What is Field 59 in a Swift Message?
Field 59 in a Swift message is a crucial component of the Society for Worldwide Interbank Financial Telecommunication (SWIFT) messaging system. It is designed to provide additional information about the transaction being processed, such as the purpose of the payment, the relationship between the sender and the receiver, or any special instructions related to the transaction. Understanding the significance of Field 59 is essential for financial institutions and businesses that rely on SWIFT for their international money transfers and payments. In this article, we will delve into the details of Field 59, its purpose, and how it impacts the processing of SWIFT messages.
Field 59 is structured to accommodate up to 140 characters and can be divided into three segments: the first 35 characters, the next 35 characters, and the remaining 70 characters. Each segment serves a specific purpose, allowing for the inclusion of various types of information.
The first 35 characters are used to provide a reference number for the transaction. This reference number can be a customer account number, a transaction ID, or any other identifier that uniquely identifies the transaction. This segment is particularly useful for reconciliation purposes, as it enables the receiver to match the incoming payment with the corresponding transaction record.
The next 35 characters are reserved for the message type indicator. This indicator specifies the type of message being sent, such as a payment order, a credit transfer, or a direct debit. The message type indicator helps the receiving institution to process the message correctly and efficiently.
The final 70 characters are used to provide additional information about the transaction. This information can include the purpose of the payment, the relationship between the sender and the receiver, or any special instructions related to the transaction. For example, a sender might include a note specifying that the payment is for a specific invoice or for a particular service.
One of the key advantages of Field 59 is its flexibility. Financial institutions and businesses can tailor the information included in this field to meet their specific needs. This flexibility allows for a more personalized and efficient transaction process.
However, it is important to note that the use of Field 59 is subject to certain guidelines and regulations. Financial institutions must adhere to the standards set by SWIFT and ensure that the information provided in Field 59 is accurate and relevant. Failure to comply with these guidelines can result in delays or errors in the processing of the transaction.
In conclusion, Field 59 in a Swift message is a vital component that provides additional information about the transaction being processed. Its flexibility and structured format allow for a more personalized and efficient transaction process. Understanding the purpose and proper usage of Field 59 is essential for financial institutions and businesses that rely on SWIFT for their international money transfers and payments.
