Most people are not aware of the different procedures and practices in the banking sector, routing number is something a lot of people find it difficult to understand. Routing number is also called as routing transit number or ABA (American Bankers Association) number.
The history in the making of routing numbers
It’s just a 9-digit number that’s assigned to your banks and credit unions which make it easy to send and receive money from other financial institutions. Routing numbers help to avoid the confusion and a lot of hassle for the bank staffs, check intended for American Bank and Bank of America will not be messed up when the checks come with routing number.
Wells forgo routing numberis used day in and day out in almost every transaction, like direct deposit, wire transfer, automatic bill payment, and check processing. You might have come across a routing number in your check at the bottom of your check which also comprises of your account number. However, you can also find your bank’s routing number on their website.
Benefits all the way with routing number
Oftentimes, the routing number on your bank check is not the same as wire transfer, it’s recommended that you confirm your banks routing number from its website. The bank’s routing number is no big secret or confidential for bank’s customers, you need to know your bank’s routing number to do any online transaction.
If you were wondering where these 9-digit routing numbers come from, it’s the ABA which created these routing numbers to ease and secure check payments. People would be assured that their money reaches where they were intended for with routing numbers in the embedded in the check. Federal Reserve played a vital role in processing of payments and in routing numbers.
A reason to thank your ancestors
Gone are the days when you can write checks even when you have enough cash in your bank account, because checks take time to process the payment. You had the luxury to write a check when you have little or no balance in your account and hope for deposit to be made before the check is processed.
Cash transfers happen almost immediately, payments from one account or bank to another happens atlightning speed. It’s suggested that you don’t write checks when you don’t have sufficient funds in your bank account, you’re hopes of the payment might be delayed but the deduction from your account are likely to happen fast with wells fargo routing number.
Sometimes, you might not be able to read the entire row of routing number with the account number on your check as they in machine-readable format. There are a lot of chances for a bank to use a lot of routing numbers, but you might never find a routing number to be duplicated, meaning one routing number can’t be used by two banks.
Routing numbers are a wonderful way to ease financial transaction, but they are a bane when they can be misused by others. Just about anybody can clean out your bank account when they have access to your checking account number and bank routing number.