BSB Number: 064-196
Bank: Commonwealth Bank
Financial Institution: CBA
Address: Lvl 23 240 Queen Street
City: Sydney
State: NSW
Postcode: 2000
System: PEHto BSB numbers: Unlocking the Secrets of Banking
Have you ever wondered what those mysterious numbers at the bottom of your check or bank statement mean? They may seem like a secret code, but they actually hold crucial information about the bank and account youre dealing with.
In the world of banking, these numbers are known as BSB numbers short for Bank State Branch numbers. In this article, we will demystify BSB numbers, explore their importance in the banking system, and explain how they are used for identification and routing of funds.
Understanding BSB numbers
BSB numbers are a unique identifier assigned to each branch of a financial institution in Australia. They play a vital role in facilitating seamless transactions across the banking system.
Consisting of six digits, BSB numbers help to identify both the bank and the specific branch where the account is held.
Importance in the banking system
BSB numbers are indispensable in the world of banking. They streamline the processing of transactions, ensuring that funds are accurately and efficiently routed to the correct destination.
Without BSB numbers, chaos would ensue, leading to delays, errors, and frustration for customers.
Identification and routing of funds
When you initiate a transaction, whether it’s a transfer, payment, or deposit, the BSB number acts as the key to unlocking the correct bank and branch. Let’s dive deeper into how BSB numbers are used for identification and routing of funds.
1. Bank identification
The first two digits of the BSB number represent the bank code.
For example, in the BSB number 064-196, the Bank code is 06, which corresponds to the Commonwealth Bank. This allows the banking system to identify the specific financial institution associated with the account.
2. Branch identification
The next four digits of the BSB number represent the branch code.
In our example, 4196 signifies the particular branch of the Commonwealth Bank. This branch code distinguishes one bank branch from another, which is crucial for accurate routing of funds.
Routing funds with BSB numbers
When you initiate a transaction, the BSB number is used by the banking system to route the funds to the correct branch. Let’s say you want to transfer money to a friend who has an account at the Commonwealth Bank in Sydney.
You would need their BSB number (064-196), along with their account number, to ensure the funds are successfully delivered to the correct branch. The BSB number acts as a compass, directing the funds through the labyrinth of the banking system to their intended destination.
Furthermore, BSB numbers are used to facilitate the processing and clearing of checks. When you write a check, your BSB number and account number are printed at the bottom.
This information allows the recipient’s bank to verify the account details and ensure that the check can be processed and funds disbursed. In addition to identification and routing of funds, BSB numbers also play a crucial role in electronic funds transfer systems, such as direct debits and direct credits.
Companies and individuals alike rely on these systems to make and receive payments efficiently. BSB numbers ensure that the money flows smoothly from one account to another, without any detours or delays.
Conclusion
BSB numbers are the unsung heroes of the banking world. They provide a lifeline for seamless transactions, enabling funds to be accurately identified and routed to their intended destination.
Whether you’re transferring money, depositing a check, or making a payment, the importance of BSB numbers cannot be overstated. So next time you come across those mysterious digits, remember that they hold the key to unlocking the secrets of your banking transactions.
PEH System: Strengthening the Foundation of Banking Transactions
The world of banking is built upon complex systems and intricate processes that ensure seamless transactions. One such system that plays a significant role in the Australian banking landscape is the PEH system.
In this section, we will unravel the mysteries of the PEH system by explaining its meaning and exploring its relationship with the BSB number provided. Additionally, we will delve into the structure of BSB numbers, including the significance of different digits within the number, and break down and interpret the BSB number (064-196) provided.
Understanding the PEH System
The acronym PEH stands for Payment Electronic Hub. This system serves as the backbone of Australia’s electronic funds transfer system, connecting financial institutions and facilitating the exchange of funds.
It acts as a centralized hub, processing transactions, and ensuring the seamless flow of money between accounts. The PEH system plays a crucial role in maintaining the efficiency, security, and accuracy of electronic funds transfers.
The Relationship with BSB Numbers
BSB numbers and the PEH system are intertwined in the banking infrastructure. BSB numbers provide the necessary routing information for transactions, while the PEH system serves as the mechanism through which these transactions are processed and settled.
When funds are transferred from one account to another, the BSB number acts as an identifier, enabling the PEH system to route the funds through the appropriate financial institution and branch. This seamless integration between BSB numbers and the PEH system ensures that transactions are executed accurately and efficiently.
Additionally, the PEH system works in tandem with the New Payments Platform (NPP), a real-time payment infrastructure. NPP allows individuals and businesses to make instant payments using PayID, an identifier such as a phone number or email address linked to a bank account.
BSB numbers still play a role in the background by providing the necessary routing information for these transactions to be processed through the PEH system. BSB Number Structure: Unlocking the Code
To fully grasp the workings of BSB numbers, it is important to understand their structure and the significance of each digit within the number.
BSB numbers consist of six digits, which are divided into two parts: the bank code and the branch code. Bank Code:
The first two digits of the BSB number represent the bank code, which identifies the financial institution associated with the account.
Each bank in Australia is assigned a unique two-digit code. For example, in the BSB number 064-196, the bank code is “06,” which corresponds to the Commonwealth Bank.
Branch Code:
The next four digits of the BSB number represent the branch code, which distinguishes one branch from another within a specific bank. These four digits provide the necessary information to route funds to the intended branch.
For instance, in the BSB number 064-196, the branch code is “4196,” corresponding to a specific branch of the Commonwealth Bank.
Interpreting the BSB Number (064-196)
Let’s break down and interpret the BSB number (064-196) provided to understand its components and significance. In this case:
Bank code: “06”
Bank: Commonwealth Bank
The bank code “06” identifies the Commonwealth Bank as the financial institution associated with the account.
Branch code: “4196”
Branch: Level 23 240 Queen Street, Sydney, NSW 2000
The branch code “4196” represents a specific branch of the Commonwealth Bank located at Level 23 240 Queen Street, Sydney, NSW 2000. By understanding the structure and significance of the different digits within the BSB number, one can decipher the associated bank and branch.
This knowledge is essential for accurately initiating transactions, ensuring that funds are routed correctly.
Conclusion
The PEH system, along with BSB numbers, forms the foundation of Australia’s banking system. The PEH system plays a crucial role in processing electronic funds transfers seamlessly, while BSB numbers provide the necessary routing information for accurate and efficient transaction execution.
By understanding the structure of BSB numbers, including the significance of different digits, individuals can interpret and utilize them effectively. The interplay between the PEH system, BSB numbers, and other banking infrastructure ensures the smooth flow of funds and the secure functioning of Australia’s financial ecosystem.