Address Verification System

Example

Suppose an international customer, John Doe, uses a Wells Fargo credit card to make an online purchase on your website with the following address:

1304 Main Street, Anytown, Illinois, 60473

The AVS will compare the numbers 1304 and/or 60473 with the address on file with Wells Fargo.

If the match is successful, Razorpay authorises the transaction. In case of a mismatch, Razorpay declines the transaction.

Advantages

The advantages of using the Address Verification System are:

• Extra layer of security for your customers.
  Your customer's lost or stolen credit card cannot be used for fraudulent transactions as the address entered during transactions will not match the address in the card issuer's database. Razorpay will not authorise such transactions. This protects customers from credit cards frauds to an extent.
• Your business has a higher chance of winning cashback disputes.
  Suppose your customer's stolen or lost card is used for transactions, and the fraudulent party uses the customer's correct address. In that case, AVS cannot detect such transactions as fraudulent as there is no address mismatch. Razorpay authorises such transactions. If the customer files a chargeback dispute, you are more likely to win the dispute as the transaction passed the AVS check.

Prerequisites

• Integrate

  with Razorpay S2S APIs.

• Enable

  international payments

  for your Razorpay account.

How it Works

Given below is a diagram of the workflow:

Watch this video to see how your customers can add their card and address details on the checkout page for address verification.

Given below are the steps followed by the customers:

1. The customer selects card as the payment method and enters the credit card details.
2. The customer is asked to enter their billing address. This is a one-time activity and Razorpay will save the address securely. Customer will not be asked to provide the address on repeat transactions.
3. The Address Verification System matches both addresses. There can be three types of matches:
   • Complete Match: The address provided by the customer matches exactly with the address available with the card issuer.
   • Partial Match: This indicates that the billing address being compared has the same ZIP code or the same numeric values in the street address, but not both.
   • No Match: A no match response indicates that neither part of the billing address matches the card issuer data. This can act as a strong signal of potential fraud.
4. Based on the match, Razorpay takes the following actions:
   • Authorise the transaction: The transaction is authorised, and the credit card is debited.
   • Cancel the transaction: The transaction is declined.

FAQs

List of frequently asked questions:

1. Is this feature available for domestic payments?

No, this feature is available only for international payments.

2. Can my customer complete the payment in case of a partial match?

Yes, your customer will be able to complete the payment even in the case of a partial match.