Use Address Validation To Stop Financial Fraud
Have you ever received a billing statement or financial transaction flagged as suspicious due to an incorrect address?
If so, you’ve experienced the importance of address validation. Address validation verifies that a given address is accurate, authentic, and exists.
It may seem minor, but incorrect or fraudulent addresses can lead to serious financial loss for businesses and individuals.
In this article, we’ll explore how address validation can be used to prevent financial fraud and why businesses need to use it.
What Is Address Validation?
Address validation is a process of checking and correcting addresses to make sure they are accurate. Ensuring that mail and packages can be delivered without any errors.
With so many addresses being captured online, errors are bound to happen. And that’s where businesses can run into trouble. Late or undelivered packages can result in unhappy customers and lost profits. That’s why address validation services exist – to prevent these shipping and customer service issues.
By using address validation services, businesses can ensure that their products are delivered to the right address at the right time, ultimately leading to happier customers and increased profits.
How Address Validation Works?
Service Objects, using address data from the United States Postal Service (USPS), provides certified Address Validation API that can instantly verify, correct, and append mailing addresses with near-perfect accuracy in just a few milliseconds.
When you enter your address, the API not only verifies and corrects the address but also checks for key delivery indicators such as Delivery Point Validation (DPV), Residential Delivery Indicator (RDI), and SuiteLink data.
These indicators provide intelligence on the deliverability of your address, whether it is a residential or business address, and even whether it has an apartment or suite number.
The API can also standardize your address to USPS formatting, which enables presorting and ensures postal rate discounts for bulk and First Class mail.
Address Validation API can also validate over fifteen million non-postal addresses not recognized by USPS but can be used by FedEx, UPS, and DHL for delivery. This way, USPS can deliver your mail regardless of whether the address matches their guidelines.
Address validation is crucial in ensuring your mail is delivered to the right place without any delays.
The USPS-certified Address Validation API provides a fast and accurate way to verify and correct mailing addresses while also providing valuable intelligence on the deliverability of your address.
Preventing Fraud with Address Validation
As a business, preventing fraud is crucial to your success, and using address validation is one way to achieve this goal.
Address validation verifies that the address provided by a customer is accurate and exists, helping you to combat fraudulent transactions, identity theft, and other malicious activities.
Here are some reasons why address validation is essential in preventing fraud:
Protects against chargebacks
Fraudulent transactions can result in chargebacks, where customers dispute charges with their banks. Chargebacks can be costly for businesses, resulting in lost revenue, fines, and increased transaction fees.
Address validation helps you to avoid chargebacks by verifying that the customer’s address is legitimate and that the transaction is not fraudulent.
Reduces the risk of identity theft
Fraudsters often use fake addresses and identities to carry out fraudulent activities. Address validation can help you to identify and prevent identity theft by verifying the customer’s address and confirming that they are who they claim to be. The address location can also be cross-verified with the location corresponding to their IP address, flagging any large geographic disparities.
Improves customer experience
Address validation reduces errors in shipping and billing information, ensuring timely deliveries and reducing additional costs for both the customer and the business.
You can build trust and loyalty with your customers by providing a seamless and hassle-free experience.
Easy integration
Address validation is easy to integrate into your existing systems, and it’s a cost-effective solution that can save you finances in the long run by preventing fraudulent transactions and missed shipments.
Why does a Business Need Address Verification Services?
Address verification services are essential for businesses for several reasons, including:
Prevent Financial Fraud
Accurate address verification services can help prevent financial fraud by ensuring that the address entered by the customer matches the address on file with the bank or credit card company.
Reduce the Number of Return Shipping
Accurate address verification services can also help reduce the number of return shipments due to incorrect or incomplete addresses, saving time and money for both the business and the customer.
False Decline
Address verification services can help reduce the number of false declines, which occur when a legitimate transaction is rejected due to an incorrect or incomplete address.
Near-Perfect Match Rates
Address verification services provide the following:
- Near-perfect match rates.
- Ensuring accurate addresses down to the apartment and suite level.
- Increasing delivery and shipping accuracy.
- Reducing customer service inquiries.
Critical USPS Data Points
Address verification services can provide critical USPS data points, such as Delivery Point Validation (DPV), Residential Delivery Indicator (RDI), SuiteLink, and Delivery Barcode Digits, allowing businesses to take advantage of postal discounts and better target their marketing. The barcode can also be used as a unique identifier that can be used to flag and remove duplicate addresses.
Fast and Accurate
Fast and accurate address verification services can provide instant, accurate, and up-to-date USPS address verification, ensuring businesses have the most current and precise address data available for real-time applications, including web forms and e-commerce checkouts.
Prevent Fraud & Ensure Deliverability with Service Objects
Service Objects’ Address Validation service provides a fast and accurate way to verify and correct mailing addresses, ensuring the deliverability of your mail and packages.
Integrating this service into your existing systems can prevent financial fraud, reduce return shipments, and improve customer experience with near-perfect match rates and critical USPS data points.
With so many addresses being captured online, errors are bound to happen, resulting in costly shipping and customer service issues. By using address validation services, businesses can verify and correct addresses for over 250+ countries, ensuring they are valid and deliverable, saving money, and avoiding fraudulent transactions.
If you’re searching for a reliable and cost-effective solution for address validation, check out Service Objects’ Address Validation service today.
Ensure your mail is delivered to the right address at the right time, and prevent costly shipping and customer service issues.
