Beneficiary institution is the shorter name for a beneficiary financial institution (BFI), the bank or other payment provider that maintains the recipient's account and credits the money at the end of a payment, and that entry covers the role in full.
In a wire transfer, the payment starts at the ordering customer's bank, may pass through one or more intermediary institutions, and ends at the beneficiary institution, which applies the funds to the account of the beneficiary customer. In SWIFT MT103 messages it appears in field 57 as the account with institution, and in ISO 20022 messages as the creditor agent. The beneficiary institution must check that the account exists, screen the payment against sanctions lists, and, under wire transfer rules, confirm that required payer and payee information is present.
The terms "beneficiary institution", "beneficiary financial institution" and beneficiary bank are used interchangeably. "Institution" is preferred in regulations because the recipient's provider may be an electronic money institution or other non-bank rather than a bank.