AVS allows you to check a cardholder’s billing address with the card issuer. An AVS request includes the billing address (street address and/or zip or postal code). It can be transmitted in one of two ways:

• As part of an authorization request
• By itself
• AVS checks the address information and provides a result code to you, which indicates whether the address given by the cardholder matches the address on file with the issuer. AVS can only be used worldwide – however it is an optional service and not all issuers participate – more and more countries are adopting AVS checks each years.

key benefits

Minimized Fraud

The value of AVS as an indicator of potential fraud has been amply demonstrated in card studies. Since the person fraudulently using a card is not likely to know the cardholder’s billing address for that card account, a “no match” AVS result can be a key predictor of potential fraud.

Reduced Chargebacks

Using AVS potentially reduces fraud-related chargeback volume. Reduced fraud-related chargebacks translate into maximized profitability.

Improved Bottom Line

For card-not-present merchants, fraudulent transactions can lead to lost revenue and can also mean extra processing time and costs, which often narrow profit margins. AVS complements the merchant’s current fraud detection tools to provide a greater opportunity to control losses and operating costs.