Level 3 Processing for B2B Transactions
Savings Designed for Business-to-Business Credit Card Processing
An increasing number of business-to-business (B2B) transactions nowadays is done via credit card — swiped, keyed in or input online. It’s fast and convenient, but every transaction involves base costs, interchange fees, assessments and markups. Like it or not, these credit card processing fees are just a part of modern merchant services, and those costs cut into profits.
But there is one simple way to lower processing fees: level 3 processing.
Reclassifying your transactions as level 3 will help you save money, certify security and enhance efficiency.
What is level 3 processing?
The fees for Visa and Mastercard transactions depend on your transaction’s data level. The more information you provide per transaction, the safer it is, so the higher the data level becomes. And the higher the data level, the higher your savings.
Level 1 (I)
Basic consumer transaction with minimal purchase data
Level 2 (II)
Level 1 data plus sales tax information and customer code
Level 3 (III)
Line-item detail qualifying for lowest interchange rates
Benefits of Level 3 Transactions
- Safe transactions, every time. The added security of extra purchase information is rewarded with a reduced interchange rate.
- Huge cost savings on credit card processing fees. Significantly lower interchange rates — potentially up to 1.00% or more!
- Designed specifically for B2B transactions. Line-item detail makes tracking purchases and managing and monitoring budgets simple.
Level 1 is the most common for standard retail transactions, but levels 2 and 3 are designed for larger B2B transactions. Level 3 requires the most information — line-item detail, just like on an invoice. The greater level of information helps secure the process and make it transparent, not to mention making budget management and tracking spending a cinch. This guarantees you’re being charged the lowest rates for any qualified transactions.
Simply by reclassifying your qualifying sales as Level 3 transactions and providing the necessary information, you can take advantage of dramatic cost savings on credit card processing.
How Do I Qualify for Level 3 Processing Savings?
To qualify for level 3 processing, you’ll need:
1. Large-ticket B2B or business-to-government (B2G) transactions with level 3 data
2. Point-of-sales (POS) system to collect all necessary information upon transaction
3. A merchant services expert who can handle and process Level 3 transactions
Level 3 Payment Processing Requirements
Almost all B2B credit card transactions are eligible to qualify for level 3 processing and reduced rates. The three things you need to satisfy level 3 qualifications are:
Level 3 Data
Level 3 payment processing requires the maximum level of transaction information to ensure security and transparency.
Required Information to Qualify for Level 3 Credit Card Processing
- Merchant Name
- Tax Amount
- Customer Code
- Merchant Postal Code
- Tax Identification Number
- Merchant Minority Code
- Merchant State Code
- Item Descriptions
- Transaction Amount
- Item Quantities
- Item Tax Rates
- Ship from Postal Code
- Freight Amount
- Duty Amount
- Destination Postal Code
- Destination Country Code
While standard credit card terminals cannot support level 3 credit card processing, specialized POS systems like NPC’s can easily auto-populate all necessary data to qualify transactions as level 3.
Level 3 Merchant Services Provider
An experienced merchant services provider like us can provide the technology, account setup and back-end processing to save the most money possible on your level 3 credit card transactions.
Team NPC has the technology and expertise to get your company saving money on credit card fees today with level 3 processing.
National Payment Corporation works with hundreds of qualified clients across the country. We can help your business see significant savings on B2B transactions:
- Our POS machines automatically populate required data to qualify transactions as level 3.
- The enhanced details of level 3 data will make budget management and reporting easy.
- You’ll pay a reduced rate and lower fees on your most expensive transactions.
- You could increase profit margins by upwards of 1.00%.
Start the Savings Today with National Payment Corporation
To learn more about qualifying for level 3 B2B credit card payment processing, contact NPC today! We’ll begin setting you up to process and run level 3 credit card transactions in no time.