Bank routing is used to signify which financial institution a check originates from. This can be important on a number of levels and can be checked online.
What Is A Bank Number?
A bank routing, otherwise referred to as an ABA or a routing transit number, is a nine digit code. The purpose of it is to signify what financial institution a particular account is connected with. They are generally located at the bottom of checks or other financial negotiating equipment. Such routing are used generally in the USA and each financial institution has at least one bank.
What Do The Digits Mean?
All bankfollow a standard format. The first two numbers refer to a US city or state. For instance, 59 would mean that the check comes from Hawaii. The following three digits signify which financial institution the check is from. The next three digits refer to the Federal Reserve Symbol which is an indication as to which Federal Reserve Bank the money originates from. The last number is used by the computer to check that the first eight digits were recognized correctly.
Why Are They Used?
In general, a bank number enables people to write checks as opposed to having to pay with cash. In this sense, the bank, in essence, is the address of where the check originated and the return address of where the money should go. This information can then be used by those sorting and delivering the checks.
Apart from paper checks, a bank can be useful in other instances. For example, if an individual wants money to be drawn directly from their account for their cell phone or cable bill. An ABA
routing number is also used in the case of Fedwire funds which are transferred by the Federal Reserve Banks as well as for the processing of automated transfers, for example, bill payments and direct deposits by the Automated Clearing House.
What can you check for online?
If you use a bank database, it's possible to find a number of pieces of data. For example:
* Institution's Routing Number
* Servicing FRB Number
* Date a Bank was changed
* Routing Transit Number address
* Bank office code
* New Bank Number.
Where can you verify a one online?
Verifying a one over the Internet is the simplest and quickest way. It can be done by using a routing number verification website. These websites are made up of databases from different financial institutions. You can check a number by searching for a bank's name and where they are based or even by using the routing or part of it. A number of these websites offer free service. For others you may have to pay a fee.