Address verification solution online is a digital system that compares a user-submitted address to data stored in a database. The results of the verification are used to flag transactions and identify suspicious activity. The technology helps in reducing frauds and improves customer experience by ensuring accurate delivery of goods and services. This also reduces the number of returned shipments, which can damage a business reputation.

The primary methods of address verification include manual and digital. Manual address verification requires human beings to verify the accuracy of addresses. It is expensive, time-consuming, prone to errors, and inefficient. In contrast, the digital method is automated and accurate. It is an effective and cost-efficient way to verify the address of a person or company.

Address Verification Solution Online: Ensure Accurate Data

For example, imagine that Victor is on a fishing trip and stops his truck to fill gas at a rural gas station. While he is waiting, a criminal steals his wallet, which contains his credit cards, driving license, and other documents. The criminal then uses his credit card to purchase products at an e-commerce store. The merchant uses address verification to check the identity of a buyer and ensure that the shipping address matches the billing one. This helps the merchant win chargeback disputes against fraudsters.

This type of service is a critical part of e-commerce and financial services. It helps prevent fraudulent activities such as forged identities, account takeovers, money laundering, and terrorist financing. In addition, it is a necessary component of KYC/AML compliance.