Swift
Swift
Swift
S for Society
W for Worldwide
I for Inter-bank
F for Financial
T for Telecommunications.
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S.W.I.F.T. constituents
It is a co-operative society of International
Banks founded in 1973 with headquarters at
Brussels , Belgium.
Besides Banks ,it has certain approved
categories of non-Bank Institutions like
security brokers / dealers, clearing/deposit
institutions, exchange / Travellers Cheque
issuers etc. as it’s members.
It’s website is www.swift.com
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What does it provide ?
• It provides a network
enabling financial institutions
to send and receive information about
financial as well as non-financial transactions
in a secure, standardized fast and reliable environment
on Global basis.
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Background (earlier prevailing system)
Total Manual Period
In olden times all documents were sent through air-mail and
bore signatures of Authorised Bank officials .
Banks were hence required to maintain such signature books
These were up-dated from time to time and were needed for verification of signatures.
Naturally this cumbersome procedure delayed conveying of message.
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Message format - fields
Each message text is divided into different parts called ‘ fields’
for :
-easy identification.
-indicating specific action associated with that part.
Some fields are mandatory - MF
Other fields are optional - OF
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MT-103 Continued
Message text
20/ Sender’s references
SP02101810571000
23B /BANK OPERATION CODE
CRED
32A /VAL DTE/CURR/INTERBNK SETTLD AMT
150818USD1875, 2015-08-18
US DOLLAR 1875,
33B/CURRENCY/INSTRUCTED AMOUNT
USD1875, US DOLLAR
50K /ORDERING CUSTOMER
P AND H LTD
20 DOUGHCLOYNE
COURT IND EST
WILTON CORK
52D /ORDERING INSTITUTION- ADDRESS
HNB,WILTON CORK
message text continued on next slide
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Message text contd.
53A /SENDER’S CORRESPONDENT-BIC
CHASUS33XXX JP MORGAN CHASE BANK
NEW YORK,NY
57A /ACCOUNT WITH INSTITUTION
PUNBINBBDCG PUNJAB NATIONAL BANK
NEW DELHI ( E.C.E.HOUSE)
59 /BENEFICIARY CUSTOMER
/1120-87-771
SURYA ROSHNI LTD.
70 /REMITTANCE INFORMATION
/RFB/2199FT/OBI/PRO INV NO. 02-03-CC
71A/ DETAILS OF CHARGES
BEN
71F/SENDER’S CHARGES
USD25, USD25,
72/SENDER TO RECEIVER INFORMATION
PAY IN EQUIVALENT INR
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MT-103 Continued
TRAILOR
NAC: AUTHENTICATION CODE
8173A928
CHK: CHECKSUM
DE3EFDDE44OF
AUTHENTICATOR
SAC: SWIFT AUTHENTICATION
CORRECT
COPY:P: CBT PRIMARY COPY
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BANK IDENTIFIER CODE
All member Banks/Branches connected to SWIFT are
automatically assigned specific Bank Identifier Code, for
easy identification and Routing of message.
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BANK IDENTIFIER CODE
(contd..)
It is a 12 Alphabet / digit code.
A few examples are:
Punjab National Bank PUNBINBBXXXX
CITI Bank CITIXXXXXXXX
Deutsche Bank DEUTXXXXXXXX
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BANK IDENTIFIER CODE(contd.)
BIC -11 digit or 12 digit ????
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BANK IDENTIFIER CODE (contd.)
Taking the example of Punjab National Bank
(PUNBINBBXXXX) the detailed code can be
explained as under :
1st four alphabets/digits are for Bank.
(PUNB for Punjab National Bank)
Next 2 are for country. ( IN for India )
Next 2 are for location of CBT. ( BB for Mumbai)
9th place is left blank (X).
Last 3 (XXX) places are for Branch.
(They are “alpha” in PNB ,
but could be either “alpha” OR “Numeric”)
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Message Security
SWIFT ensures a high level of safety ,
privacy, accuracy, reliability & delivery of
message within specified time schedule.
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SWIFT Maintenance procedure
SLICE PROCESSOR
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Category 3
Foreign Exchange , Money Markets and Derivatives
CONTD…..
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Category 3
Foreign Exchange , Money Markets and Derivatives(contd..)
