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IFSC Code

In simple terms, IFSC refers to Indian Financial System Code i.e. an 11-digit alphanumeric code facilitating online fund transfers in India. IFSC code is a unique combination of alphabets and numerals and is used for transferring money online via NEFT, RTGS and IMPS. This code is usually found on bank chequebooks and passbook and also in the other documents issued by the bank. The Reserve Bank of India assigns IFSC code to each branch of the bank that participates in the electronic fund transfer process. To transfer money online, it is necessary that an individual knows the account number and IFSC code of the branch of the transferee. Without a valid IFSC code, online transfer of fund is not validated. IFSC code can also be checked online on any trusted website or the Reserve Bank of India’s website. Usually, IFSC codes do not change or get updated unless banks go through any merging process.

Why is IFSC code important?

IFSC code is an extremely important tool for carrying out all the banking services in an easy and hassle-free way. With the advent of IFSC code, it has now become easy to initiate online fund transfer without having to worry about any fraud or discrepancies. Earlier, to transfer money, people had to visit the bank, fill up a form and wait in long queues to deposit money. However, now people no longer make their way to the bank too often to transfer money as it can be easily done from the comfort of one’s home. This is possible due to the IFSC code as money can now be transferred online just by following a few steps. To complete an online transaction, it is necessary to know the account number and IFSC code of the branch of the bank for which the fund transfer is initiated.

  • The IFSC code has given every branch of a bank a unique identity, thus helping people quickly identify the 11-digit code required to transfer money in any particular branch of a specific bank.
  • IFSC code is mainly used to transfer money via different electronic fund transfer media such as Real Time Gross Settlement (RTGS), Immediate Payment Service (IMPS) and National Electronic Fund Transfer (NEFT).
  • The advent of IFSC code has helped in curbing frauds as each branch of a specific bank has been assigned with a unique ID that gives security. It quickly helps the individual identify errors in the fund transfer process i.e. if an individual is using a wrong IFSC code, then the fund transfer would not be validated and instantly terminated. Thus, IFSC code makes online fund transfer a transparent process and provides the much-needed security.
  • All thanks to the Indian Financial System Code, one can now easily pay bills, and transfer funds in a quick and easy way.
  • Fund tracking has now become simple with IFSC code as you can easily identify the branch of the bank where the money is transferred. IFSC code also helps RBI keep a track on the fund transfer process as it gives all the information from which bank the transfer was initiated and which bank has received the payment. IFSC codes are easy to find and you can check them online too.

How to know the IFSC code of a particular bank?

IFSC code helps in validating the online money transfer process. Using the right IFSC code, an individual can transfer and receive money in no time. No fund transfer in India can be processed unless a valid and right IFSC code is entered.

Finding IFSC code offline

One can check IFSC code offline in India through:

  • Bank chequebook
  • Bank passbook
  • Monthly bank statement
  • Bank branch

IFSC code can be checked online in an easy way on the RBI website or any other trusted source. For checking IFSC code of a particular bank branch, all you have to do is enter the bank name, state, district and select the branch bank.

How to find IFSC code in a bank cheque?

Usually, IFSC code in a bank cheque is listed next to the branch address of a bank or you can find it besides the bank account number.

Here is a screenshot of the AXIS bank IFSC chequebook where you can see the IFSC code near the branch address.

How to find MICR code in a bank cheque?

MICR code can be found on the bottom of the cheque i.e. next to the cheque number.

How does the Indian Financial System Code (IFSC) work?

To know how IFSC code works in a financial transaction, consider the below example:

IFSC code of HDFC Bank Sandoz House branch is HDFC0000240.

In the above IFSC code, HDFC represents the name of the bank

The fifth character is zero (0)

The last five characters are the branch code that helps RBI identify the bank branch without any error.

IFSC code helps an individual avoid wrong transactions and is an exclusive code that is assigned to each branch bank. IFSC code is vital for carrying out online fund transfer using RTGS, NEFT and IMPS fund transfers.

