What Is a Credit Card AVS Mismatch?

The Address Verification System (AVS) is a security measure that compares a customer’s provided billing address with the address on file with their credit card issuer. An AVS mismatch occurs when these two pieces of information do not align. This system enhances security by adding a layer of verification to confirm the legitimate cardholder for online and card-not-present transactions.

Understanding AVS and Mismatches

AVS serves as a fraud prevention tool, primarily for transactions where the physical card is not presented, such as online purchases or telephone orders. When a customer initiates a payment, the merchant’s payment processor transmits the entered billing address details to the card’s issuing bank for verification. The issuing bank then compares this submitted address with the billing address it has on record for that specific credit card account.

After this comparison, the issuing bank sends an AVS response code to the merchant, indicating the degree of match. A “full match” means both the street address and the zip code align precisely with the bank’s records. A “partial match” occurs when only one component, such as the street address or the zip code, matches the information on file.

An “AVS mismatch” signifies that neither the street address nor the zip code corresponds with the card issuer’s details. This discrepancy signals a potential security concern, prompting merchants to evaluate the transaction’s risk.

Common Reasons for Mismatches

AVS mismatches often arise from non-fraudulent situations. A common cause is human error, where the customer might inadvertently mistype their address or zip code during checkout. Minor formatting differences, such as abbreviations or how apartment numbers are entered, can also trigger a mismatch. Customers who have recently moved but have not updated their billing address with their credit card issuer will frequently encounter AVS mismatches, as the system compares the entered address against an outdated one.

Another frequent issue involves customers mistakenly entering their shipping address instead of their billing address. AVS specifically verifies the billing address tied to the credit card account. Some card issuers may also have specific ways of recording addresses that differ from how a customer intuitively enters it, causing a mismatch. Instances where virtual credit cards are used can also result in mismatches, as these temporary card numbers typically do not have a billing address on file.

Steps to Resolve an AVS Mismatch

When an AVS mismatch occurs, the first step for a customer is to carefully re-enter their billing address, ensuring it precisely matches the address on file with their credit card issuer. This includes verifying all details, such as street name, house number, apartment or suite number, city, state, and zip code. It is helpful to refer to a recent credit card statement or contact the card issuer directly to confirm the exact billing address format.

If repeated attempts to enter the correct address do not resolve the issue, contacting the credit card issuer is advisable. The customer can confirm the billing address the bank has on file and update any outdated or incorrect information. Some merchants may permit retrying the transaction after verifying the address, potentially overriding the initial AVS decline based on their internal risk assessment.

For persistent issues, after confirming the address with the card issuer, the customer may need to reach out to the merchant directly. While some merchants might decline transactions with an AVS mismatch outright to minimize fraud risk, others may have policies allowing for manual review or alternative verification methods. Understanding the merchant’s specific policy can help determine if the transaction can proceed or if an alternative payment method would be necessary.