Draft to Turkish banks via SWIFT
As you know there can be many limitations and problems to sending money to Turkey. Especially because of the restrictions created these days in Iran, it is more difficult to move funds internationally than before. Under these circumstances, Turkey is one of the educational and business purposes of the Iranians. In addition, many companies are trading with Turkish companies. Join us to introduce you to one of the international ways to transfer money and send money to Turkish banks via Swift
What is SWIFT?
SWIFT stands for Society for the Worldwide Interbank Financial Telecommunication is an acronym for identifying banks. Swift code is used to transfer international funds and send remittances. Even banks themselves use this system to convey messages to each other. The code is currently used in 11,000 banks and financial institutions in 209 countries. According to 2010 statistics, more than 15 million SWIFT messages are sent daily. It is said that the number of messages transmitted in 2015 was over 6 billion.Swift code is an 8 to 11-digit code. If Swift is 8-digit code, the destination bank branch is not specified because the last 3 digits belong to the branch code. Below we explain the meaning of the numbers and the swift code numbers:
The first part has 4 characters: This part represents the destination bank. Since the bank code is in letters, these 4 characters are definitely letters.
The second part has 2 characters: This part represents the destination country. Like IR for Iran or TR for Turkey. This section is made up of English letters.
The third part has 2 characters: This is the destination bank position code.
The fourth part has 3 characters: This is the destination bank branch code and is optional.Swift is a system in which bank transfers take place not in the form of money, but in the form of a password between two banks and the credit they hold with each other. This information and passwords actually exist between the source and destination computers and the password cannot be unlocked before reaching the destination computer. It is one of the safest systems for transferring money abroad, and so far there have been no reports of malfunctions or errors.
History of SWIFT
Swift was first used in 1973 in Brussels, Belgium. The protocol goes back to World War II, when the military used an initiative called Teleprinter Exchange or abbreviated Telex to encrypt messages. Shortly thereafter, it became an international practice among financial institutions. Gradually, with the advent of technology, this method became obsolete and was gradually eliminated because it was slow and lacked sufficient security.
When it came to electronic money nowadays, this method was merely used to transmit a bank message. Then, in 1973, after a long study, Swift was chosen as a replacement for Telex, and Brussels as a neutral city was chosen as the headquarters for Swift. In less than three years, 500 institutions and 22 countries joined Swift, and the system gradually took its place among global banking.
How does SWIFT work?
Swift is an electronic credit transfer system but does not exchange any money. In fact, Swift is just a banking messaging system and a communication protocol. Banks that do this kind of exchange of information together should be linked in credit transfer. Each business institution has a computer terminal and launches its own SWIFT system.
The remittance you send to the Swift system may have different fees. The fees vary depending on where you go, deposit amount and country of destination. The funny thing is that transferring money between banks that are less geographically distant often involves less fees.
An important part of this fee belongs to intermediary banks. In fact, your money is not directly deposited when moving from origin to destination and has a series of stops in the middle stations. This fee is determined by the amount of the deposit money and the intermediary bank law. You can either pay the brokerages yourself or announce that the money will be deducted. In fact, you have three ways to go.
OUR: In this way you as a sender pay all the brokerage fees.
SHA: In this way the cost of commissions is divided between the sender and the receiver. You pay part of it first and part of the money is deducted.
BEN: In this way all costs will be with the recipient because they will be deducted from the amount of money sent.
There is another type of fee that the sender receives from you at the outset, depending on the amount of money, the exporter and the speed. The faster your money transfer, the more you will pay
What is Swift work in Turkey?
Banks in Turkey are connected to the international system. This makes it a little difficult for us to transfer money to Turkey.
To transfer money through Swift to an account in a Turkish bank you need to have the following information:
- Account holder name
- IBAN NUMBER
- Swift Code
- Bank name
- Branch code if you want to withdraw money from a particular branch
Money transfers can take anywhere from a few business hours to four business days, and note that Turkish banks are closed on Saturdays and Sundays, and if your remittance business closes these days, the recipient will have to wait until Monday