When a fund transfer is initiated through any of the payment systems, an individual needs to provide the account number and the IFSC code of the branch bank in which the funds have to be transferred. Once all the information is filled, the fund transfer is initiated successfully. However, if the individual enters the wrong IFSC code, then the transfer is denied. IFSC code can also be used for carrying out various online transactions such as paying the electricity bill, mobile bills, purchasing insurance, mutual funds, etc. IFSC code differs from branch to branch and no two branches will have the same unique ID.

What is the format of the Indian Financial System Code?

An IFSC code is used to facilitate electronic fund transfer of money. It is an 11-digit code that consists of first four digits in alphabets that represent the bank name. 0 is the 5th digit and the last 6 digits are numbers and they represent the branch. Payment systems such as RTGS, IMPS and NEFT require you to mention the IFSC code to do a successful online transaction.

How to transfer money online using IFSC code?

Transferring money has now become easy and quick due to the advent of payment systems such as NEFT, IMPS and RTGS. With India stepping high towards digitization, transfer of funds too has now become simple. All an individual needs to do is enter the bank account details, the name of the person to whom the money has to be transferred, and the IFSC code and money is transferred in no time. Every bank today offers the online transaction facility supported through payment systems such as NEFT, IMPS and RTGS. However, these systems make it important for an individual to use an IFSC code to validate the fund transfer. Also, the payment system comes with its own set of advantages which you should know about.

Transferring money using NEFT

NEFT stands for National Electronic Fund Transfer that is a widely used payment system utilized for transferring money from one bank to another. This is a popular system used by individuals as well as corporate houses. This system enables an individual to transfer money from any bank branch to any individual having an account in any other branch (need not necessarily be the same bank) participating in NEFT online transaction system. Funds up to 10 lakh rupees can be transferred using this system, subject to the limit set by your bank. IFSC code is a must for doing fund transfer through NEFT.

  • Service charge on NEFT transaction
    • Amounts up to Rs 10,000 Rs 2.50 + Applicable GST charges
    • Amounts above Rs 10,000 and up to Rs 1 lakh-Rs 5 + Applicable GST charges
    • Amounts above Rs 1 lakh and up to Rs 2 lakh-Rs 15 + Applicable GST charges
    • Amounts above Rs 2 lakh and up to Rs 5 lakh-Rs 25 + Applicable GST
    • Amounts above Rs 5 lakh and up to Rs 10 lakh-Rs 25 + Applicable GST

NEFT transaction timings are: Monday to Saturday , (2nd and 4th Saturday excluded) 8:00 AM to 6:30 PM

  • Step by step process to transfer funds through NEFT To transfer funds online, you should know if your bank provides NEFT facility. If yes, then do the following:

    • Login to Net banking (Register for Net banking, if you haven’t already)

    • Ensure that the mobile number registered for net banking is active.

    • Add the beneficiary to whom the funds have to be transferred
    • You will have to enter beneficiary details such as bank account number, beneficiary name, contact details and IFSC code of the branch where the beneficiary has an account
    • Every bank has a waiting time, only after which your NEFT required would be processed. For example, HDFC bank has a waiting time of 30 mins before it allows you to transfer funds via NEFT.
    • Once the waiting time is over, select transfer funds.
    • Enter the amount of the fund to be transferred. Select the beneficiary name and initiate the transfer.
    • An OTP will be sent to your registered mobile number. On entering the OTP, the transfer would be processed and the account of the beneficiary would be credited within the settlement schedule.

