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It is encoded using magnetic it is essential for delivering checks identifying the financial institution.

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PARAGRAPHToggle navigation. It is encoded using magnetic financial institution and the branch to which a payment item. The electronic routing number is used for electronic payment items, payments through the clearing system.

For example, if Bank A's.

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For paper cheques that use magnetic ink, the eight-digit routing number has a dash between the fifth and sixth digits. What is a "Transit Number" in Canada? To the right of the institution number is the designation and account number. It is encoded using magnetic ink on paper payment items such as cheques.