What is Level 3 Credit Card Processing?

Level 3 Credit Card Processing Visual

Sep 2, 2023

Level 3 credit card processing is a game-changer in the credit card processing industry, especially for businesses engaged in Business-to-Business (B2B) or Business-to-Government (B2G) transactions. If you are a business operator or a merchant, you are likely interested in the advantages of Level 3 Credit Card Transactions.

In this post, learn exactly what level 3 data credit card processing is and how it benefits both your business and your customers.

Level 3 Processing

In simple terms, Level 3 payment processing stands out as an advanced method designed to empower businesses to present specialized B2B credit card transactions. This approach is strategically crafted to qualify for lower B2B interchange rates, which can significantly impact your bottom line.

Since the inception of this program in 2018 by Visa and Mastercard, the primary focus has been on reducing costs associated with accepting B2B and B2G corporate purchasing cards. To access these lower transaction charges, businesses are required to provide more line-item details along with the card payment. Compared to level 1 credit card processing (4 data points) and level 2 credit card processing (6 data points), level 3 payments demand the most comprehensive set of line-item details, specifically requesting 11-13 data points.

The Importance of Level 3 Data

To help you understand the security of Level 3 processing, let’s compare the credit card processing requirements for each level. Level 1 Level 2 Level 3 come with its own set of required data points:

  • Level 1: Basic transaction data
  • Level 2: Additional data such as tax amount
  • Level 3: In-depth line-item details (11-13 data points)

To better understand each credit card level, view the table below to compare the various required card transaction data.

Credit Card Level Comparison e1697214661304


The type of data required may vary by provider. By providing this additional L3 data, these transactions are perceived as less risky and less susceptible to fraud compared to Level 1 or Level 2 processing. The result is a lowered base cost per customer transaction, translating into tangible savings for businesses actively processing B2B credit card payments.

The sheer volume of required line items might seem daunting, but the good news is that there are card payment solutions that can automate the collection and transmission of Level 3 credit card data. This means you can enjoy substantial savings without the burden of manual data entry. eTreem specializes in streamlining this process, setting your company up to minimize credit card processing costs and maximize the benefits of Level 3. Contact us to get started.

Savings Unleashed: How Level 3 Benefits Your Bottom Line

But how does Level 3 processing translate into cost savings for your business? By providing more detailed transaction data, such as itemized descriptions, quantities, and unit prices, businesses can qualify for these reduced rates. This can result in substantial cost savings for companies that frequently engage in high-value transactions. Additionally, Level 3 processing enhances transparency and accountability in transactions, as it requires a higher level of detail, facilitating better record-keeping and reducing the likelihood of disputes between parties. This increased visibility into transaction details can contribute to improved financial management and streamlined reconciliation processes.

Furthermore, Level 3 credit card processing offers enhanced security features. The additional data provided in Level 3 transactions allows for more robust fraud detection and prevention mechanisms. The detailed information on each transaction makes it easier for businesses to identify irregularities and take prompt action to mitigate potential risks. This heightened level of security is especially crucial in the B2B environment, where transactions often involve larger sums of money and where the potential impact of fraudulent activities can be more significant.

Navigating Level 3 Compliance: A Strategic Approach

Ensuring your business meets the compliance standards for Level 3 processing is a strategic move that goes beyond mere adherence to requirements. It’s about positioning your company to benefit from reduced interchange rates and paving the way for substantial savings.

Businesses looking to take advantage of Level 3 credit card processing can do so by implementing systems and solutions that support this advanced level of transaction data. This typically involves acquiring specialized payment processing software that is capable of capturing and transmitting the required data fields. Additionally, businesses need to work closely with their credit card data providers to ensure compliance with Level 3 processing standards. By investing in the necessary technology and collaborating with experienced payment processors, businesses can not only enjoy the cost-saving benefits but also enhance the overall efficiency and security of their B2B transactions. 

Choosing the Right Platform: Leveraging Level 3 with eTreem

When it comes to selecting a platform to navigate the complexities of Level 3 data credit card processing, the choice matters. eTreem offers intelligent B2B processing capabilities that not only meet Level 3 requirements effortlessly but also position your business for optimized cost savings. Benefits of eTreem’s card payment solution include:

  • Easy for customers to pay
  • Simplified accounts payable process
  • Reduced costs of accepting payments

Contact us to schedule a 20-minute demo and kickstart your business’s savings with Level 3 processing rates.

Get Started with Level 3 Credit Card Processing

Ready to unleash the full potential of Level 3 credit card processing for your business? Contact us to simplify and reduce costs with eTreem.