In today’s world, hardly there would be anyone does not shop online. The shipping address and billing address are one of the most important parts of an online purchase.
The terms Shipping address and Billing address are seen as synonyms and are used interchangeably.
The shipping address is the address where the product you purchased online will come. Whereas the billing address is like the mode through which payment has been/will be made.
When you are purchasing something online, you enter your address so that your product reaches you; this is the Shipping address; when you are ordering your product, you have to enter the mode of payment.
If you are choosing Cash on Delivery, your billing address is the same as the Shipping address, but if you are making an online payment, your bank account becomes the Billing address.
Key Differences –
Shipping Address –
- The shipping Address is the address to which the product will get delivered.
- It can be or cannot be the same as the billing address.
- The shipping address is the real physical address of the customer.
Billing Address –
- The billing address is the address through which the payment will be made.
- The billing address can be or cannot be the same as the shipping address.
- The billing address is the real physical address in the case of COD, but it is not a physical address if the payment has been made through online banking.
Comparison Between Shipping Address And Billing Address
|Parameter||Shipping Address||Billing Address|
|Meaning||Shipping Address is the address to which products will get delivered.||The billing Address is the address through which payment is made.|
|Importance||Shipping address is important to ensure products reach the correct address.||The billing address is important to ensure payment is made correctly.|
|In the case of Online payment||Shipping Address is one’s house/ office/ friend’s address in case of online payment.||The billing Address is one’s bank account in case of online payment.|
|In the case of COD||Shipping Address is one’s house/ office address in case of Cash on Delivery (COD).||The billing Address is one’s house/ office address in case of Cash on Delivery (COD).|
Major Differences Between Shipping Address And Billing Address
What exactly is a Shipping Address?
The shipping address is the address on which the goods get delivered that were purchased online.
The shipping address could be your home address, office address, or the address of someone whom you are sending something to. The shipping address is important to check the location of the buyer.
If you put the wrong shipping address, the product will be delivered to that place instead of yours.
What exactly is a Billing Address?
A billing address is an address through which payment will be collected. Payment could be collected at the time the product reaches the customer, and he gives the amount.
Or payment could be collected directly from the buyer’s bank account through net banking, and that bank account becomes the Billing address.
All of the bills and invoices are sent to the consumer at this address. The billing address is important so as to check if the buyer’s credentials are legal or not.
Shipping address vs. Billing address
Shipping Addresses –
- Your Home Address
- Your Office Address
- Your friend’s home address (in case of sending a present, etc.)
Billing Addresses –
- Your Home Address (in case of COD).
- Your Bank Account (in case of online payment).
Ideal example of Shipping vs. Billing Address
Example – Suppose you ordered a product online for your friend and directly put his/her address so that your gift reaches their doorstep. Since it’s a gift, you can not choose COD else; your friend would have to pay for it, so instead, you added your bank credentials to pay for the product. Now, in this case, your friend’s address becomes the Shipping Address, and your bank becomes the Billing address.
Contrast Between Shipping Address And Billing Address
In the case of Online Payment
In the case of COD
Shipping Addresses and Billing Addresses are one of the most important aspects of an online purchase.
The major difference between Shipping Address and a Billing Address is that the former is the address at which the goods will be delivered while the latter is the address through which the payment will be made.
The shipping and billing addresses are the same in the case of Cash on Delivery (COD). But, in the case of an Online Payment, the Billing Address is one’s Bank account.
(FAQs) Frequently Asked Questions
Q1. Why are the shipping and billing address the same in Cash on Delivery (COD)?
When we choose cash on delivery as a payment method, the cash gets collected at our doorstep when the product is delivered.
To make the product get delivered to us, we enter our address as a shipping address, and by choosing COD, we are making our billing address the same as our shipping address.
Q2. In what cases the billing address is different from the shipping address?
In the following cases, the billing address is different from the shipping address:
1. When you are gifting someone something online and want it to reach their doorstep, you add their address as the shipping address and your bank details to pay for the amount.
2. When you order something online and just want to make an online payment, your billing address differs from your shipping address.
Q3. What happens if your billing address is wrong?
If you have put your wrong credentials for online payment, nothing will happen, and no transaction will occur.
Q4. What happens if your shipping address is wrong?
If you put the wrong shipping address, your product will reach someone else’s place instead of yours.
If you chose Cash on Delivery as your payment method, nothing would happen except your product would reach somewhere else.
But if you have already made a payment through net banking, it will be gone to waste. In such cases, it is advised to talk to customer care services.
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