IBAN

IBAN or international bank account number is a system of assigning a unique number to an individual... Cross-border transactions launch an additional level of complexity above that of domestic clearing, because there are numerous variations in the way countries carry out payment processing. Since it is improbable to be expecting the payment Originator to comprehend the subtleties of multiple domestic clearing systems, it surely is not unexpected that mistakes rates for international payments are significant. These types of errors often end up in payments being declined, leading to a negative effect on customer support and enhanced management costs. The IBAN has been brought to help in reducing complications with cross-border transactions by presenting a standard format for showing and validating international bank account numbers.

Also known as: International Bank Account Number

Primary location: United Kingdom