AVS is a tool utilized by merchant processing companies to assist in combating credit card fraud. The AVS checks the billing address submitted by the card user with the cardholder’s billing address on record at the issuing bank. This is done as part of the merchant’s request for authorization of the credit card transaction. The credit card processor sends a response code back to the merchant indicating the degree of address matching, depending on which the credit card transaction may be accepted or rejected. AVS is usually utilized for online or card not present transactions.