IBAN/BIC Issue - Who is at fault?


#1

According to the many threads recently banks across Europe started using the wrong BIC code for EURO transfers in the past few days when using the personal IBAN number from the Revolut app. It seems that Revolut don’t take the blame for this issue, but why was the IBAN database updated wrong in the first place? Can we have some clarity on this issue? Many people, myself included, have had to pay fees to the sending banks get our money transfers back from wherever they ended up.


Transfer from Paypal still pending
#2

I don’t see why Revolut shouldn’t be blamed for this since this issue is obviously pending for several days now and all they say is that my bank didn’t take over the new BIC which is some kind of ridiculous because EU bank transfers are strictly regulated and never before I heard that all over Europe bank institutes failed to transfer money because of their fault. The European IBANs don’t require a separate input of a BIC so it’s not the fault of the customers either, but somehow they’re punished now for a weak process from Revolut and whilst I’m waiting for my money to show up on whatever side this is definitely the decision to close the Revolut account.


#3

Problem is that banks are not used with changes. Years after years nothing changed and now new banks opening and they just forget to update systems. And not only banks, also payment providers forget to update their systems, resulting is transfer issues or/and rejection of IBAN’s.
Time will solve this. Till now, just wait and the money will return to the sending account.


#4

This can’t be right as I transferred money fine as early as last week, the BIC numbers and IBANs were fine then.


#5

I also had no issues with transfers. I actually never had issues with Revolut.


#6

I’ve never had issues before either. Inter European transfers have worked fine till the last one tried a few days ago, when there had been a BIC/IBAN issue. I just want to get to the bottoom of who is at fault, because it clearly can’t be, well, every European bank.


#7

Have you actively asked for a reversal of the transfer or did it bounce back automatically? My bank only charges for active reversal, not for crediting incoming bounced back transfers. All transfers made during the BIC hiccup should bounce back automatically.


#8

That’s right, you both have valid points. Sometimes slow adaption rates are to blame. But the latest incident where a wrong BIC was deprived from the IBAN when banks initiated a SEPA transfers was not one of those cases.

There Problem was resolved Tuesday this week for most larger banks. Revolut’s official answer is that it can take longer for small banks to get back to normal. The exact date is posted in one of the other threads about this topic.

In the meantime, the pooled accounts might be an option for some.