What Is BIC?

A BIC is the address of a bank in the international payments network. When a client sends money from abroad, their bank uses the BIC to know which bank should receive it. The BIC identifies the bank, and sometimes a branch. It does not identify your own account, so clients also need your account number. In India, a BIC is separate from the IFSC, which is used for domestic transfers. Many banks call their BIC the SWIFT code, so you may see both terms on the same bank page. Ask your bank for the BIC to quote for inward foreign payments, because it may differ from branch to branch.

For example, a Chennai designer invoices a client in Germany. The invoice lists the designer's account number, the bank name and the bank's BIC. The client enters these on their bank's international payment form.

• Bank compliance: The BIC routes the payment to your AD bank, which then credits you and records the remittance. A wrong BIC can send the money to the wrong bank or delay it.
• FEMA: Regulation 5 of the FEMA Export and Import Regulations, 2026 sets the time limit for realising export proceeds, so a payment held up by a wrong code uses up part of that period.
• GST: For export of services under section 2(6) of the IGST Act, proof of how the payment arrived helps. Keep the bank advice that shows the credit.
• Income tax: Keep records that tie each foreign credit to an invoice, including the bank details the client used.

A BIC works as a routing address. The sender's bank reads the code in the payment message and passes the instruction toward the bank that code identifies.

1. You give the client your account number, bank name and the bank's BIC.
2. The client enters these details in their bank's international transfer form.
3. Their bank puts the BIC in the payment message.
4. The message may travel through one or more correspondent banks.
5. Your bank receives the message, credits your account and records the inward remittance.

Ask your bank or check its website, since the right code for inward foreign payments can vary by bank. Your bank can also confirm it in writing.

1. Look at the international or foreign remittance section of your bank's website.
2. Check your bank's inward remittance instructions for the code to quote.
3. If unsure, ask your relationship manager or trade desk to confirm in writing.
4. Add the BIC and the account number to your invoice template.
5. Test with a small payment first if a new client is unsure.

A BIC and an IFSC both identify a bank, but they work in different payment systems. The BIC is for international messages. The IFSC is used for transfers within India.

• Same as SWIFT code: Most people use the terms interchangeably. Check your bank's wording on its remittance page.
• Identifies the account: A BIC identifies a bank, not an account, so an account number is also needed.
• Same as IFSC: The two are different codes for different payment systems.

• SWIFT code: The common name for a bank's BIC.
• IBAN: An account number format used in many countries.
• Correspondent bank: A bank that passes on payments for another bank.
• Wire transfer: A bank-to-bank transfer of funds.

Every rule and definition on this page is linked to its official source, checked on the dates below.

1. RBI, FEMA (Export and Import of Goods and Services) Regulations, 2026 (FEMA 23(R)/2026-RB), Regulation 5 (realisation) and Regulation 19 (AD bank charges policy) (checked 9 Oct 2026)
2. IGST Act, 2017, section 2 (Definitions), Section 2(6) (checked 9 Oct 2026)