When talking about data verification and fraud prevention,
the first thing that comes to mind for many members of the business world is
legitimizing online transactions.And,
while these are the types of transactions that are most discussed in these
conversations, they are only part of the complex process of keeping businesses
running smoothly and securely.
While perhaps not as frequently considered, address verification is an essential component to a comprehensive business security
system; when overlooked, there can be serious consequences. Consider a story
posted Monday at Experian
QAS. Inaccurate address data used by the California Department of Motor
Vehicles (DMV) has resulted in millions of dollars in payouts being misplaced.
Courthouse News Service explains that residents of Tehama County are accusing
the DMV of using ZIP codes alone to retrieve address data, which has resulted
in consumer revenue being mailed to neighboring Shasta County instead of the
rightful recipients.
ZIP codes alone do not distinguish between county lines, which
is why the DMV’s method of mailing payouts was not adequate. Ideally, when
utilizing consumer addresses, either for physical mailers or for an additional
means of id
verification, businesses should use complete address information from a
reliable data provider.