User Guide

Fraud Management Filters June 23, 2009 43
Fraud Management Filters Summary
Advanced Fraud Management Filters
compares the street number and zip code entered by the customer with information maintained
by the card issuer. An AVS match helps verify that the customer using the credit card is the
owner of the card. Failure to match may indicate that the address provided by the customer is
fraudulent; however, no match may simply be the result of a typographical error. The Address
Verification Service no match filter applies to Direct Credit Card and Virtual Terminal
payments. Not all merchants are eligible for this filter; contact PayPal for more information if
you want to use this filter.
Address Verification Service Partial Match Filter
This filter screens for payments for which the billing address entered by your customer doesn’t
completely match the information maintained by the card issuer, as determined by the Address
Verification Service (AVS). This filter corresponds to AVS response codes A, B, P, W, and Z.
AVS compares the street number and zip code entered by the customer with information
maintained by the card issuer. A complete match helps verify that the customer using the credit
card is the owner of the card. Failure to match may indicate that the address provided by the
customer is fraudulent; however, a partial match may simply be the result of a typographical
error. The Address Verification Service partial match filter applies to Direct Credit Card and
Virtual Terminal payments. Not all merchants are eligible for this filter; contact PayPal for
more information if you want to use this filter.
Address Verification Service Unavailable or Not Supported Filter
This filter screens for payments for which the Address Verification Service (AVS) is unable to
verify the billing address. The filter corresponds to AVS response codes I, G, R, S, U and E.
When AVS is not available to double-check the address, you may be more susceptible to fraud.
Although AVS is supported by most credit cards in the United States, it is not supported by all
cards worldwide. The Address Verification Service unavailable filter applies to Direct Credit
Card and Virtual Terminal payments. Not all merchants are eligible for this filter; contact
PayPal for more information if you want to use this filter.
Card Security Code Mismatch Filter
This filter screens for payments that do not include a correct Card Security Code. (This
corresponds to Virtual terminal response code N.) The card security code is a three- or four-
digit number usually found on the signature panel of a card. This fraud management tool has
various names. Visa calls it CVV2, MasterCard calls it CVC2, and American Express calls it
CID. The Card Security Code filter compares the number provided by the customer to the
number on file with the issuer. A valid Card Security Code helps verify that your customer has
a physical card with them when they place an order. An invalid code could be the result of a
customer's typographical error or it could indicate that a fraudster did not have the card with
them when they placed the order. The Card Security Code filter applies to Direct Credit Card
and Virtual Terminal payments. Not all merchants are eligible for this filter; contact PayPal for
more information if you want to use this filter.
Billing/Shipping Address Mismatch Filter
This filter screens for payments based on differences between the customer’s billing and
shipping addresses (street, state, zip code, and country). The filter checks relationships among
the street address, city, state, and postal code and determines if a minor change is needed
before filtering the transaction.