Sort Code vs. Routing Number: Which One Applies to Your Transaction
Contents
- The Main Difference Between Sort Code vs. Routing Number
- What Is the Sort Code?
- What Is the Routing Number?
- When Can You Use Routing Number vs. Sort Code?
- Conclusion
- Frequently Asked Questions
- Are sort codes swift codes?
- Do international bank accounts have a sort code?
- Are IBANs the same as routing numbers?
- Sources
When sending money abroad, you will run into acronyms like IBAN and SWIFT code, plus national bank codes that differ from one country to the next. They can be confusing the first time you send money.
In this article, we'll answer the question, "Routing number vs sort code: which one applies to my transaction?"
The Main Difference Between Sort Code vs. Routing Number
- A sort code has 6 digits, whereas a routing number has 9 digits.
- Sort codes are used for payments in the UK, whereas routing numbers are used by banks in the US.
- UK banks often print the sort code on debit cards, whereas US banks generally don't print the routing number on cards.
What Is the Sort Code?
A sort code is a 6-digit number that identifies a UK bank or payment provider and the branch where an account is held. Pay.UK describes the sort code as an integral part of the information used to route and settle payments in UK systems such as Bacs, Faster Payments and cheque clearing.
The 6 digits are usually written as 3 pairs (for example, 12-34-56). Together they identify the bank and the specific branch where the account was opened.
These codes help banks route money between accounts correctly. You can find your sort code on your bank card, checks (cheques), statements or in your banking app. Leading zeros are kept, so a sort code always has 6 digits.
The sort code is also built into UK IBANs, which are used for international payments. A SWIFT code (also called a BIC, from the Society for Worldwide Interbank Financial Telecommunication network) identifies the bank itself rather than the branch.
SWIFT codes come in handy for international transfers, since most cross-border bank payments need one. A SWIFT code contains a bank code, a country code, a location code and sometimes a branch code.
What Is the Routing Number?
The routing number is a 9-digit code used by banks in the US. It is also called an ABA routing number or routing transit number, and you can find it on bank websites and at the bottom of personal checks, next to the account number.
Banks use routing numbers to direct payments between US accounts, including checks, ACH transfers such as direct deposit, and wire transfers.
The digits follow a set structure: the first 4 are the Federal Reserve routing symbol, the next 4 identify the financial institution, and the last digit is a check digit used to catch errors.
The American Bankers Association created the system more than one hundred years ago to help process checks, and it still oversees routing numbers today.
When Can You Use Routing Number vs. Sort Code?
The two codes do a similar job in different countries. You'll need a sort code to pay a UK account from within the UK, and a routing number to pay a US account from within the US. Since these are local bank transfers, you won't need a country code.
For both, you'll also need the recipient's account number. For international transfers, the sending bank will usually ask for a SWIFT/BIC code, and for UK and European accounts, an IBAN.
Conclusion
Sort codes and routing numbers do the same basic job in different countries. Sort codes are used for UK payments, whereas routing numbers are used for US bank transfers.
The other key difference is length: a UK sort code has 6 digits, while a US routing number has 9 digits.
Frequently Asked Questions
Are sort codes swift codes?
No. A SWIFT code identifies a bank for international transfers, while a sort code identifies a UK bank and branch for payments within the UK.
Do international bank accounts have a sort code?
Only UK accounts use sort codes. A UK IBAN includes the sort code and account number, and the bank's SWIFT/BIC code identifies the bank for international payments.
Are IBANs the same as routing numbers?
No. An IBAN identifies a specific account for international payments, while a routing number identifies a US bank. IBANs are standard across Europe and in many other countries, but the US does not use them.
Sources
- Sort code information, Pay.UK
- ABA Routing Number, American Bankers Association
