What is Sort Code? All You Need to Know

Sort codes are unique codes used by banks in the UK (United Kingdom) and Ireland to identify the banks and branches accurately. If you’re planning to open a UK bank account or use online banking facilities, learning about sort codes is essential. Electronic fund transfer systems in the UK like CHAPS, BACS, and Faster Payments also use sort codes.

This guide covers all the information you must know about sort codes including their definition, structure, and how to use them effectively.

What is a Sort Code?

A sort code is a 6-digit number code of a particular bank and its specific branch in the UK and Ireland. For example, 606004 is the sort code for the National Westminster Bank and London Bridge branch. 606008 is the sort code for the same bank but for the Maidstone branch. 

So when you share your bank details with someone for any transactions in the UK and Ireland, you must share your sort code and account number with them. Similarly, when making online money transfers, you must ask for the beneficiary's sort code and account number. Be careful about using sort codes while making payments as incorrect sort codes could result in loss of funds.

Using a sort code is a necessary protocol when making an online payment or receiving money online in the UK or Ireland. The banking system in these countries relies on the sort code to process the payments efficiently and accurately.

Anatomy of a Sort Code

Each bank sort code is made of three pairs of numbers. Each pair signifies a different component. 

The components are:

Let's take the example of the following Sort code and break it down:

20-45-78

Let's take another example:

04-00-04

Why Sort Code Matters in Banking?

A sort code is like your account’s address. With the help of sort codes, financial organizations in the UK and Ireland route the payments to the right destination accurately. If you use a wrong sort code, transactions could be delayed, misdirected or credited to the wrong account. 

In addition to domestic transactions, the sort code works in conjunction with the International Bank Account Number (IBAN). IBAN is used for cross-border payments and used as a standardised numbering system to identify international accounts. 

An IBAN could contain up to 34 characters depending on the number of fields. The most common fields are country code, check digits, bank code, sort code, and bank account number. 

 GB                        92                  BARC            000102             12345678

Country code       Check digits       Bank code          Sort code          Account number

How to Find Your Bank Sort Code?

Here's how you can find your Sort code: 

Is Sort Code the Same as SWIFT code?

Sort code and SWIFT code are not the same. Here are the key differences:

Sort code

Sort code is a six-digit number used to identify bank accounts in the UK and Ireland. With the help of sort codes, banks could process the transactions accurately.  Sort codes are used for domestic transactions in the UK and Ireland like sending money online or setting up standing orders for direct debit. 

SWIFT code

SWIFT code is an abbreviation for the Society for Worldwide Interbank Financial Telecommunication. SWIFT is an alphanumeric code used globally to identify international banks and other financial institutions. 

SWIFT code is useful for receiving money from overseas or making international payments. If you’re buying goods from a foreign vendor, you must ask for their SWIFT code to make the payment. 

What is Sort Code in India?

Sort code is not used in India. IFSC (Indian Financial System Code) is used to make domestic financial transactions in India via various internet payment mediums like RTGS, NEFT, and IMPS.

The Reserve Bank of India (RBI) assigns IFSC to banks and monitors the banking operations closely. This oversight by RBI ensures a smooth and secure banking environment. Your bank’s IFSC will be printed on the passbook and chequebook. Alternatively, you can also check the bank’s website. 

An IFSC is made of 11 alphanumeric characters identifying the bank and its branch accurately. For example, SBIN0070001 is the IFSC for the SBI Bank, Mumbai (main branch).

Receive Seamless Payments from UK with Skydo

If you work with UK-based clients, banks are one of the most reliable ways to receive payments. However, banks deduct a host of fees like currency conversion charges, SWIFT fees, and other charges levied by participating banks before crediting the amount to your account.

You can avoid these high amounts of deductions by choosing other reliable platforms like Skydo. Skydo creates virtual accounts which are electronic accounts with a unique 18-digit code linked to your bank account. 

Skydo charges flat costs, real-time exchange rates, and no hidden fees or extra costs. Visit Skydo to learn more and sign up for your international virtual account for free.