Is branch name and IFSC code same?

Is branch name and IFSC code same?

The branch name and IFSC code are not the same. The IFSC code is a unique identification code assigned to each bank branch in India, while the branch name refers to the specific name given to a particular branch of a bank.

The IFSC code, which stands for Indian Financial System Code, is an 11-digit alphanumeric code that is used for electronic funds transfer between banks in India. It is primarily used for transactions such as NEFT (National Electronic Funds Transfer), RTGS (Real Time Gross Settlement), and IMPS (Immediate Payment Service).

The first four characters of the IFSC code represent the bank code. For example, in the case of State Bank of India (SBI), the first four characters will always be ‘SBIN’. The fifth character is zero and reserved for future use. The last six characters represent the branch code, which is specific to each individual branch of the bank.

On the other hand, the branch name refers to the specific name given to a particular branch of a bank. It helps in identifying and differentiating one branch from another. The branch name is generally based on the location or area where the branch is situated. For example, a branch of SBI located in Mumbai might have a branch name like “SBI Mumbai Main Branch.”

It is important to note that while the branch name can provide information about the location of a branch, it does not uniquely identify the branch for banking transactions. The IFSC code, on the other hand, is a unique code assigned to each branch and is used to ensure accurate routing and processing of transactions between banks.

The branch name and IFSC code are two different aspects related to bank branches. The branch name provides information about the location or area of a branch, while the IFSC code is a unique identification code assigned to each bank branch for electronic fund transfers.