Evaluating what SWIFT is and how it works
The SWIFT service is a banking procedure that is able to facilitate communication and data transfer between banks and other financial firms.
Read in full as Society for Worldwide Interbank Financial Telecommunication, the service allows for banks to have a secure platform that they can be able to connect on and hence improve their service charter. Credit facilities depend on this service as the service can also be used to trace the credit scores that a person has.
In the year 2010, SWIFT was able to link up to 9,000 banks and other financial firms which exist in more than 200 countries and this shows the extent of communication and linkage that the service has been able to develop over time.
The platform allows for the sending and receiving of more than 15 million messages and information relays which are tuned to improve the way in which people handle their transactions. It operates on an interntional basis in giving banks the ability to send payment orders and hence enable banks to update their transaction details.
The transfer of information is facilitated by two different data centers, a factor in ensuring the security of information and that a back up of all the important files is kept at a retrievable point, safe from hacking and unauthorized access.
A SWIFT code is the key to any transaction that a person wishes to perform and it is what gives access to the message that has been sent or received through the network. In this sense, the code serves as a secret PIN (Personal Identification Number) that can be used to access information.
SWIFT has been in use since 1995 where it started with 2.5 million banks all over the world. With the further development of the digital section of the banking industry and the need to maintain a constant touch with the developing trends in the market, the operation of SWIFT has massively grown beyond the expected level and this indicates a rise in the amount of people and financial institutions that are able to transact.