The difference between billing and shipping address

online shopping

For those familiar with international online shopping – that is, shopping from another country online, you may have come across the terms billing address and shopping address.

These two terms are quite confusing as sometimes may refer to the same place and on other occasions, it may mean different places.

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What is the Shipping Address?

A shipping address is an address where a buyer or receiver would want their merchandise delivered to. The definition is derived from the meaning of the term shipping which means the process of transporting items.

What is a Billing Address?

A billing address is an address that is connected to a specific form of payment. Typically, the form of payment is a credit or debit card or other online payment methods, for example, PayPal. When making an online payment, the billing addresses should match the address that is registered on file with the issuing bank. If it does not match, the attempted payment may not be completed.

Related Article: Offline Vs Online shopping in Uganda: Which is the best?

For a company that uses a billing address, it is usually to verify the authorized use of, for example, the card. The address is also where the companies send bank statements and paper bills.


For example, if I bought my friend an item online and I want it delivered to them, I will put in their location as the shipping address, then input the location of my bank, where the cash deductions will be made as the billing address.

From the first words of each, it is easy to differentiate them even though it might be tough for some. However, it should be notable that the two addresses are important if any billing, statement, or merchandise is to get to an order recipient. In some cases, when your billing address is different from your shipping address, additional verification might be needed for your online payment to go through. When you change your address, it is advisable to notify the bank and change your billing address.

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