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A routing number identifies the financial institution and the branch to which a payment item is directed. For example, if Bank A's formats for routing numbers: Electronic Transactions EFT Routing Number: A numberthe electronic routing number would look like this: the "leading zero"a three-digit financial institution number and or MICR-encoded items is comprised of a five-digit branch transit number and a three-digit financial institution number.

Along with the account number, it is essential for delivering payments through the clearing system pre-authorized debits.

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