Address Correction
Also known as: Address Correction Fee, Bad Address Fee, Invalid Address Charge
Definition
Address correction occurs when a carrier fixes an incorrect shipping address to successfully deliver a package. While helpful, this service typically comes with a fee charged back to the shipper.
Common Address Errors
Missing information:
- No apartment/unit number
- Missing suite or floor
- No directional (N, S, E, W)
- Incomplete street name
Incorrect information:
- Wrong ZIP code
- Misspelled street
- Old/outdated address
- Wrong city
Formatting issues:
- Number transposition
- Abbreviated incorrectly
- Missing street type (St, Ave, Blvd)
Address Correction Fees
| Carrier | Fee |
|---|---|
| UPS | $18.00-$21.00 |
| FedEx | $19.00-$21.00 |
| USPS | Usually no fee |
| DHL | Varies |
Note: Fees are per package and can add up quickly for multi-package shipments.
How Address Correction Works
- Package arrives at facility - Near destination
- Address doesn’t match - System flags issue
- Carrier researches - Database lookup, local knowledge
- Address corrected - Updated in system
- Package delivered - To corrected address
- Fee charged - Added to shipper’s invoice
When Corrections Aren’t Possible
Package returned if:
- Address completely wrong
- Person doesn’t exist at address
- No valid address found
- Recipient refuses correction
Results in:
- Return to sender
- Return shipping charges
- Lost sale/delayed delivery
- Customer frustration
Preventing Address Corrections
Use Address Verification
- Validate addresses at checkout
- Use USPS Address API
- Implement autocomplete
- Flag suspicious addresses
Standardize Addresses
- Follow USPS formatting
- Use proper abbreviations
- Include unit numbers
- Verify ZIP+4
Customer Communication
- Confirm address before shipping
- Ask for apartment numbers
- Verify new move addresses
- Double-check international addresses
Address Verification Tools
Best option for shippers:
- I’d Ship That - Validates addresses automatically when you compare rates. Catches errors before you pay for a label, saving you $18-$21 correction fees.
Other free options:
- USPS Address Lookup
- Google Address Autocomplete
Commercial solutions:
- SmartyStreets (per-lookup fees)
- Melissa (subscription)
- Lob (per-lookup fees)
- EasyPost (requires integration)
E-commerce platform integrations:
- Shopify address validation
- WooCommerce plugins
- BigCommerce apps
Address Correction vs. Undeliverable
| Scenario | Outcome | Fee |
|---|---|---|
| Correctable error | Delivered + correction fee | $18-$21 |
| Uncorrectable error | Returned to sender | Return shipping |
| Recipient moved | Forward or return | Varies |
| Refused delivery | Returned to sender | Return shipping |
Business Impact
Costs of bad addresses:
- Correction fees ($18-$21 each)
- Return shipping costs
- Reshipping expenses
- Customer service time
- Lost customers
A 5% bad address rate on 1,000 shipments:
- 50 corrections × $20 = $1,000 in fees
- Plus returns, reships, and time costs
Best Practices for Shippers
- Validate before shipping - Use verification APIs
- Require complete addresses - Make fields mandatory
- Use standardized formatting - USPS conventions
- Confirm with customers - Especially for expensive items
- Monitor correction fees - Track and address patterns
- Update customer records - After corrections occur
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