What is SWIFT payment?

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SWIFT payment 

SWIFT payments or international wires are a type of international wire transfer sent via the SWIFTs' global payment network. With the introduction of fiber optics, you do not need old-fashioned telegrams and can be processed via the internet by using special links to the bank between the remitter and the bank in the form of code and password.

SWIFT is the acronym for: “The Society for Worldwide Interbank Financial Telecommunication,” which is like a bank in its own rights, but more like a handling center through which all electronic payments pass.  Each person who has a SWIFT Account has a particular number (similar to a bank account number), and on top of that, a SWIFT address which is a unique IP address for SWIFT.  Moreover, each time you make a SWIFT payment, it is real-time (maximum 2 hours) and an audit trail of where the funds came from, which correspondent bank (if through another country), and the destination account it finally landed up in.

All banks across the world now have an IBAN number, which is bespoke to each bank and branch within a country that provides a full audit trail for both remitter and recipient.

Therefore, the SWIFT is just an updated, faster, safer version of the old wire transfer system.

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