All about IFSC code and its 6 Benefits

IFSC code stands for Indian Financial System Code which is an alphanumeric code consist of alphabets and numbers that indicate the bank branch participating in NEFT (National Electronic Fund Transfer) & RTGS (Real Time Gross Settlement). It is a unique code given to all bank branches so there is less difficulty in transferring the funds or money to beneficiary’s account. IFSC codes are based on city, district and state which help to find banks and branches all across India. All the bank branches that are participating in internet banking and online money transfer have the list of IFSC codes bank wise.

IFSC code contains 11 characters –

  • First 4 alphabets represent the ‘bank’
  • Fifth character is zero (0)
  • And last 6 numeric characters represent the ‘branch’

IFSC codes are the most important factor in terms of electronic money transfer. If any person wants to transfer money electronically to beneficiary’s account then, that person need to fill certain details. For example, beneficiary’s name, address, IFSC code account number, account type, etc. While filling the details, always make sure that you are putting account number and IFSC code correctly. Because, one wrong digit in IFSC code can transfer your money to someone else’s bank account.

Once a account holder fill all the details and submit the form, a message is sent by the account holder’s bank to the central Service Centre of the NEFT. This Clearing Centre sorts the funds bank and branch-wise and keeps a record of all the transactions of the banks involved. The recipient’s bank then gets a message about the transaction and the amount can be credited to the beneficiary’s account. The funds are debited from the originator’s account and credited to the beneficiary’s account.

Step by step process to find IFSC code –

  • Go to
  • Input the details or select from dropdown such as bank, branch, city, state, district and click on search.
  • The result will show you the IFSC code for the particular bank branch in which you want to transfer money.
  • You can also search for bank details by putting IFSC code or MICR number.
  • You can also visit; and watch tutorial video to find IFSC codes.

Benefits –

  1. It eliminates the time consuming factors such as demand draft, bank cheque to transfer money.
  2. Beneficiary gets the funds directly in his account hence, time and effort is saved.
  3. The system will not add any extra expense to the user.
  4. It will reduce the possibility of fraud or any loss.
  5. Both the account holders will get SMS or email of the transaction.
  6. Since the IFSC code is important in terms of internet banking, its make banking easy for the users.