Following the merger of its associate banks, State Bank of India (SBI) has changed the IFSC codes of branches of the associated banks. The IFSC is an 11-character alphanumeric code which allows electronic fund transfers to a particular branch which is used by the NEFT, RTGS, IMPS and UPI payment systems.
SBI merged its five associate banks, State Bank of Bikaner and Jaipur, State Bank of Patiala, State Bank of Travancore, State Bank of Hyderabad, State Bank of Mysore, and also Bhartiya Mahila Bank into itself. As such, 1130 branches of State Bank of Mysore have new codes, similarly for State Bank of Hyderabad (1197 branches), State Bank of Travancore (1220 branches), State Bank of Bikaner and Jaipur (1350 branches), and State Bank of Patiala (1345 branches). No word on the IFSC codes for Bhartiya Mahila Bank.
The bank has notified the changes on the website and SBI will be notifying its customers, as per this PTI report. Internally, the bank has started to map the branches to the new codes.
SBI said that even if a payment comes to the old IFSC code, it will be routed to the new codes to ensure that there are no payments gets affected.
Note that SBI has more than 23000 branches and with more banks coming in with both payments and small finance banks, it is important to ensure that IFSC codes are correct to enable digital transactions.
In October, to push more digital transactions, SBI slashed its charges for IMPS transactions. Earlier, for transactions below Rs 1 lakh, SBI charged Rs 5 plus service tax. Transfers above Rs 1 lakh and up to Rs 2 lakh were charged Rs 15 plus service tax. For transactions above Rs 2 lakh and up to Rs 5 lakh, the bank charged Rs 25 plus service tax.