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A routing number is used to identify a bank or credit union and is often required for certain transactions. But while financial institutions that issue credit cards have routing numbers, they aren’t necessary for credit card transactions. Here’s what you need to know.
What is a routing number?
A routing number is a unique nine-digit number that identifies your bank or credit union. In addition to your account number, the routing number is used to facilitate certain transactions, including paper and electronic check payments, bill payments, direct deposit, and electronic fund transfers.
Smaller banks and credit unions typically only have one routing number, but regional and national banks may have dozens of routing numbers for different geographic locations.
Do credit cards have routing numbers?
The financial institutions that issue credit cards often have routing numbers because they also offer banking products and services.
However, you won’t need a routing number for a credit card transaction because your card isn’t linked to your bank account. Rather, you’re effectively using the card issuer’s money to make purchases against your line of credit. Then, you’ll repay the debt in full each month or over time.
The only time you’ll need a routing number is when you set up your checking account to make your monthly payments on your credit card bill.
Credit card identifiers
While credit cards don’t have routing numbers, they do have other ways to identify the financial institutions that issue them and the payment networks they run on. Here’s how credit card numbers break down.
Payment network
The first number of your credit card identifies the payment network the card runs on:
Bank identification number
The next five to seven digits are referred to as the bank identification number (BIN) or issuer identification number (IIN). This is effectively the equivalent of a routing number in that they indicate which financial institution issued the card, but they aren’t the same.
In some cases, the BIN or IIN may also identify the specific type of card you have.
Account identifier
The remaining digits in your credit card number are unique to you and your account. If you lose a card and request a new one, for instance, these are typically the numbers that will change when the credit card company issues you a new card.
Checksum
The final digit in your credit card number is called the checksum or check digit. When processing a credit card transaction, this figure is used to ensure that your card number is valid.
Other credit card details
Your credit card will also have an expiration date and security code, also known as the card verification value (CVV) code.
Both of these numbers add an extra layer of security for transactions where the card isn’t physically present, particularly online and over the phone. The expiration date also indicates when you’ll receive a new card.
Depending on the card issuer and the type of card you have, you can find the expiration date and security code in separate fields on the front or the back of the card.
Which types of accounts use routing numbers?
The three main types of accounts that may require you to use a routing number include checking accounts, savings accounts, and money market accounts.
When setting up a certificate of deposit, you may also need the financial institution’s routing number to make your initial deposit. You can typically find your financial institution’s routing number at the bottom of your paper checks, your monthly statement, or the bank or credit union’s website.
It’s important to note that routing numbers are only used in the United States. Outside of the U.S., financial institutions typically use an international bank account number (IBAN) to identify themselves.
Why it’s important to keep your credit card information secure
Bank and credit union routing numbers are public information because they identify the financial institution and not your account.
But while a portion of your credit card number indicates its issuer, it also identifies your account, and a scammer or identity thief can use it to make unauthorized purchases in your name. Here are a few ways you can safeguard your credit card details.
Use your card’s chip
Most credit cards in the U.S. offer EMV chips, which encrypt your credit card number with each transaction you make. If someone manages to get their hands on transaction data, they won’t get any information they can use to make fraudulent purchases.
Consider contactless
Many credit cards also offer contactless technology, allowing you to make a payment by simply tapping your card to the card reader instead of swiping or inserting it. You can also add your card to a digital wallet, such as Apple Pay or Google Pay, and tap your mobile device instead of a card.
In both cases, your card information is encrypted. Digital wallets also offer the extra security of a passcode or biometric authentication.
Be careful on public Wi-Fi networks
Public Wi-Fi networks make it easy to get things done at your local coffee shop or the airport. However, they lack the security that your home network provides, and it’s possible for scammers to digitally eavesdrop on your connection.
If possible, avoid entering any personal information online while on a public Wi-Fi network, including your credit card number. If you want extra protection, consider using a virtual private network (VPN) to keep your connection secure.
Be wary when someone asks for your card number
You may need to provide your credit card number online or over the phone to make certain purchases. However, if someone calls you and asks for your number instead of the other way around, it could be a scam.
Before entering your card information online, make sure that the website is secure — the web address should start with HTTPS instead of HTTP. You should also ensure that the website is legitimate. Criminals use a variety of methods, such as faux websites that look like legitimate ones, email attachments containing malware, and other phishing scams.
Protect your card’s information
You don’t need to know your bank’s routing number to use your credit card because it’s not required for credit card transactions. That said, your card’s number has an issuer identifier baked in along with your account identifier.
As a result, it’s crucial that you take steps to keep your credit card information safe. If you notice an unauthorized purchase, contact your card issuer immediately to report the fraudulent activity.
This article was edited by Alicia Hahn
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