In international business, SWIFT Codes are a standard part of conducting transactions. Understanding how SWIFT codes work is vital for smooth transactions that result in fast and easy payments. SWIFT codes identify banks for merchants and companies who transfer payments internationally so the money is withdrawn and deposited in the right place. It’s up to the company to locate their banking SWIFT codes to ensure quick and accurate payment.
Let's delve into the specifics of GTBank Nigeria SWIFT codes and their role in facilitating international financial transactions.
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What is SWIFT?
SWIFT stands for Society of Worldwide Interbank Financial Telecommunication. Financial institutions worldwide have the option to become part of SWIFT’s network. They provide messaging systems and use the latest technology to ensure safe and suitable international commerce. Their goal was to be an intermediary and executor for cross-border payments, helping them move smoothly and serving a vital need in today’s global commerce. The vast network comprises close to 11,000 entities that transmit approximately $33.6 million USD daily.
Since the concept of SWIFT was created to make an efficient cross-border payment system, their solution for a seamless, integrated, universal process includes a series of codes. This system is used all over the world to great success.
SWIFT Code - An Overview
The SWIFT code is a Business Identification Code (BIC) assigned to banks by SWIFT as an easy cross-border payment solution. The purpose of the code is to act as a global digital language to conduct payments overseas conveniently. For any transaction this bank makes on an international level, the SWIFT code is used. The concept makes for a fast, hassle-free process. A bank must opt into SWIFT to receive the code and be part of the network.
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This vast electronic system uses a cloud platform to transmit codes to and from banks quickly. Made of up to eight to eleven characters, codes are assigned using an algorithm of three parts: the institution, the country, and the local location (city, town, etc.). Banks that choose to use eleven characters do so usually to identify a specific branch. This is when more than one branch exists in a local area. For example, bank franchises with multiple locations in big cities, such as London, New York City or San Paolo, will likely use an eleven-character SWIFT code to designate the specific branch.
Here’s how it works: when a person transfers money individually, they will go to their bank with the recipient’s banking SWIFT code and an international account number (more on that later). The local bank will then send a SWIFT message to the recipient’s bank to accept the transfer. The payment is posted upon the recipient’s bank approval, and the transfer is complete.
Does every bank have a SWIFT code?
No, but every bank has the option to obtain a SWIFT code. If a bank does not want to engage in cross-border transactions, it would not need to become part of the network. Once again, SWIFT is an international organization created for convenience, but there is no requirement for banks to be affiliated with it (though many are). For banks who do engage in cross-border transactions, the benefit of affiliating with SWIFT is having access to a secure and streamlined method of transferring money internationally.
Is a BIC code the same as a SWIFT code?
BIC stands for Business Identifier Code, to which every business can be assigned. The SWIFT code is a type of BIC code posted by SWIFT, so technically, they are not the same. However, the terms are used interchangeably, and the words mean the same thing when conducting financial exchanges. If a business is asked to supply the BIC code, they request the eleven-character code that SWIFT assigns. The SWIFT code is simply the BIC code posted by SWIFT and indicates the bank is part of the SWIFT network.
What is IBAN, and how is IBAN Different From a SWIFT Code?
The financial cousin to SWIFT is IBAN - the International Bank Account Number. This is another code often needed to send money overseas. While the SWIFT code is a kind of international bank ID, the IBAN represents the accounts within a bank. When visiting a financial institution, one needs the SWIFT code and the IBAN for both people on either side of the transaction.
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In a sense, the IBAN serves as a launch pad and landing pad. We need IBAN to start and end the transfer. To go back to our earlier example, let’s assume an American, Fred, would like to send money to his friend Ana in Brazil. The steps include the following:
- Fred visits his local bank and puts in the request. He provided Ana’s bank and her IBAN.
- Fred’s bank contacts Ana’s bank to make the transfer request. To locate Ana’s bank, the SWIFT code is used. To find Ana’s account at the bank, they input the IBAN.
- The transfer is approved.
- Fred’s bank locates his account using IBAN so they can take the money from his account. The money leaves Fred’s account and is deposited in Ana’s electronically.
The IBAN is where the transaction will both originate and culminate. Without it, there’s nowhere to withdraw the money from, and there’s nowhere to make the deposit.
How do I Locate my Bank's SWIFT Code?
