From this article, you will know, What Is a Bank Routing Number and it’s Use, kinds, and Where do you find on a Check?
Routing Number (also known as an ABA routing number and Routing Transit Number or RTN) is a nine-digit numerical code which is used to identify a banking or other financial institution for the purpose of clearing funds or processing checks. (Learn more For Home page Link)
Every bank needs 2 kinds of information to identify customers and all other purposes as money deposit, withdraw, fund transfer etc: the routing number and the account number. Without this 2 number, it is not possible to identify customers. So in this article, I will share with you about it. from this article,
What Is Routing Number?
A routing number (also known as an ABA routing number and Routing Transit Number or RTN) is a nine-digit numerical code which is used to identify a banking or other financial institution for the purpose of clearing funds or processing checks. Its identifies the location where your account was opened. So this number is very important for all bank account holders.
Different types of routing numbers
We have noticed that some banks are using different routing numbers for different types of fund/money transactions.
As For example, We can say, Direct Deposit and Automated Clearing House (ACH). Some bank use two kinds of routing number for this 2 types of money transactions. For direct deposits and Automated clearing house (ACH) transfers may be different from the one used for wire transfers.
ACH transfer: ACH transfer refers to the electronic transfers between financial institutions conducted through a third-party clearinghouse. The banking system has utilized the ACH method for more than four decades.
Wire transfer: Wire transfer refers to the direct transfers between banks, which do not need to be cleared by a third party. Because wire transfer is direct bank-to-bank transactions.
Remember: Wire Transfer is faster than ACH transfers. But wire transfer is also more expensive than ACH transfers. ACH transfers are usually free. But Wire Transfer is expensive.
Wire transfer fees depend on financial institution or Banks. We have seen some financial institutions fee. So we can say that an average fee for sending a Wire Transfer ranges from $20 to $35, And for receiving one the fee ranges from $10 to $20.
Important Note: It’s very hard to find the right routing number for this type transaction. So I will suggest you to make sure again and again that what type of transaction you are using and that type of routing number you are using. In this case, If you’re not sure which number to use, you should contact your local bank for help.
Use of Routing Number
here are several situations in which you’ll be asked for your bank’s.
As for example,
- If you’re processing checks or transferring money internationally, you’ll be asked to provide your bank routing number.
- If you need to accept payment from wire transfers, of course you need it.
- If you need to ACH Transfer (Automated Clearing House) or deposits. You need to use this Number.
- If you’re making a payment by phone or online, or if you’re making automatic bill payments, you’ll need to provide your account number and routing number.
- You can use your banks routing for Bill payments, cheque processing.
So it’s a good idea to look them up online in order to avoid processing delays. Read more.
Importance
It will be very necessary for you when you need money transfers. Some banks use SWIFT Code for wire transfer. You can not transfer your money without this one of this code. Because If you want to send money, you need to use your branch details for recognizing you and your bank. Always use the correct routing number before you initiate a money transfer.
Remember, Of course, you need to verify your banks routing number before you start any kind of money/funds transaction. You must know your state name, and your account type to get your routing number. It is important to use the correct routing number for the money transaction. because it may differ on your check may be some time differ from the routing number you would use for a wire transfer.
The routing number is also important for the IRAs, Prepaid cards and savings accounts and can be used to identify financial institutions when you are doing other transfers such as bill payments, cheque processing, and Automated Clearing House (ACH) deposits. The American Bankers Association (ABA) usually manage the official routing number registrar.
Routing Number analysis for better Understanding
For a better understanding of Routing Number, you should know the Routing Number Structure. Look at the image below very carefully then read details,
The Routing Number is a 9-digit number consisting of three components as shown below:
XXXX YYYY C
- 1st 4 digit number: Federal Reserve Banks Number.
- 2nd 4 digit number: ABA Institution. or Banks and
- Last 1 digit Number: Check Digit
In this above image, you have seen, Wells Fargo Banks 9 digit routing number which is divided into 3 sets of number. 1st 4 digit number is provided by Federal Reserve Banks Number, 2nd 4 digit number is Wells Fargo Banks Number (ABA Institution.) and last 1 digit number for Check.
I’m giving you one more example, for your better understanding. if you have a telephone number then you can understand easily.
Here is a 15 digit telephone number. 008802932007005 or +8802932007005
1st 4 digit number is Country code which is provided by ISO. Here 0088 or +88 is country code, 02 Local Area code and last 9 digit number is telephone number. Here 932007005 is telephone number.
Let’s see, How the Bank Routing Number is Derived?
If we analysis this Wells Fargo Bank’s 9 digit Routing Number, we will get the first 4 digits to represent the Federal Reserve routing symbol. It identifies the check’s location. The next 4 digit numbers are the American Bankers Association (ABA) identifier Number. This 4 digit number helps define the financial institution which you opened your account. and the last 1 digit number is the check digit that is usually calculated using an algorithm. This last 1 number is used to authenticate the 8-digit bank routing number. This number used to validate a check digit by calculating the algorithm and comparing it with the one that is printed on the check.
Ways to find Routing Number? (Routing Number Lookup ways)
Routing Number Lookup on Check
There are several ways to find the routing number. Here I’m trying to explain to you the details.
There are several ways to ABA Routing Number lookup. you can find your Bank ABA Routing Number if you need it. I’m telling you all the ways of ABA Routing Number lookup.
Find Routing Number on Check: You can find your Bank ABA Routing Number at the bottom of your checks, At the bottom of your check, you will get 3 sets of number. You will find the set of 9 digit numbers on the left side of your account number at the bottom of your check. Click here for more help to lookup Routing Number on Check.
Note: You will get 3 set of number at the bottom of your check. From the left to right – Routing Number, Account Number and Check Number. It is very Important to identify this 3 number. Click here to understanding the check.
Bank Statement: Generally, Most of the bank do not write their routing number on Statement but some bank and financial institution. So you will get it on your bank statement paper.
Banks official website: Go to Bank‘s official website for your desired branch‘s bank ABA Routing Number. Because you will get all branch routing number and SWIFT Code here. Banks often list their routing numbers on their websites. Find it on the bank’s website. It is not a secret. Here I have collected top 16 US Banks website’s official link for you so that you can find out easily. Below are links to pages where you can find routing numbers of the Largest commercial banks in the United States:
| Wells Fargo | Bank of America |
Chase |
| Citibank | PNC Bank | US Bank |
| Capital One | TD BankKeyBank |
Banks Online Account: Go to your bank’s online account for your ABA Routing Number Lookup. You will find it your banks on your online account page. Remember, you must log in your bank’s online account to get your routing number. Different banks put them in different places so there is no single place to suggest looking.
Banks official App: You will get your Bank ABA Routing Number on banks official app or android mobile app. So lookup the official app for your.
banksinfo.us: Just go to https://www.banksinfo.us/ and then type your bank name on the search box. You will get all banks service information, address, BIC Code or swift code and routing number here.
Hope you will understand all about this topic. if you read attentively this article. If you want to know more, comment below. I shall try to response to you as soon as possible.
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