What Is NCOA? Your Guide to Accurate Delivery and Postal Savings
Your Guide to the National Change of Address (NCOA)
Nearly 40 million people change their addresses every year.
That’s around 12% of the U.S. population.
And that’s why the NCOA is so important.
The National Change of Address (NCOA) is a USPS-maintained database of address change requests that organizations use to update mailing lists, reduce undeliverable mail, and comply with postal move-update standards.
By using it, organizations can reach their clients and customers on time, no matter where those clients have moved to.
Read on to learn more about the change of address system, to see how it works, and to discover how a real print and mail organization puts it in practice.
NCOA: the Basics
What Is NCOA?
The National Change of Address (NCOA) is a database maintained by the USPS that contains address change requests submitted by individuals and businesses.
When someone moves and notifies the USPS, that updated address information is added to the change of address system.
Organizations can use this data to identify and correct outdated addresses on their mailing lists.
NCOA data is not a forwarding service and does not automatically reroute mail. Instead, it serves as a reference source that mailers use before mailing to correct or update address records based on reported moves.
Why Does the NCOA Exist?
In order to answer this question, let’s imagine a world where this program doesn’t exist.
How would you know that one of your clients or customers had moved?
You might have individual post offices maintaining address correction files, and manually or automatically updating incorrectly addressed letters. You might have to rely on a decentralized group of databases that update addresses only for specific locations. You might have to wait until a document has been sent to receive word that the recipient no longer lives at that location, and that you need to correct the address.
All of these solutions are costly and time-consuming, which would be especially worrying if you’re sending mail that needs to reach a customer by a specific deadline.
The NCOA exists to help mail get delivered to a recipient’s most current address, as seamlessly as possible.
Instead of relying on returned mail or manual updates, organizations can reference change of address data to identify when an address has changed and update their mailing records accordingly.
How Does The NCOA Work?
The USPS National Change of Address system is built on change-of-address requests submitted directly to the Postal Service by individuals and businesses when they move.
Here’s a simple breakdown of how that data gets to a mail vendor:
Step 1: Change of Address Requests Are Filed
This can be done online, in person at a post office, or by mail.
Step 2: The USPS Updates Change of Address Records
Once a change-of-address request is submitted, the USPS records the old address, the new address, the effective move date, and the type of move.
These records are stored in the NCOA database for up to 48 months.
The system tracks several categories of movers, including individual, family, and business moves. It also distinguishes between permanent and temporary address changes.
We’ll dive deeper into these categories of data later in the blog.
Step 3: Providers Access Data
The USPS does not provide direct access to the National Change of Address database to mailers.
Instead, access is restricted to USPS-licensed providers that meet specific security and usage requirements. These requirements include:
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Completion of a USPS NCOALink License Agreement, which governs how data will be used.
- Use of CASS-certified software while processing data, so that address comparisons are accurate and standardized.
- Obtaining a completed and signed Processing Acknowledgement Form (PAF) from the mailer, confirming that the provider only intends to use the data to correct mailing lists.
The NCOA database functions as a centralized reference of reported moves, designed to make addresses more accurate, thus reducing undeliverable-as-addressed mail. This saves both the USPS and mailing organizations time and money.
What Is NCOA Processing?
NCOA processing refers to the steps organizations take to update their mailing lists using data from the National Change of Address database.
How Does NCOA Processing Work?
The process typically begins when a mailer submits a mailing list to a USPS-licensed NCOALink provider.
The provider compares each record on the list against the database, identifies addresses that have changed, and returns the updated address information.
USPS Move Update rules require that mailing lists be updated against approved change of address data within 95 days of a mailing to qualify for discounted postage, so organizations should update their data this frequently.
When Is NCOA Processing Used?
NCOA processing is used whenever an organization needs to maintain current and accurate mailing lists, and prevent undeliverable mail.
Different industries rely on change of address processing in different ways. Here are some examples:
Finance
Banks, credit unions, and other financial institutions use change of address systems to maintain contact with account holders.
Statements, notices, and regulatory correspondence must reach the correct address, and they often face strict deadlines. NCOA helps them get where they need to go.
Accurate mail delivery also helps prevent security risks associated with sensitive financial information being sent to outdated addresses.
Healthcare
Hospitals, clinics, and insurance providers use change of address data to ensure that patient statements, health plan updates, and critical care communications reach recipients quickly.
Updating addresses before mailings reduces the risk of PHI being sent to incorrect recipients.
This helps maintain both HIPAA compliance and operational efficiency.
Education
Schools, colleges, and universities rely on NCOA processing to maintain contact with students, alumni, and parents.
Updated addresses help ensure delivery of transcripts, tuition bills, alumni communications, and regulatory notifications.
Government
Government agencies use change of address systems to correct address lists for tax notifications, benefits communications, voting materials, and other official correspondence.
Insurance
Carriers and health insurers use NCOA processing to send policy documents, renewal notices, and claims correspondence to current addresses.
Across Industries
Any industry that benefits from mail being delivered accurately and on time – which, of course, is every industry – can use NCOA to meet this goal.
