Address Verification

Programming allows the private location of the cardholder to be recognized and validated. By authenticating the payment address, the payment will be associated with a physical address, and the possibility of theft being executed is diminished dramatically. 

When you conduct a purchase online, for example when you reserve airline tickets, once clients arrive at the billing page it will inquire you to enter details of your residential address. If the residential address provided does not associate with the one that is submitted to your card then the payment and process will be rejected and you will inquire to re-enter your information. The reallocation check occurs by the framework looking at what was entered for the charging address with the real outcomes on record at the responsible bank.

The real address verification system happens by the software comparing what was submitted for the residential address with the real address results on the report at the registering financial institutions. The address verification system will transfer results for both the residential code and the street address. 

Relying on which financial institutions issued the credit card, an address verification system can be national or international. For debit cards issued by the united stated banks, the address verification system. Some address verification system codes for visas are actually specific to the international regulatory authorities. If you work an eCommerce store online one should be prepared to grasp both national and international address verification system codes.

There are times when you will adapting an address verification system rejection because the address can not be authenticated even though each thing about the accessibility is validated. One can be assured that these authentications should consider a review system for these orders to cross-check them and make sure that they are legal entities.

How does address verification systems works?

AVS allows the organization to execute its procedures without any danger of criminals. Just like knowing your customer authenticates the identity of the clients, that they who they claim to be. Similarly, AVS makes sure that the residential information is up to date, accurate, and exists. The client is asked to transmit an image holding an identity document authentication such as bank statements, passports, ID cards, and driving license.  AVS enables the businesses to execute its process without any threat of criminals.

The location information is dissected through optical character acknowledgment and the outcomes appear on the screen whether verified and declined. Crooks now and again utilize both genuine and phony information to get into the product known as engineered fraud. The reason why AVS is a major part of the know your customer procedures as it aids in matching the address of people with the address given on their reports. 

Enhanced know your customer is an integral characteristic of the CDD process. It is performed by organizations to recognize and authenticate the real identity of the clients. Fraudsters at times utilize both genuine or produced data to get into the framework. The motivation behind why address confirmation framework is a principle part of KYC measure as it helps in coordinating the private location of people with the location given. Realize your client isn't just limited to verifying customers rather it tends to be performed to diminish business to business fakes through knowing your business and street number confirmation. 

The importance of Address validation services for global businesses

Online platforms or physical companies are doing their best to provide top-notch customer service. It is difficult to acquire customers and easier to lose. That’s why maintaining a company reputation is very important if you are to retain and increase your customer base. The slightest hiccup in the system can cost you billions. Similarly, letting unauthorized individuals in your online platform and lack of verification can have drastic impacts on overall business revenues and customers. Therefore, address verification is significantly important for online businesses specifically. Address verification verifies the mailing address against databases to check the validity that whether the address in question exists or not. If the address matches the database, then it exists and is valid, or else your business was on the verge of getting defraud which you prevented. 

How does the Address Validation process work?

Address validation is just a small part of Know Your Customer or KYC procedures along with name and age verification. Identity verification including address verification solution help online companies to prevent chargeback and friendly frauds. Address verification is not only limited to customers, but business going into potential partnerships with other entities can perform business address verification before concluding to ensure the physical presence and authenticity of the business in question. 

Apart from that, eCommerce platforms process large volumes of customer information every day. AI-based identity verification systems have made it possible to process data in real-time that is accurate simultaneously reducing the manual processes. Moreover, inaccurate customer data can result in online fraud. The Address verification process is very simple. Customer is asked to upload their selfie holding an official document through which address can be verified such as utility bills, credit card statements, ID cards, and other relevant government issues ID documents. The address of the customer is analyzed and results are given either approved or disapproved. 

Benefits of Address validation for businesses

Global businesses consider address verification as one of the most important parts of their business processes. It helps them better serve their customers by making sure the shipment is delivered to the right address. Some of the benefits that address verification can have for companies are as follows: 

  • It can save time and money wasted in costly chargeback and frauds
  • Helps prevent customers from entering the system who may be involved in money laundering
  • Ensures that the shipment is being delivered to the address that actually exists
  • Steer clear of non-compliance fines

Address verification can easily help you prevent fraud or any suspicious activity pertaining to transactions or frauds. Proof of address lets you detect the involvement of your customer in money laundering and in case of any suspicion, verified address can help you track the source even if it doesn’t exist, it works as a piece in a puzzle and can help with investigation whatsoever. 

Address verification, as mentioned above, is a part of enhanced KYC and due diligence and risk assessment of high-risk individuals such as PEPs (politically exposed people). Besides, a lot of businesses have rules in place mandated by regulatory authorities to verify the address before completing the onboarding process. 


Address verification is just a small part of enhanced KYC and can be complex. But verifying customer addresses can address the bigger concerns of money crimes and others related to frauds or identity theft. So in order to have efficient address verification, it’s important to run a full comprehensive identity verification on customers. There are various identity verification solutions that are using AI, ML, and OCR services to identify customers, with little or no room for errors. They are committed to providing smooth onboarding and business experience to customers. 

Summing this up

There are many AVS providers available in the merchandise. You should simply to personality at the appropriate put and perceive the correct answer to fit your needs. Validating tends to help in decreasing chargebacks. Preparing chargeback can be robust on the online product as they not just lose the money for the burglary installment yet in addition the items offered to the ill-conceived individual. Thus, online know your customer along with AVS is in this position to combat these problems.

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