Processing Level-3 line item detail will help you reduce the fees you pay to accept commercial, purchasing, business and government cards, IF your merchant account is set up properly.
Many merchants are under the assumption that just because they are sending level 3 transaction detail they are automatically getting level 3 interchange. I often talk to merchants who are unwilling to engage in a conversation and state ” I have level 3 processing and were good”
Its not until I volunteer to send them an actual statement of one of my clients who have been set up to receive 100% of the available discounted interchange for level 3 that they finally open up.
Keep in mind. Your processor or bank is not required to pass All of the level 3 discounts to you. They are also not required to make sure you are set up in the most cost efficient and ecumenical manner.
More than half the statements sent to revolution from merchants who are processing level 3 have not been set up properly. Several factors are required to ensure you receive 100% of the available discounts for processing level 3 and why its highly recommended to ensure you consult with an EXPERIENCED Level 3 payment specialist.
Make sure and ask for references, if you ask your processor or bank about level 3 and they don’t seem to know what your talking about, this is a sign you should consult with an experienced processor and get a second opinion.
If your not required to pass level 3 data you should not overlook its benefits. This is one of the most common objections I receive. “We are not required to process level 3”
Level 3 is the ONLY way to reclassify how Visa and MasterCard classify commercial, purchasing, business and government cards.
Remember, No matter your processor or bank, ALL processors operate off the same cost which is called interchange. This is the amount of the fee you pay that goes back to the card issuing bank of your client, NOT Your Credit Card Processor.
Sending Level 3 line item detail lowers the non negotiable part of the fee you pay and it can do it by up to 40%. Additional savings can be obtained if your processing larger ticket transactions.
In closing, level 3 can be a complicated topic and not the focus of most payment professionals. Revolution has almost 20 years experience working with people selling to other businesses and the government and is here to answer any questions you may have regarding level 3 processing.
Feel free to give us a call at 888 790 3450 or email [email protected] to speak with one of our level 3 payment specialists.