IBAN, which is the acronym for the International Bank Account Number, is a unique code which is associated with the bank account of the customer and allows both national and international money transfer. Creation of IBAN numbers is subject to ISO 13616 standards. It starts with a 2-digit country code which is followed by either numbers or alphanumeric characters depending on the country standards. The length of the IBAN also varies according to the country.
How to Create International Bank Account Number
Before you can have an IBAN you should have a bank account in the country you reside. If you plan on spending a significant time abroad, you should seriously consider opening an international bank account for your international money transfers and financial transactions. Once you get to do that you will find out that offshore banks require proof of identity and other documents for identification in the course of account opening and might want to know the source of your deposits.
Who needs an international bank account?
Anyone spending significant time abroad—for a job, a course of study, a fellowship program, or another reason—should consider opening an account in that country.
Travelers can often use their credit or debit cards anywhere in the world. But banks charge fees for international transactions.
The fees may not be more than 3% to 5% per transaction, but they’ll add up. Exchange rates in a new country’s currency can also affect the value of your dollar.
Withdrawing cash? You’ll also get hit with a foreign ATM fee.
For the occasional international trip this isn’t a big deal. But for three months or longer in a new country, opening a local bank account in addition to your US bank can save you major cash.
Opening an account
Specific document requirements differ from country to country. But no matter where you are you’ll need:
Proof of Identity. Bring your passport and driver’s license or state ID. Many banks require two forms of ID (a student ID may or may not count, but a birth certificate most likely will).
Proof of Residency. You may need proof of residency in the United States, proof of an address in the foreign country, or both. A recent utility bill, lease agreement or an ID with your address should work.
Startup Funds. Some banks often have minimum startup funds required for deposit
A student or work visa if you need one for the country.
A university letter or proof of school enrolment.
A letter of employment or employment contract.
Transferring Money
The easiest way to move cash from a domestic account to an overseas one is via wire transfer or digital wallet.
There are two codes being used for international transactions, and you might need one of each.
SWIFT code
The SWIFT code is a type of Bank Identifier Code (BIC) used to identify banks around the world. Your SWIFT or BIC code usually shows up on your account statements. You can also look up your code using a SWIFT code finder.
IBAN number
IBAN was first created to facilitate electronic payments between banks across the Eurozone. Since then, it has expanded worldwide, although not all banks and not all regions have joined the standard and you may still need to rely on alternative systems such as SWIFT instead. North American, Australian, and Asian countries do not use the IBAN for domestic money transfers, and will only do so when sending a payment to a country that has adopted the IBAN.
With Jeton Business you will be able to create your customised IBAN for your business as well. Here is how.
You need to follow only 3 steps:
1- Create a business profile: You may register a profile by entering your email address, creating a password, validating your phone number and entering the company profile information. By creating a business account, you can open a European account anywhere in the world. Not only can you make instant cross-border payments but also any companies or banks across the globe can fund your account in multi currencies.
2- Complete the application form: After creating a business profile, you should complete an online application form. Please make sure that you enter the authorised signatory name while confirming the e-signature on the form.
3- Upload the required documents: As the final step, you should upload the listed documents required from your company. Checking the documents list on this link might help you for a fast registration.