Use of IFSC code in Real Time Gross Settlement (RTGS)

As the name suggests, this payment system allows an individual to transfer funds instantly. Fund transfer from one bank to another can be done without waiting time. Just like NEFT, this payment system too requires an individual to enter the IFSC code to ensure that the transaction is secured and correct. RTGS is basically meant for high-value fund transfer that is credited in the beneficiary’s account immediately. To transfer funds through RTGS, you should ensure that your bank offers this system. The minimum amount that can be transferred via RTGS is 2 lakhs. This payment facility can be availed from 9 am to 4:30 pm on weekdays and 9 am to 2 pm on Saturdays. To transact amount between Rs 2 -5 lakhs, 30 Rs. is charged transaction, whereas to transfer funds more than Rs. 5 lakhs, up to Rs. 55 transaction is charged. Along with the IFSC code, this system requires an individual to enter details of the beneficiary such as his name, bank account number, bank branch and contact details.

Use of IFSC code in Immediate Payment Service (IMPS)

Founded in the year 2010, this is a relatively new payment service in India that allows an individual to transfer funds instantly on a 24*7 basis. This system can be used anytime in the day or year and funds can be transferred from one bank to the other in no time. To transfer money through IMPS, all you have to do is opt for IMPS option in your bank's net banking service. You will have to enter details of the beneficiary i.e. his bank account number, mobile number, name and IFSC code of the bank branch. If transferring money through a mobile app, MMID (Mobile Money Identifier) code is required. MMID is a 7-digit number issued by the bank for carrying out the financial transaction through IMPS. Fund transfer limit is defined by the bank and the charges for it are Rs. 5 for the transaction of 1 lakh and Rs. 15 for the transaction between Rs 1-2 lakhs.

How to transfer money with IFSC code of a bank account?

With the advent of the IFSC code, transfer of money has now become quick and safe. The Reserve Bank of India has assigned this unique code to each branch of a bank that can use it to allow their customers to transfer money using IMPS, NEFT and RTGS.

  • Transferring money in India can be done in the following ways:
    • Visit the bank, fill the form and initiate the money transfer request
    • Give a cheque to the individual to whom the money is to be given
    • Do an online fund transfer

While the above two options require you to do some old-school work, the last one does give you a sigh of relief as you don’t need to issue a cheque or visit the bank. All you need to do to transfer money online if you know the IFSC code of the bank account number of the person to whom the money is to be transferred. You can easily check for IFSC code online (if you know the branch details of the person to whom the funds have to be transferred) or can ask the fund receiver to send it to you by looking for it in his bank chequebook or passbook.

To transfer funds online, all you need to do is:

  • Visit your bank's net banking website
  • Choose the payment systems-IMPS, NEFT, RTGS
  • Enter the bank account details, name and IFSC code of the receiver
  • The funds will be transferred into the receiver’s bank account as per the payment schedule offered by the payment system you opt for.

Use of IFSC code in registering a beneficiary account

To register a beneficiary online, details such as bank account number, name, contact details and IFSC code of the beneficiary’s bank need to be provided. Once these details are given, the registration is complete and the funds can be transferred after the time limit set by your bank is complete. If you don’t know the IFSC code of your beneficiary’s bank, but know about the branch name, then you can find the IFSC code using the banks IFSC code finder as few banks do provide this facility. Registering a beneficiary account to transfer funds does save your time and makes the transfer process swift.

Other methods to transfer funds using IFSC code

With IFSC code, transferring funds is simple and hassle-free. You can transfer money online through the below methods in a super easy way.

Fund transfer through a mobile app

You can easily download the mobile app of your bank to transfer money through it.

  • Download the bank app
  • Register in the app using your customer ID and password
  • Add beneficiary by following the steps mentioned above
  • Opt for fund transfer option
    • Between My Accounts
    • Within Bank
    • Instant Transfer to Other Bank-IMPS
    • To Other Bank- NEFT
    • Via Visa Card
    • Via Special Payment
  • Opt for the payment system
  • The fund transfer can be initiated once the beneficiary is linked to your account.
  • Once you select the payment system, you will have to enter the details of the beneficiary and will then receive the OTP on your registered mobile number.
  • On entering the OTP, the money is successfully transferred to the beneficiary.

Fund Transfer through SMS

Transferring money through SMS is easy and can be done in no time.

