.

Does it cost money to use an IBAN?

There’s generally a fee involved with international bank transfers like IBANs. However, the exact cost of IBAN transfers depends on the provider. 

Which provider is best for sending money abroad?

More financial providers than ever now offer international money transfer services. And of course, ANNA is one of them!