The International Bank Account Number, better known as the IBAN, is a system that is used to identify bank accounts linked with the EU countries and Norway, Switzerland, Liechtenstein and Hungary. IBAN has a consensus for formal acceptance internationally since it is useful in facilitating the communication and processing of cross-border transactions. Moreover, the IBAN facility is so flawless and well-defined that it has a low risk of transaction errors.
- IBAN makes international payments easier and safer. Moreover, its use is quite simple. IBAN doesn’t take away your sort code and account number, it is just an add-on number with extra intel which helps banks overseas to identify your account number for transactions.
- IBAN was originally formulated by the European Committee for Banking Standards (ECBS) and later on as the ISO standard 13616:1997. In Feb’16, as much as 69 countries were using the stupendous IBAN numbering system. Before IBAN, customers were often confused and that created the necessity of information routing. Routing errors caused delayed payments and thus the banks at the sending and the receiving ends had to bear extra charges.
- IBAN, on the other hand, has a flexible and regular format that avoids these kinds of errors as it carries all the necessary info required. Thus, IBAN has been miraculous when it comes to error-free transactions. This have been proved by the fact that the trans-national money transfer errors have been reduced to a 0.1% of the total payments till date.
IBAN has become compulsory for all banking transactions in countries that use euro. The main aim of IBAN is to provide as much validation as possible in the paramount job of data entry. IBAN comprises of all vital accounting details such as country code, branch codes, sort codes and account numbers.
GLOBCOIN is a multicurrency-prepaid card that offers an IBAN to its clients. Thanks to this, clients can receive money in euro without paying a conversion fee or a commission.