SWIFT Codes for All Banks in Nepal

Nepali Bank SWIFT Codes

Every month, there is a long queue of people at banks and remittance offices to receive the money their relatives send from abroad. Do you see yourself in parallel rows and wish things were different- that there was a better alternative to this? Do you want to receive the amount directly in your account? If yes, you are at the right place; here we present you a convenient option, namely wire transfer using SWIFT codes and the swift codes of Nepal banks.

Nepali Bank SWIFT Codes List

SWIFT Network And Codes

In 1973, to ease and smoothen the transactions that took place internationally, Brussels established some standards and a common process to carry out the transactions and set up SWIFT.

This network helps banks across the world carry out money transfer and get money moving from one country to another through correspondent banks. It works in over two hundred twelve nations, and over eleven thousand institutions connect to it. The network permits financial institutions to send and receive information securely. 

SWIFT enables two banks in different countries communicate about financial transactions securely and accurately instantly; it is just a messaging network which facilitates money transfer instructions, other names include Bank Identification Code and Bank Identifier Code (BIC).  

The SWIFT or Bank Identifier Codes (BIC) comprise of different letters. Different banks have other codes. The primary purpose these codes serve is communication between banks regarding international transactions. It resembles the postcodes since the main task is to ensure that the money moves to the right place and address. These codes are essential for international bank wire transfers.

How Does SWIFT Network Work?

We can take the analogy of international flights to explain the logic of the SWIFT network’s operation. Similar to how you handle the flights that connect different cities because of unavailability of direct flights, your money moves from one bank to another as it cannot move to the recipient’s account directly. The role of correspondent/ intermediary banks is paramount in international wire transfers using SWIFT. 

Note that only the payment orders move from one bank account to another; the funds do not move. The BIC system helps to identify different banks and enables the secure transfer of payment orders. SWIFT regulates the codes and International Bank account numbers. The network verifies the bank’s credentials when they send money transfer details. After the validity check, the bank which is on the receiving end of payment form can do clearance and deposit funds to the bank account of the recipient.

Apart from money transfer, SWIFT facilitates payment orders in the treasury markets. 

Who Uses The SWIFT Network?

Apart from banks, many different businesses and financial institutions use SWIFT namely clearinghouses, foreign exchange, corporate business houses, brokerage institutes, security broker-dealers, money brokers, treasury market participants, asset management companies and so on.    

If you work as a freelancer or work with an international agency and have funds online, SWIFT network is beneficial for you. This simple method can help you receive your funds quickly, and you may benefit from the fluctuation in the exchange rates. The codes let you withdraw money soon if you are working with sites like freelancer.com, oDesk, Amazon Kindle and so on. The Nepal bank SWIFT codes in international wire transfer fulfil the absence of Paypal or Skrill. 

You cannot send or receive funds without the Nepal Bank SWIFT codes. It would help if you had the SWIFT codes of Nepal banks along with the account number for money transfer. So far, there are no much alternatives to codes of Nepal banks. It is the global system for worldwide transactions, given its security and strength. 

The Relevance Of Nepal Bank SWIFT Codes For You

Remember that to carry out any international transactions, your local need must have affiliation with SWIFT. Then SWIFT network allows for secure communication among banks regarding the payment order and money transfer. 

Different banks have different codes, and these codes differ across other branches of the same bank. The SWIFT members receive unique codes to mark different bank branches too. Each bank branch has a unique identity to SWIFT. They get the certification after a strict evaluation of the bank’s credibility and legitimacy. 

Let us break down the SWIFT codes of Nepal banks for better understanding:

KKKK- The four letters in the Nepal bank SWIFT codes indicate the name of the bank and may look like the short form of its name. 

PP- The other two characters in the codes show the country code of different banks. You know the country of the bank.

QQ- The third two letters indicate the location code of head offices in the SWIFT codes of Nepal banks.

RRR- The last three letters in the codes tell you the specific branch of the bank.  

These codes have eleven characters in them if the bank does not have any branches. The same stays true for the head office of the bank. For example, Kumari bank’s code for the head office will be KIBLKPKT which may have triple X in the place of the code of branch making it appear like “KIBLKPKTXXX”; now it has 11 characters. It denotes the head office of the bank.

When you use Nepal Bank SWIFT codes of head office, the clearance takes place from head office to the branches account. Most of these codes in Nepal banks have eight characters which are replaceable by eleven characters, including the branch code. 

Points To Remember

• The banks involved in the wire transfer charge you fees while sending payment order using Nepal bank SWIFT codes. 
• It takes around five days to complete the transaction. 
• It may get expensive to send a small amount of money since it goes through correspondent banks who charge fees. 
• Banks often charge extra while exchanging currency for another country. The banks give their rates so you might get lesser money.
• Remember that these codes only help to communicate the transaction work. 
• You cannot transfer the money without SWIFT codes of Nepal banks.