Many organizations use address verification to ensure addresses exist, collect accurate address data when people fill out forms, and clean up existing databases. Address verification systems (AVS) are also used as part of fraud prevention for card-not-present transactions and as an important component of identity verification processes.
AVS systems work to verify addresses by matching the provided information to an authoritative database. These sources often include a country’s postal service, shipping companies like UPS and FedEx, and third-party reference data providers.
Performing an AVS check on an address verifies whether or not it is valid, complete, and standardized. Address verification can also confirm whether or not an address is registered and correct any issues that could result in undelivered deliveries.
Some examples of invalid addresses include fictional or hypothetical addresses, unoccupied buildings, or addresses that have been torn down. Using an AVS system can help avoid these types of errors, as well as prevent inaccurate or incomplete address data from causing mis-shipments that would otherwise be costly to the business.
A robust address verification system will also be able to correct spellings, format the data according to USPS standards, and eliminate common abbreviations that can cause problems. It can also supplement address data where necessary. These functions can reduce the number of undelivered packages, streamline customer experience, and improve operational efficiency by eliminating the time and resources needed to manually correct addresses. A reliable address validation provider should also be able to offer high levels of data security, including encryption in transit and at rest, access control restrictions, and regular security audits.