All bank accounts in Ukraine are transferred to the IBAN standard from August 5
The Ukrainian banking system is moving to the international standard for IBAN bank accounts.
What is IBAN?
IBAN is a standard bank account system in EU countries. Each country independently sets the IBAN account number structure, according to ISO 13616.
The length of the account numbers is now a maximum of 14 characters and the bank code in the documents is indicated separately. IBAN-standard numbers consist of 29 letters and numbers. This character set includes country code, check digit, account number and bank code.
What will it look like?
The 29 characters will be in the following order:
- country code (UA in the case of Ukraine);
- check digit (2 digits);
- bank code (6 digits);
- account (the length of the account number is not fixed, it can be from 5 to 14 characters until October 31, 2019, from 5 to 19 characters from November 1).
The first two letters can immediately identify the country of the payment participant (UA – Ukraine), and with the help of a check digit – to provide a unified verification of the client’s account for correctness.
When will it be introduced?
Implementation of IBAN in Ukraine will start from August 5 this year. From that date, banks will open new accounts to customers by this standard. Existing accounts will be modified according to its requirements.
From November 1, 2019, IBAN in Ukraine will become mandatory for clients of all banks. This applies to both the transfer of funds in UAH and in foreign currencies. That is, all transfers of funds to Ukrainians from November this year will be made only using this standard.
Between 5 August and 31 October this year, bank customers will be able to indicate in their billing documents both a valid invoice and an IBAN account.
The change applies only to bank account numbers. Payment cards will remain valid.