What Is a Routing Number?

On February 16, 2025 By newsroom Topic: Banking

A routing number is a nine-digit code that identifies a financial institution in a transaction. It’s used to process various financial operations, including direct deposits, wire transfers, and automated bill payments.

Key Points About Routing Numbers

Purpose:
Ensures that money is routed to the correct bank during a financial transaction.
Reduces errors and speeds up processing times.
Origins:
Introduced in 1910 to standardize banking transactions.
Assigned by the American Bankers Association (ABA).
Uniqueness:
Some banks have multiple routing numbers based on location or type of transaction.
Even banks with similar names have distinct routing numbers to prevent confusion.

When Do You Need Your Routing Number?

Setting up direct deposits (e.g., paychecks or government benefits).
Automatic payments for loans or bills.
Receiving tax refunds via direct deposit.
Transferring money between accounts at different banks.
Wire transfers (a specific routing number may be required).

Note: Routing numbers are not used for debit or credit card purchases.

Where to Find Your Routing Number

On a Check:
The routing number is the first nine digits on the bottom left corner.
This is part of the MICR line, which also includes your account and check numbers.
Bank Statement:
Often listed at the top or within the account details section.
Online Banking:
Log in to your bank’s website or mobile app. Look for account information.
Customer Service:
Contact your bank directly to confirm.
ABA Routing Number Lookup Tool:
Available online to verify a bank’s routing number.

Common Routing Numbers for Major Banks

Bank of America

California: 121000358
Florida: 063100277
Texas: 111000025

Wells Fargo

California: 121042882
Texas: 111900659
New York: 026012881

Online Banks

Ally Bank: 124003116
Discover Bank: 031100649

Tip: Routing numbers may differ for wire transfers or checks. Double-check with your bank for accuracy.

Routing Number vs. Account Number

| Feature | Routing Number | Account Number |
|----------------------|----------------------------------------------|--------------------------------------|
| Purpose | Identifies the bank. | Identifies your specific account. |
| Digits | Always 9 digits. | Typically 10-12 digits. |
| Location on Check| First 9 digits at the bottom left. | Follows the routing number. |

Why Routing Numbers May Change

Bank Mergers: Routing numbers may consolidate to reflect the combined entity.
Branch Closures: Changes in banking operations can lead to updates.
Transaction Types: Different routing numbers may apply to wires, ACH payments, or checks.

Final Tips

Always verify your routing number with your bank, especially if your bank has undergone recent changes.
Use your routing number only for direct bank account transactions, not for debit or credit card operations.

Having your routing number handy ensures smooth financial transactions and helps avoid delays!