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Category 4
Collections and Cash Letters
MT-400 Advice of payment
MT-410 Acknowledgement
MT-412 Advice of acceptance
MT-416 Advice of non-payment / non-acceptance
MT-420 Tracer
MT-422 Advice of fate and request for instructions
MT-430 Amendment of instruction
MT-450 Cash letter credit advice
MT-455 Cash letter credit adjustment advice
MT-456 Advice of dishonour
MT-499 Common group
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Category 5 Securities Markets
MT-500 Instruction to Register
MT-501 Confirmation of Registration or Modification
MT-502 Order to Buy or Sell
MT-503 Collateral Claim
MT-504 Collateral Proposal
MT-505 Collateral Substitution
MT-506 Collateral and Exposure Statement
MT-507 Collateral Status and Processing Advice
MT-508 Intra-Position Advice
MT-509 Trade Status Message
MT-510 Registration Status and Processing Advice
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category 5 continued
Category 5 Securities Markets
contd.
MT-513 Client Advice of execution
MT-514 Trade Allocation instruction
MT-515 Client confirmation of purchase or Sale
MT-516 securities Loan confirmation
MT-517 Trade Confirmation Affirmation
MT-518 Market side Securities Trade Confirmation
MT-519 Modification of Client details
MT-524 Intra Position instruction
MT-526 General securities Lending /Borrowing Message
MT-527 Tri-party Collateral Instruction
MT-530 Transaction processing Command
MT-535 Statement of holdings
MT-536 Statement of Transactions
MT-537 Statement of pending Transactions
MT-538 Statement of Intra position Advices
MT-540 Receive Free
category 5 continued29
Category 5 Securities Markets contd.
MT-541 Receive against payment
MT-542 Deliver Free
MT-543 Deliver against payment
MT-544 Receive free confirmation
MT-545 Receive Against Payment Confirmation
MT-546 Deliver Free Confirmation
MT-547 Deliver Against Payment Confirmation
MT-548 Settlement Status and Processing Advice
MT-549 Request for Statement/Status Advice
MT-558 Tri-party Collateral Status and Processing Advice
MT-559 Paying Agent’s Claim
MT-564 Corporate Action Notification
MT-565 Corporate Action Instruction
MT-566 Corporate Action Confirmation
category 5 continued
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Category 5 Securities Markets contd.
MT-567 Corporate Action Status and Processing Advice
MT-568 Corporate Action Narrative
MT-569 Tri-party Collateral and Exposure Statement
MT-575 Report of Combined Activity
MT-576 Statement of Open Orders
MT-577 Statement of Numbers
MT-578 Settlement Allegement
MT-581 Collateral Adjustment Message
MT-586 Statement of Settlements Allegements
MT-599 Common group
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Category 6
Commodities and Syndications
MT-600 Commodity Trade Confirmation
MT-601 Commodity Option Confirmation
MT-604 Commodity Transfer/Delivery Order
MT-605 Commodity Notice to Receive
MT-606 Commodity Debit Advice
MT-607 Commodity Credit Advice
MT-608 Statement of a Commodity Account
MT-620 Commodity Fixed Loan/Deposit Confirmation
MT-670 Standing Settlement Instruction Update Notification
Request
MT-699 Free Format Message
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Category-7
Documentary Credits and Guarantees
MT-700 Issue of Documentary Credit
MT-701 Issue of Documentary Credit
MT-705 Pre-advice of Documentary Credit
MT-707 Amendment to a Doc. Credit
MT-710 Advice of a third Bank’s doc. Credit or a Non-Bank’s
Documentary Credit
MT-711 Advice of a third Bank’s doc. Credit or a Non-Bank’s
Documentary Credit
MT-720/721 Transfer of a doc. Credit
MT-730 Acknowledgement
MT-732 Advice of discharge
MT-734 Advice of refusal
MT-740 Authorization to reimburse
MT-742 Reimbursement claim
MT-747 Amendment to an authorization to Reimburse
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category 7 continued
Category 7
Documentary Credits and Guarantees contd.
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Category 9
Cash Management and Customer Status
MT-900 Confirmation of debit
MT-910 Confirmation of credit
MT-920 Request message
MT-935 Rate change advice
MT-940 Customer statement message
MT-941 Balance report
MT-942 Interim transaction report
MT-950 Statement message
MT-970 Netting statement
MT-971 Netting balance report
MT-972 Netting interim statement
MT-973 Netting request message
MT-985 Status enquiry
MT-986 Status report
MT-999 Free Format Message
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