  • You will first have to register your phone number for mobile banking services
  • You will be provided with a 7-digit MMID and mPin
  • You will then have to create an SMS and type IMPS and mention all the details about the beneficiary i.e. the account number, IFSC code, beneficiary name and contact details
  • On confirming the transaction, you will receive a message confirming the transaction. Enter your mPin and press ok. The fund will then be transferred to the beneficiary account number.

What is UPI?

Developed by National Payments Corporation of India, UPI is a real-time payment system which allows you to instantly transfer money between any two bank accounts. It facilitates the inter-bank transaction and is regulated by the Reserve Bank of India. Known as Unified Payment Interface (UPI) functions over the IMPS infrastructure. The UPI system requires you to create a 4-6 digit PIN number which you will require to carry all the UPI transactions. Irrespective of the bank working hours, you can easily transfer funds using UPI.

What is MICR code?

MICR is a magnetic ink character recognition that helps identify banks that are a part of the electronic clearing system. This code is usually used in the cheque-clearing process. This code can be found on the cheque and passbook of the account holder. Just like IFSC, MICR helps in initiating a safe fund transfer. MICR is a 9-digit code-the first three digits denote the city, the next 3 digits denote the bank branch code.

What is the Difference between IFSC code and MICR code?

IFSC Code MICR Code
This is a unique 9-digit alphanumeric numberThis is an 11-digit numeric code
This code is used to facilitate online money transfersThis code is used in cheque clearing process
The first four digits of the IFSC code represent the bank The first fourth, fifth and six digits denote the bank
The last six digits denote the bank branch codeThe last three digits represent the bank branch code

FAQs on IFSC Code

Is there any difference between RTGS, NEFT and IMPS?

CategoryNEFTRTGSIMPS
Time taken to credit beneficiary accountCan take up to 2-24 hours30 minutes Instantly
Settlement timeIs done in batches. 12 batches on each weekday and 6 batches on SaturdayIs done real-time Instant settlement is done
Limit on transfer value Limit on transfer valueMinimum 2 lakh Rs. 50,000 per account per dayIf done through SMS, then 10,000 per day.

What is IFSC code of a bank?

IFSC code of a bank is an 11-digit code that identifies a bank branch participating in the electronic funds transfer system.

Is IFSC code same as swift code?

SWIFT code is Society for Worldwide Inter-bank Financial Telecommunication that is used for transferring money between two banks internationally. Whereas, IFSC stands for to Indian Financial System Code that is used for doing online fund transfers.

How many digits are there in IFSC code?

IFSC code is an 11-digit alphanumeric number.

Is it safe to share IFSC code?

Yes, it is safe to share IFSC code

What is my IFSC code?

Your IFSC code can be found on the cheque or pass book issued by your bank.

What is IFSC code of SBI?

SBI IFSC code is an 11-digit alphanumeric number that presents the bank and the branch code. SBI IFSC code is different for different branch locations. You can check for your SBI IFSC code online or on the cheque or passbook issued by the bank.

What is the branch code?

Branch code is the first 3 digits of your bank account number.

Where is IFSC code?

IFSC code can be found in your cheque or bank passbook.

What is IFSC code in HDFC?

IFSC code in HDFC is an 11-digit unique identifying number issued by the Reserve Bank of India.

What is the full form of IFSC?

The full-form of IFSC is Indian Financial System Code

What is IFSC code of Federal bank?

The IFSC code of Federal bank depends on your bank branch location. Federal Bank IFSC code is an 11 digit code that specifies the bank's participation in the electronic funds transfer system.

Who can transfer electronic funds using NEFT?

Any individual holding an account with a bank that is NEFT enabled can transfer electronic funds using NEFT.

What are the benefits of NEFT?

NEFT lets you transfer money within 24 hours. It requires no documentation or any bank visit. You simply need to do is log into your net banking account, add beneficiary (enter the IFSC code and beneficiary details) and initiate the funds transfer. It is one of the cost-effective ways to transfer money from the comfort of your home.

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