Planning on sending money internationally, to a business, vendor or contractor abroad? You’ll likely need to execute a wire transfer through your bank. After all, it’s more practical and safer than mailing a check or money order! However, before you can execute a wire and send your money, you’ll need some information. The bank needs to know how to route that money to the right place.
Here’s a look at some of the information your bank will ask for when you try to initiate a wire transfer—and why it’s important. Take note and come prepared, so you don’t delay the transfer of funds!
Domestic Wire Transfer Information
Before we look at the nuances of international wire transfers, it’s important to consider the baseline information that’s needed for domestic wire transfers. Why? Because international transfers also require this information, along with some extra clarification. Getting familiar with the baseline information needed to send a wire is a good start.
For domestic wire transfers, you’ll need to present the following information to your bank to initiate the transfer:
- Recipient full name
- Sender full name
- Recipient phone number
- Sender phone number
- Recipient address
- Recipient bank name and information
- Recipient checking account information
Why is all of this information required? Well, for starters, the bank needs to know where to send the money! The recipient’s banking information will make sure the funds land in the right place: the right account at the right bank. The identifying information—the recipient’s name, number and address—are all used to verify that the person you’re sending money to is the right recipient.
While it might seem like a lot of information needed to execute a simple transfer, it’s all important in verifying the transfer of funds. Especially if you have thousands or tens of thousands of dollars on the line, it’s critical that every variable is verified and that the money gets to where it’s going safely.
International Wire Transfer Information
Banks will take even more precautions when wiring money overseas. Not only will they ask for all of the identifying information listed above, you’ll also need to provide additional information about the institution the money is going to. This can include:
- International Bank Account Number (IBAN)
- Bank Identification Code (BIC) (SWIFT code)
Both of these numbers are identifying information for banks, used to properly identify the foreign institution that’ll receive the transfer. As money moves through the SWIFT system, these will also ensure the most efficient routing of funds from one bank to the next.
Miscellaneous Information Required
Sender and recipient banking information aside, many financial institutions may also require additional information before they execute a wire transfer. Especially if the transfer sees money moving overseas, banks will do their due diligence to make sure the transfer is legitimate. To that end, you might be asked to provide additional information.
Many banks will ask for some form of legal identification before executing an international wire transfer. This usually just means a drivers’ license or passport, or could even be something as simple as a secondary form of identification like a business credit card in your name. if you have additional account with that particular banking institution, they may ask you to verify account details before initiating the transfer.
In special situations—such as transfers above a certain threshold or transfers to particular countries—banks may be compelled to add additional verification criteria. This can include signing documentation of your wire transfer or completing a disclosure about the funds.
Ultimately, miscellaneous information required for wire transfers depends on the institution. Most often, you’ll just need to provide a photo ID. In other instances, the process of executing the transaction might be more rigorous.
Check Your Institution’s Website
When it comes to setting up a wire transfer, you’ll need to jump through a few hoops to get everything set up. However, if you’re setting up recurring wire transfers, your bank likely won’t need the same information every time—most will allow you to save a payee or recipient.
The problem with wire transfers is that recurring transfer fees add up. Each institution has its own costs and fees for sending wire transfers, much like they might require different levels of information. A few wire transfers can add up to hundreds of dollars in fees quite quickly. It’s why more businesses have turned to digital payments.
Digital payments don’t just absolve businesses of the costs of wire transfers—they also simplify the process of sending them. Instead of requiring a full repertoire of information, digital payments allow you to send money using only the recipient’s wallet ID number. So long as they have a digital wallet, sending money takes just a couple of clicks. See for yourself! Contact Veem today to schedule a demo.