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What Is a SWIFT Code?

What Is a SWIFT Code and Why Businesses Must Know Before International Transfers
  • 3
  • April

A SWIFT Code (also known as a BIC — Bank Identifier Code) is an internationally standardized code used to identify banks in cross-border financial transactions. Every time a business needs to send money internationally — whether paying an overseas supplier, settling import invoices, or receiving payments from foreign clients — the recipient bank's SWIFT Code is essential. This article covers everything businesses need to know: how SWIFT Codes are structured, how to read them, a complete list of Thai bank SWIFT Codes, and how ERP systems help manage this critical data.

Quick Summary: A SWIFT Code is an 8-11 character code that identifies a specific bank and branch in the international payment network. A single wrong character can cause the payment to go to the wrong bank, incur additional fees, or be returned entirely.

What Is SWIFT? Why Does It Exist?

SWIFT (Society for Worldwide Interbank Financial Telecommunication) is an international financial messaging network founded in 1973, headquartered in Belgium. Today, it connects over 11,000 financial institutions across 200+ countries, serving as a "common language" for banks worldwide to communicate securely and in a standardized format.

Before SWIFT, banks relied on Telex (teleprinters) to send transfer instructions — a method that was slow, error-prone, and lacked standardization. SWIFT was created to solve these problems by assigning a unique code to each bank: the SWIFT Code (or BIC).

SWIFT Code Structure — 8 to 11 Characters

A SWIFT Code consists of 8 or 11 alphanumeric characters, divided into 4 parts:

Part Position Length Meaning Example
Bank Code 1-4 4 letters Abbreviated bank name BKKB = Bangkok Bank
Country Code 5-6 2 letters ISO 3166-1 country code TH = Thailand
Location Code 7-8 2 alphanumeric Head office location BK = Bangkok
Branch Code 9-11 3 alphanumeric (optional) Branch identifier (omitted = head office) XXX or omitted

Example: The SWIFT Code for Bangkok Bank, Head Office is BKKBTHBK
BKKB = Bangkok Bank | TH = Thailand | BK = Bangkok | (No Branch Code = Head Office)

Thai Bank SWIFT Codes (Updated 2026)

A comprehensive list of SWIFT Codes for Thai commercial banks and specialized financial institutions commonly used in international transactions:

Bank SWIFT Code
Bangkok Bank (BBL) BKKBTHBK
Kasikornbank (KBANK) KASITHBK
Siam Commercial Bank (SCB) SICOTHBK
Krungthai Bank (KTB) KRTHTHBK
Bank of Ayudhya / Krungsri (BAY) AYUDTHBK
TMBThanachart Bank (TTB) TMBKTHBK
United Overseas Bank (UOB) UABORB2B
CIMB Thai (CIMBT) UBOBTHBK
Land and Houses Bank (LH Bank) LAABORB2
Government Savings Bank (GSB) GABORB2B
Bank for Agriculture and Agricultural Cooperatives (BAAC) BAABORB2
Export-Import Bank of Thailand (EXIM) EXOBTHBK

Note: SWIFT Codes can be either 8 or 11 characters. An 8-character code routes to the head office automatically. To specify a particular branch, add the 3-character Branch Code.

SWIFT Code vs IBAN — What's the Difference?

Many people confuse SWIFT Codes with IBANs because both are used in international transfers. However, they serve entirely different purposes:

Criteria SWIFT Code / BIC IBAN
Identifies The bank The recipient's account
Length 8-11 characters 15-34 characters (varies by country)
Used in Worldwide (200+ countries) Primarily Europe + some countries (80+)
Used in Thailand? Yes No (standard bank account numbers are used instead)
Example BKKBTHBK GB29 NWBK 6016 1331 9268 19

Easy to remember: SWIFT Code = "Bank's address" | IBAN = "International account number"
Sending money to Europe requires both SWIFT Code + IBAN | Sending to other countries uses SWIFT Code + standard account number

Why Must Businesses Know About SWIFT Codes?

