What Is a Bank Identification Number? BIN is an acronym for Bank Identification Number, a four-digit number assigned by financial institutions to verify a person’s identity. They are also known as BIS or Bank Identification Number Scams. Others call it your BIS, issuer identification number, or even your ISK.
Many companies have made it their business to provide you with a banking service called Bank Identification Numbers (BIN). The first step in identifying someone using a debit or credit card is to obtain a unique eight-digit BIN. These are issued to people who sign up with banks, credit unions or enrol with prepaid debit and credit cards. Your debit or credit cards are assigned with a unique nine-digit BIN. How Do You Use a Bank Identification Number If you have been asked to provide this kind of number at the point of sale: Bank Identification Numbers are required in verifying your account details.
Your banking industry identifier is the first digit that appears on your banking documents, such as your credit reports. When you apply for a new credit card, for instance, verification will be sent to your banking institution, demanding your first digit. The verification will not go into effect until your bank identification number is successfully verified.
Your bank identification number is a numeric string consisting of a colon and zero to nine alphabets. Banks may also use letters A to Z, which are equivalent. However, a complete identification consists of the following sequence of digits only: First, last, middle, and initial letters of the last name, the street address, the city, the province or state, and, if appropriate, the Town or City. An institution may require you to complete additional information so that the verification can be done effectively.
You might wonder what it means if some institutions ask for verification using only the first three digits of your account number. According to a standard recommendation, these institutions must request additional information such as your Social Security Number and driver’s license number. However, they may use the first three digits regardless of whether you are requesting to verify a regular account or a special account. To avoid being denied, follow up with your institution to inquire about the possible use of the first three digits when checking accounts.
For more information, some experts recommend knowing as much as possible about the particular bank identification number that you are attempting to verify. If you know the type of bank you are dealing with, you are more likely to get the right results from the Luhn check. For example, there are differences between banking institutions based on whether you are dealing with a conventional, insured bank or one that is uninsured. Aside from knowing the types of banks, it would help if you also made an effort to find out as much as you can about the most common digits used by banks.
Fraudsters have become clever in their ways of impersonating financial institution personnel. Some are even using fake signatures to apply for false authorization. It would be too easy for a fraudster who has learned how to write a cheque forgery to write the wrong bank identification number. If you are suspicious that someone is trying to commit identity theft, your best bet is to request copies of any identification documents for a review. Once you obtain such documentation, you will more likely determine that the transaction is indeed authorized.
Another reason why you need to know the difference between a normal bank identification number and a fraudulent one is because fraudulent transactions are much harder to detect. Unless you can verify the validity of a particular transaction with a witness, it would be almost impossible to trace the fraudulent party. This is because a fraudulent transaction would leave a paper trail that can easily be copied. This means that it is much easier for a fraudster to change the details of a given transaction once it has been executed. You can then face the threat of a civil suit as a result of having been defrauded.