OUR, SHA and BEN explained

What the three SWIFT charge codes mean

OUR, SHA and BEN are the three charge codes you can pick when sending money by SWIFT. This sets out who covers which bank fees along the way. It’s not just for your bank; all banks that touch the transfer see the code in the payment message, so everyone gets told how fees are meant to be split.

• OUR: you take responsibility for all charges, including those from both the recipient’s and any other bank involved. The person or company you pay should get the full amount, as agreed.
• BEN: every charge across the route is taken from the recipient’s side. The person getting paid receives whatever’s left after those deductions.
• SHA:“shared”. You pay only your own bank’s fees. The other side pays their bank’s costs and any cut taken by middle banks between you.

Why an invoice can still arrive short

Even if you select OUR, there’s still a risk. Not every bank follows that code in every country or on every route, some will still subtract charges before it lands. With SHA, you expect to pay your own bank’s advertised fee, but any intermediary (meaning, a bank between you and the recipient) can take its own share along the way. Those possible deductions are described further in intermediary bank fees explained.

Regulations in the EU usually mandate shared fees (SHA) for many euro payments made inside the EU or EEA. Outside the EU, or for currencies besides the euro, you pick the code, but what actually happens depends on what each bank along the chain chooses to do.

How to choose the right code for your payments

Most businesses use SHA. It keeps the process clear: you pay your bank’s known fee, your partner covers their bank’s charge. If the exact credited amount really matters, such as when a supplier wants to see their full invoice paid, then it makes sense to pay extra and select OUR. BEN almost always puts the whole fee burden on the recipient, so it’s only used in certain situations such as employee remittances, not standard business transfers.

Whatever code you use, clarify upfront what was chosen and the exact payment expectations, in writing. That way, if there’s a shortage, you can iron it out quickly. Adding a line to the invoice itself, or following a international invoice checklist, helps make this clear to everyone involved.

A worked example with a short payment

Let’s say a Dutch business sends 5,000 euros to an overseas supplier using SHA. Their own bank charges its regular outgoing fee. But during the journey, an intermediary in another country deducts 25 euros, and when the funds arrive, the supplier’s bank holds back another 15 euros. The supplier ends up receiving 4,960 euros in total.

If the sender had selected OUR, the intention is for the supplier to receive all 5,000 euros. The Dutch company would pay both its own bank’s costs and the extra fees charged by other banks in advance. It’s a good idea to ask your bank what the total charge would be for each fee setting before sending large payments.

Frequently asked questions