For businesses that pay overseas suppliers or receive cross-border payments, a SWIFT Code is not just "a field to fill in" — it directly impacts costs and timelines:

1. Wrong SWIFT Code = Additional Costs

If a SWIFT Code is entered incorrectly — even by a single character — a cascade of consequences follows:

  • Return fees: Banks charge approximately USD 15-50 per returned transaction
  • Intermediary bank fees: If the payment reaches the wrong bank, correction through intermediary banks adds another USD 15-60
  • Delays of 3-7 business days: What normally takes 1-2 days can stretch to 5-10 days
  • Operational risk: Suppliers may withhold shipments until payment is received, disrupting production schedules

2. Scattered Vendor Banking Data

Organizations with many international suppliers commonly face these issues:

  • SWIFT Codes stored in separate Excel files — risks of relying on spreadsheets
  • Procurement knows the details but accounting doesn't, or vice versa
  • Outdated data that was never updated after bank mergers or acquisitions

3. Audit Requirements Demand Complete Records

Auditors verify that every international payment has the correct SWIFT Code, matches the Vendor Master record, and has complete supporting documentation. Without a systematic approach to storing this data, audit preparation becomes unnecessarily time-consuming.

How ERP Systems Help Manage SWIFT Codes

A well-designed ERP system addresses SWIFT Code challenges from the source:

ERP Feature How It Helps
Vendor Master Data Stores SWIFT Code, account number, and bank name for every supplier in one place — no need to ask repeatedly
AP Payment Module When creating a payment, the system auto-populates the SWIFT Code from Vendor Master, eliminating manual typing errors
Validation Check Validates SWIFT Code format (8 or 11 characters, correct alphanumeric pattern) before saving
Audit Trail Records who changed a SWIFT Code and when — preventing unauthorized modifications
Bank Master A centralized bank database for the organization — all vendors using the same bank reference one SWIFT Code record

Real-world example: The Accounts Payable (AP) team creates a payment order for a Japanese supplier → the ERP system auto-fills SWIFT Code BOTKJPJT from Vendor Master → format validation passes → data is sent to the bank without re-typing.

How to Find a Foreign Bank's SWIFT Code

When making international transfers, you can find the recipient bank's SWIFT Code through:

  1. Ask the supplier directly — the most reliable method, as you get the SWIFT Code, account number, and branch name all at once
  2. Check the recipient bank's website — usually found under "International Transfer" or "Wire Transfer" pages
  3. Contact your own bank — Thai banks can help look up SWIFT Codes for foreign banks

Common Mistakes with SWIFT Codes

Mistake Impact Prevention
Transposed characters (e.g., BKKBHTBK instead of BKKBTHBK) System can't find the bank → payment returned Use ERP Vendor Master — enter once, reuse forever
Using an outdated SWIFT Code (after bank merger) Payment may be delayed or routed through intermediary banks Review Vendor Master annually or when bank mergers are announced
Not specifying Branch Code (using 8 characters when supplier is at a branch) Payment goes to head office first, then routes to branch → 1-2 day delay Ask supplier whether they need the 8 or 11-character code
Confusing SWIFT Code with IBAN Wrong field filled → transaction rejected Remember: SWIFT = identifies the bank, IBAN = identifies the account

Summary — SWIFT Code Is Essential Knowledge for Import-Export Businesses

Topic Key Takeaway
What is a SWIFT Code An 8-11 character international code that identifies a specific bank
Structure Bank Code (4) + Country Code (2) + Location (2) + Branch (3, optional)
SWIFT vs IBAN SWIFT identifies the bank / IBAN identifies the account — Thailand does not use IBAN
If entered incorrectly Additional fees + 3-7 day delays + supply chain disruption
How ERP helps Stored in Vendor Master, auto-populated, format validated, full audit trail

"Vendor banking details should never live in a spreadsheet or in one person's memory — they belong in a system where every team member can access, verify, and update them in an orderly manner."

If your organization is looking for an ERP system that comprehensively manages bank data, Vendor Master, and Accounts Payable (AP) processes — Saeree ERP is ready to consult with you.

Interested in ERP for your organization?

Consult with our expert team at Grand Linux Solution — free of charge

Request Free Demo

Call 02-347-7730 | sale@grandlinux.com

References

Saeree ERP Author

About the Author

Sureeraya Limpaibul

Managing Director, Grand Linux Solution Co., Ltd. & Founder of Saeree ERP — providing comprehensive ERP consulting and services.