SWIFT codes are essential, and the good news is that locating your bank’s SWIFT code is easy. There are several ways to go about retrieving the code. A simple internet search supplies many sites that list banking codes worldwide. But the most straightforward way to get the code is to ask your bank. SWIFT codes are essential to have available for anyone conducting regular international transactions.
These are foreign currency transfers received from other banks through our correspondent banks for further credit into GTBank customer domiciliary accounts. Currently GTBank customers can receive foreign currency inflows in USD, GBP and EUR. Any amount in a foreign currency can be transferred to a GTBank customer from remitters in other banks both locally and offshore, for credit into the customer’s domiciliary account. Credits above $10,000 or its equivalent in 3rd currency are reported to NDLEA & CBN as part of regulatory requirements.
Below are some examples of SWIFT codes for GTBank, as well as intermediary banks for different currencies:
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| Currency | Intermediary Bank | SWIFT Code | Account with Bank | Beneficiary's Bank SWIFT Code |
|---|---|---|---|---|
| USD | Deutsche Bank, New York | BKTRUS33 | GUARANTY TRUST BANK PLC, LAGOS NIGERIA Account Number: 04434658 | GTBINGLAGT |
| USD | Standard Chartered Bank, New York | SCBLUS33 | GUARANTY TRUST BANK PLC, LAGOS NIGERIA A/C NO: 3582-026828-001 | GTBINGLAGT |
| USD | CitiBank, New York | CITIUS33 | GUARANTY TRUST BANK (UK) LIMITED Account Number: 36917996 | GTBIGB2L |
| USD | Standard Chartered Bank, London | SCBLGB2L | Guaranty Trust Bank plc, Lagos Nigeria Account Number: 01 02706531 | GTBINGLA |
| GBP | CitiBank, London | CITIGB2L | Guaranty Trust Bank plc, Lagos Nigeria IBAN Number: GB72 CITI 1850 0850 0808 31 | GTBINGLA |
| GBP | Standard Chartered Bank, London | SCBLGB2L | Guaranty Trust Bank plc, Lagos Nigeria IBAN Number: GB90 SCBL 6091 0427 0653 10 | GTBINGLA |
| EUR | Citibank Europe Plc/CitiBank, London | CITIIE2X/CITIGB2L | Guaranty Trust Bank plc, Lagos Nigeria IBAN Number: GB05 CITI 1850 0810 8205 71 | GTBINGLA |
| EUR | Deutsche Bank Frankfurt | DEUTDEFF | Guaranty Trust Bank plc, Lagos Nigeria IBAN Number: DE84 5007 0010 0955 7224 01 | GTBINGLA |
For Final Credit Of: ................................ (Beneficiary’s Name)
Beneficiary's A/C Number: ................................ (With GTBank)
Any Other Detail: ..........................................................
Note: Always confirm the SWIFT code and other details with your bank to ensure accuracy.
GAPS-Lite is our online banking platform for small businesses (SMEs). It is the light version of our GAPS platform which is tailored for large corporates. It is available for download on smartphones running on Android and iOS via the respective App Stores.
Features:
- Advanced security with multi-factor authentication
- Airtime and Data purchase
- Transfers and Bill Payments
- Loan requests etc.
Benefits: Convenient banking on the go
To download the GAPS-Lite App, please follow the steps below to download the GTWorld Mobile App:
- Kindly visit the Google Play Store for Android phone users or Apple App Store for iPhone users.
- Once you have downloaded the GTWorld Mobile App, you can switch to GAPS-Lite on the application.
GAPS is an acronym for Guaranty Trust Bank Automated Payment Systems. For GAPS, a board resolution will be required to effect the change.
All intra-bank transactions are online and real time. Inter-bank transactions via NIBSS Instant Payment (NIP) are also online real-time. Inter-bank transactions via NEFT will be received same day by the beneficiary if initiated before 12 pm. Otherwise it will be received next day.
Local transfer limit is N250MM per transaction. Daily foreign transfer limit (where the source of funds is via cash deposit) is $10,000 daily and $50,000 weekly or its equivalent in other currencies. There is no limit for FX transfer where the source of funds is via SWIFT transfer.
GAPS is a web-based application and therefore requires only internet connectivity, the user’s log-in details and a security token.
Yes! Receipts can be generated using the ‘Generate Receipt’ function in the Vendor/Client Mgt menu on GAPS.
Yes! GAPS times out after 10mins of inactivity.
Yes! The schedules can be declined by a reviewer or an approver.
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