Understanding MT 940 bank statement format [EBS-1]

The MT940 (MT = Message Type) electronic account statement is an international standard that was developed by S.W.I.F.T. in Brussels for the paperless transmission of account information. This standard is used by banks all over the world. In particular, MT940 is used to provide bank information to clients’ cash management, treasury systems and accounting applications.

  • Structure

Each message is divided into four blocks. Blocks 1, 2 and 3 relate to header information, and Block 4 contains the text of the message or Bank Account Statement. Each block is subdivided into a number of fields and each field contains particular information, for example, date, time, LT address, Session Number, ISN, or a tag number followed by the appropriate variable content. All fields within blocks 1 and 2 are of fixed length and are continuous. Block 3 is optional and may be used for user-to-user messages. No field separators are used. The content of Block 4 differs depending on bank in terms of which optional fields are used.

Block structure

Block Name Example of Content
1. BASIC HEADER BLOCK {1:F01NDEASESSAXXX0833510237}
2. APPLICATION HEADER BLOCK {2:O9400325050701NDEANOKKBXXX12706189060507010325N}
3: USER HEADER BLOCK {3:108:34}
4. TEXT BLOCK / Account Statement {4:<CrLf>
:20:VR06314330391601<CrLf>
:25:60030631433<CrLf>
:28C:123/1<CrLf>
:60F:D100405USD6000000,00<CrLf>
:61F:100320C9860,030NCHK0000033322      //NONREF<CrLf>
:61F:100331D9860,030NINT1700000348      //NONREF<CrLf>
:62F:D100405USD6000000,00<CrLf>
  • Account statement format

Now we focus on block number 4, which are contain of bank transactions captured in bank account statement. The message type consists of a sequence of fields or Taq Type. Each tag type gives important message to the customers system. It contains to bank account number, date of transaction, statement number, opening and closing balance and reference bank transactions information. Detail of taq type, meaning, and example of information defined as follows:

Tag Type Meaning SIF Field Description SWIFT content / format SWIFT status Information Reported
20 Transaction Reference Number :20: Statement Date 16x Mandatory Always = YYYYMMDD Eg. 20041231
25 Account Specification :25: Account Identification Bank ID/account number 35x Mandatory Eg. LT527300010002245349LTL
28C Statement Number/Sequence Number :28C: Statement and/or sequence number 5n[/5n] Mandatory From the statement date; YYYY-1980 and Julian date, therefore 15th July 2004 reads as 20196 – (where 20 refers to the year and 196 = Julian date 15/07) “/01″ eg 20196/01
60F Opening Balance :60F: Opening Balance 1!a6!n3!a15d Mandatory D for Debit or C for Credit

Date (YYMMDD)

Currency Code

Opening Balance with a comma as the decimal point

61 Statement Line (one per transaction) :61: Statement line field 6!n[4!n]2a[1!a]15d1!a3!c16x[//16x]

[34x]

Optional A statement line field is produced for each transaction.

This field is sub-divided as follows:

• Date – YYMMDD

• Date – MMDD

• Debit/Credit mark – ‘D’ Debit, ‘C’ Credit, ‘RD’ Reverse Debit, ‘RC’ Reverse Credit

• Funds code – ‘X’

• Transaction amount

• Transaction type identification code: ‘NCHK’ for cheques, ‘F’ plus TLA for other transaction types

• Account owner reference

  • Cheque number for cheques, or transaction type for other transaction types

• Originating bank’s own reference ‘//’

• Supplementary details: Not applicable

86 Information to Account Holder :86: Information to account holder 6*65x Optional For Credit transactions:

Payer: /<Payer’s account number> <Payer’s name> /ID/<Payer’s register No> Payer bank : <Payer’s bank code (SWIFT code)> Details: <Payment details>

ForDebit transactions:

Beneficiary: /<Beneficiary’s account number> <Beneficiary’s name> /ID/<Beneficiary’s register No> Beneficiary bank : <Beneficiary’s bank code (SWIFT code)> Details: <Payment details>

Default business code – 999/

Posting text to follow – 00

Transaction details – CHEQUE or transaction code eg.

:86:999/00CHEQUE or

:86:999/00STOJSMITH

62F Closing Balance :62F Closing Balance 1!a6!n3!a15d Mandatory D (Debit) or C (Credit)

Date – YYMMDD

Currency code

Amount, with a comma marking the decimal point

  • Define MT 940 transaction code.

Each bank transaction is identified by transaction code in MT 940 block number 4 and tag type 61. Each bank has different meaning to utilize each MT 940 transaction code. Client / business user should get the information and knowledge from the bank how to define each transaction code related with its bank transactions that written in MT 940 bank statement format. Following table shows some MT 940 transaction codes have been defined by bank officer and business user. Some other transaction codes may been used in other case.

Code Description
NBOE Bill of exchange
NCHG Charges and other expenses
NCHK Cheques
NCOL Collections
NCOM Commissions
NDCR Documentary credit
NDIV Dividends-Warrants
NECK Eurocheques
NEQA Equivalent amount
NFEX Foreign exchange
NINT Interest
NLDP Loan deposit
NMSC Miscellaneous
NRTI Returned item
NSEC Securities
NSTO Standing order
NTCK Travelers Cheques
NTRF Transfer
NMAR Securities Related Item – Margin payments/Receipts
NBOE Bill of exchange
NCLR Cash letters/Cheques remittance
NVDA Value date adjustment
NCMI Bank collection

We have learnt structure of MT 940 bank statement, bank account statement format, and MT 940 transaction codes.

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