Types of NCOA Data and Move Categories
Wondering what data is used to make address changes? You’re in the right place; we’ve compiled a simple list for you!
Data Fields in the Change of Address Database
USPS NCOA data generally contains the following elements for each change of address record:
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Old Address: The address from which the mailer has moved.
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New Address: The updated, deliverable address provided by the person or business moving.
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Move Effective Date: The date on which the move occurred or became effective.
- Expiration or Retention Period: Records are maintained in the database for a defined retention period, currently up to 48 months for most permanent moves.
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Move Type: Information about whether the move is permanent, temporary, individual, family, or business.
This last category is more complex than the others, so let’s dive deeper into it:
Move Type Categories
Here are the move types that the USPS classifies change of address records into:
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Individual Moves: Address changes filed by a single person, typically for personal mail delivery.
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Family Moves: Changes submitted by a household that includes multiple individuals. This captures all household members in the move record.
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Business Moves: Changes filed by businesses or organizations that relocate physical addresses.
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Temporary Moves: Address changes intended for a limited period, such as seasonal relocations, student housing, or short-term business moves. You should apply these address changes only for specific mailings within the effective period.
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Permanent Moves: Address changes intended to last indefinitely, used to update mailing lists for long-term mail delivery.
What Is Move Update? And How Does NCOA Fit In?
Move Update is a USPS program designed to increase the amount of mail that is successfully delivered to recipients at their current addresses.
Compliance with Move Update is especially important for organizations sending bulk or presorted mail, as it is required to qualify for discounted postage rates.
The USPS provides a full breakdown of the Move Update standard here, but, to summarize, organizations that want to comply with the Move Update standard must update their mailing lists with either NCOA, the USPS Address Change Service, Ancillary Service Endorsements, or another USPS-approved method within 95 days prior to a mailing.
Not only can NCOA save organizations time and money by reducing undeliverable mail, but it can also allow them to qualify for discounts under the Move Update standard.
How NCOA Pairs with CASS
The Coding Accuracy Support System (CASS) and NCOA are complementary USPS programs that help mail get to the right place, on time.
This is how they pair together:
How Does CASS Work?
CASS-certified software verifies and corrects mailing addresses to conform to USPS standards. Specifically, it:
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Properly formats street addresses, ZIP+4 codes, and delivery point codes, among other data points.
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Flags invalid or incomplete addresses so that organizations can correct them.
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Standardizes addresses across large mailing lists for consistency, and so that it’s easier for the USPS to handle them.
We break down this program further in our guide to CASS software.
How NCOA Complements CASS
NCOA provides updated address information for recipients who have moved, while CASS helps correctly format every address, new or existing, for USPS delivery.
As previously mentioned, use of CASS is required by mail providers that wish to access change of address data.
How Does a Real Print and Mail Provider Implement NCOA in Practice?
At D4 Solutions, we serve customers that need their mail delivered accurately and on time, every time.
That’s why we offer NCOA services to our clients.
As an example of how it integrates into print and mail workflows, here’s how the system works for our customers:
- First, we process your mailing list against NCOA, identifying any out-of-date addresses in your records.
- Then, we return the original files to you, along with a list of updates to make.
Simple and easy!
And if you’re looking for a print and mail provider with expertise and a commitment to accuracy, we can help. Our secure workflows have been HIPAA and SOC 2 Type II audited, and our processes have a 99.99% accuracy rate.
Reach out now to learn more!
Frequently Asked Questions About NCOA
1. What is NCOA?
The National Change of Address (NCOA) is a USPS-maintained database of address change requests, which organizations use to update mailing lists, reduce undeliverable mail, and comply with Move Update requirements.
2. What does NCOA processing involve?
NCOA processing is the comparing of a mailing list against USPS change of address records through a licensed provider, updating outdated addresses, and returning a corrected list. This allows organizations to be eligible for discounts, and also helps get more mail in the hands of recipients, quickly.
3. Who can access USPS change of address data?
Only USPS-licensed providers and their authorized clients can access NCOA data. Providers must follow strict security and usage requirements, use CASS-certified software, and obtain a Processing Acknowledgement Form (PAF) from mailers to comply with USPS rules.
4. How often should NCOA processing be performed?
USPS Move Update standards require that mailing lists be updated within 95 days prior to a mailing to qualify for discounted postage rates. Thus, organizations should process their mailing lists at least once every 95 days.
5. What types of address changes are included in change of address data?
Change of address records cover both permanent and temporary moves, by individuals, households, and businesses. Each record includes the old address, new address, move effective date, and type of move.
6. What are the benefits of using NCOA?
Key benefits include:
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Improved mail deliverability and customer communication.
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Reduced returned and forwarded mail.
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Compliance with USPS Move Update standard, allowing organizations to qualify for discounts.
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Decrease in time and money spent on handling mail that has been marked as undeliverable.
7. Who should I partner with for NCOA services?
If you’re looking for a reliable print and mail partner that offers NCOA services, D4 Solutions is the right fit for you. Our HIPAA and SOC 2 Type II audited workflows deliver documents to your customers securely, accurately, and on time.
Reach out now to learn how we can optimize your print and mail processes.
