Glossary

What is a BIC (Business Identifier Code)?

Author:: Editorial team, serviceexportguide.com
Verified by:: Editorial team
Published: 28 October 2026
Last modified: 30 October 2026
Reading time: 4 min read

Short answer

A BIC (Business Identifier Code), often called a SWIFT code, is an international standard code that identifies financial institutions.¹ SWIFT is its registration authority.¹ A BIC has eight or eleven characters.¹ It combines a four-character institution code, a two-character country code, a two-character location code and an optional three-character branch code.¹

Full form	Governed by	Who needs it	Where it is used	Related terms
Business Identifier Code	An international standard, with SWIFT as the registration authority¹	Exporters who receive international wires	Invoices and international payment messages between banks¹	SWIFT code, IBAN, IFSC, ABA routing number, correspondent bank

The BIC is the address of your bank on the international payments network. When a client in Australia pays an Indian architect, or a UK agency pays a voice-over artist in Mumbai, the client's bank uses your bank's BIC to send the payment message.

What does a BIC mean in simple words?

A BIC is a short code that tells banks around the world which bank should receive a payment message. The European Central Bank's glossary describes the BIC as an international standard for identifying institutions within the financial services industry, with SWIFT as the registration authority.¹

Length: eight or eleven characters.¹
Other name: SWIFT code.
Identifies: a bank or other institution, and optionally a branch.¹

Why does a BIC matter for Indian exporters and freelancers?

A BIC matters for Indian exporters and freelancers because it goes on every invoice that asks for payment by international wire, alongside your account name, account number and bank address. Without the right BIC, the client's bank cannot address the payment to your bank.

Bank compliance: RBI's KYC Directions for commercial banks require cross-border wire transfers to carry accurate, complete and meaningful originator and beneficiary information.² Give clients your full legal name and address so the wire is not held.
Getting paid on time: a wire sent to the wrong bank or branch code may be returned or held, which delays your realisation of export proceeds.
Invoicing: a full checklist of what to send a client is in bank details for international payments.

How does a BIC work?

A BIC works by packing the institution, country, location and branch into one code, according to the European Central Bank's glossary.¹

Part	Length	What it shows
Institution code	4 characters	The bank or institution¹
Country code	2 characters	The country, for example IN for India¹
Location code	2 characters	The location of the institution¹
Branch code	3 characters, optional	A particular branch or office¹

An 8-character BIC stops after the location code; an 11-character BIC adds the branch code.¹

How do you find and use your bank's BIC?

You find your bank's BIC in its published inward remittance instructions, and you use it on invoices and payment requests.

Use the inward remittance code: many Indian banks receive foreign currency payments through a central treasury or trade branch, so use the BIC your bank lists for inward remittances, not one you find online for your branch.
Add correspondent details if asked: for some currencies, your bank may ask the client to send money through its correspondent bank abroad, with that bank's BIC as an intermediary. See what a correspondent bank is.
Add the IFSC if your bank asks: some banks want it in the payment details.

For example, a voice-over artist billing a UK agency puts the bank's inward remittance BIC, account number, legal name and address on the invoice. The cost of that route, including intermediary bank deductions, is covered in SWIFT transfer charges.

What is the difference between a BIC, an IBAN, an IFSC and a routing number?

A BIC identifies a bank for international payments, while the other codes identify an account or work only inside one country.

Code	What it identifies	Where it works	Best for
BIC	A bank or institution¹	International payments	Clients abroad wiring to your Indian bank
IBAN	A specific bank account	Europe and many other countries; India does not use IBANs	Payments into accounts in IBAN countries
IFSC	An Indian bank branch	India (NEFT, RTGS, IMPS)	Domestic rupee transfers
ABA routing number	A US bank	United States	US clients paying a US collection account

For a payment from abroad straight into your Indian account, the client needs your bank's BIC and your account number. See ABA routing number and IBAN.

What do people get wrong about BICs?

People most often copy a branch BIC from a website, when the bank wants inward payments sent to a different code.

Branch codes: the BIC for your home branch may differ from the one your bank lists for inward remittances.
IBAN for India: India does not use IBANs, so leave that field to the account number.
Missing details: a wire without your full legal name and address can be held.²
Intermediary banks: ignoring your bank's correspondent instructions for a currency can slow the payment.

These terms come up alongside the BIC on international payments.

SWIFT code: the everyday name for a BIC.
IBAN: an account identifier used in Europe and many other countries.
ABA routing number: the US domestic bank code.
Correspondent bank: the overseas bank your bank uses for a currency.
SWIFT MT103: the payment message that carries the BIC.
Wire transfer: the payment type that uses the BIC.

How did we verify this?

We checked this page against the sources below on 30 October 2026. Read our methodology or report an error.

Frequently asked questions

Is a BIC the same as a SWIFT code?+

In everyday use, a BIC and a SWIFT code are the same thing. The standard calls it a Business Identifier Code, SWIFT is the registration authority that issues it, and banks and clients often call it a SWIFT code.¹ Use whichever name your client's payment form asks for.

Should I use the 8-character or 11-character BIC?+

Use the BIC your bank gives you for incoming foreign currency payments. The 11-character form adds a three-character branch code to the 8-character code.¹ Many banks ask foreign senders to use the code of a central branch that handles inward remittances rather than your home branch.

Do I give my client my IFSC as well as the BIC?+

The BIC identifies your bank for the international payment message, and the IFSC is for domestic rupee transfers. Some banks ask foreign senders to include the IFSC in the payment details as well, so follow your bank's inward remittance instructions exactly when you put both on an invoice.

What does the IN in a BIC mean?+

The IN in a BIC is the two-character country code for India, which sits after the four-character institution code.¹ A BIC with IN in the fifth and sixth characters belongs to an institution in India; the location code and optional branch code follow it.

Can a wrong BIC delay my payment?+

A wrong BIC can delay your payment. A wire sent to the wrong bank or branch code may be returned or held while banks investigate, which delays your realisation of export proceeds. Check the BIC on every invoice against your bank's published inward remittance details.

This page is general information for Indian service exporters, not tax or legal advice. Rules change and outcomes depend on your facts, so confirm with a chartered accountant before acting.

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