Every Money Transfer And Remittance Term You Need To Know: Letter B

Last updated: October 05, 2022

Bank Deposit

A bank deposit, as the term suggests, is a funds transfer into a bank account. But in the context of international remittances, a bank deposit is a delivery method you can use to pay your recipient overseas.

When you choose a bank deposit as your preferred delivery option, the money transfer company deposits the proceeds directly into the recipient's overseas bank account. For this to work, you would need to provide your recipient's bank details at transaction initiation time.

Also see: Delivery Method, Delivery Option
Further reading: Delivery Methods for Money Transfer

Bank Transfer

Similar to a bank deposit, a bank transfer is also an electronic movement of money from one account to another. However, in relation to international money transfers, a bank transfer is a payment method you can use to pay for your money transfer.

There are several ways to pay for your money transfer, and a bank transfer is one of them. In this case, to fund your transfer, you basically send money from your bank account to the money transfer company's bank account.

Also known as: Direct Bank Transfer
Also see: Payment Method
Further reading: Payment Methods for Money Transfer

Basic Bank Account Number (BBAN)

Basic Bank Account Number (BBAN) is the last part of an International Bank Account Number (IBAN). The BBAN supplements the IBAN by adding information about the local bank account number, the bank branch and other related routing details.

Note that every country has their own BBAN specification which provides information on how the BBAN should be constructed for that country.

Also see: BIC, IBAN, IBAN Registry, SEPA, SWIFT, SWIFT Code
Further reading: What are IBAN, SWIFT and BIC codes?

Bid FX Rate

A Bid FX Rate, also called a Sell FX Rate is the price you get to sell one currency relative to the other when 2 currencies get traded. The opposite of the Bid FX Rate is the Ask FX Rate (also called the Buy FX Rate) which is the price you pay to buy the currency being sold.

In general, the Bid (Sell) FX Rate is lower than the Ask (Buy) FX Rate. This allows the FX Trader or Broker facilitating the currency trade to realize a profit on the FX trade.

Also known as: Sell FX Rate
Also see: Ask FX Rate, Buy FX Rate
Further reading: 5 Key FX Concepts You Need to Know

Business Identifier Code (BIC)

A Business Identifier Code (BIC) is a globally accepted identifier to uniquely identify financial institutions worldwide. BIC codes can be 8 or 11 digit long, and are a part of the ISO 9362:2014 standard.

BIC codes are issued and maintained by the SWIFT network.

Also see: BBAN, IBAN, IBAN Registry, SEPA, SWIFT, SWIFT Code
Further reading: What are IBAN, SWIFT and BIC codes?

Buy FX Rate

A Buy FX Rate, also called an Ask FX Rate is the price you pay to purchase a currency when 2 currencies get traded. The other side of the Buy FX Rate is the Bid FX Rate (also called the Sell FX Rate) which is the price you receive if you sell the currency being bought.

Generally, the Ask (Buy) FX Rate is higher than the Bid (Sell) FX Rate. This facilitates the FX Trader or Broker in the middle to realize a financial profit on the FX transaction.

Also known as: Ask FX Rate
Also see: Bid FX Rate, Sell FX Rate
Further reading: 5 Key FX Concepts You Need to Know