What Are the Benefits for Implementing AVS?
Address Verification System, or AVS, is a type of advanced risk tool designed to help protect businesses and consumers from the devastating consequences of credit card fraud. During the transaction process, the customer is prompted for his or her billing address, or simply the ZIP code. This information is included in the authorization request sent to the issuing bank, where it is validated to make sure it matches the billing address on file. If the addresses or ZIP codes don’t match up, it is possible that the person making the purchase is not the true cardholder.
Below, explore the benefits for implementing AVS.
- Reduce fraud. AVS is a simple way to verify whether the customer using the credit card is, in fact, the actual cardholder. Chances are low that someone who stole a credit card knows the real cardholder’s billing address or ZIP code.
- Avoid chargebacks. Purchases made with a stolen credit card can result in disputed charges and costly chargebacks. If an authorization request is denied due to the wrong address or ZIP code, merchants should be sure to not complete the transaction.
- Cut costs. By decreasing the financial losses due to fraud and chargebacks, you can significantly reduce costs.
Who Uses AVS?
So is AVS right for you? If you accept credit cards for business, you can benefit from implementing AVS. Start protecting your business and your customers today!
- E-commerce merchants. AVS isn’t just for face-to-face transactions. You can verify customers’ addresses online by requiring them to fill out a billing address form before completing the transaction. So even if you cannot get the customers’ signature or picture I.D., you can still verify they are the actual cardholder.
- Gas station merchants. Many thieves use stolen credit cards to purchase gas, especially since they can swipe the cards themselves without having to leave their car or face an attendant. AVS prompts gas station customers for their billing ZIP code during pay at the pump processing to increase security.
- Retail merchants. Cashiers can ask customers for their ZIP code at the point of purchase, in addition to matching a signature and a picture I.D. with the credit card.
Other PCI Solutions from Dependable Solutions
At Dependable Solutions, we are committed to helping you protect your business. We have the technology, expertise and experience that you can count on to help keep your data safe from the risk of fraud. In addition to AVS, we offer tokenization and end-to-end encryption. Contact us to learn more about we can help you reduce your PCI scope.