Level 3 Payment Processing

If you operate a Business to Consumer (B2C) company, you are using Level 1 credit card processing. This is what most companies use when processing standard consumer credit cards offered by Visa, MasterCard and American Express.

If your business provides goods or services to other businesses (B2B), especially if you interact with small to medium-sized businesses, you might have to explore Level 2 processing as an ideal solution. However for larger corporate or government purchases, upgrading to a Level 3 payment processing will help optimize interchange rates and save money.

What Exactly Is Level 3
Payment Processing?

With Level 3 credit card processing, all transactions require the capture of specific line item data typically around 15-20 fields. However, that number can go as high as 100 — depending on the client.

Common line item details for Level 3 credit card processing include:


Commodity codes


Product codes


Item descriptions


Merchant contact info


Tax amounts


Freight amounts


Quantities and units

The Advantages of Level 3 Credit Card Processing

You attract a very different type of clientele — mainly heavy-hitters that wouldn’t (or couldn’t) do business with you otherwise. Many government agencies only use Level 3 credit cards for major purchases.


You also benefit from faster account settlements. With Level 3 processing, the Days Sales Outstanding (DSO) becomes shorter, allowing you to avoid unnecessary delays. This can be a huge advantage if cash flow is a concern.


You pay lower interchange fees by accepting Level 3 credit transactions. Because of all of the extra information required, fraud becomes less likely, and you’ll be reward you for helping to reduce the risk of credit card abuse.

Who is Netcom PaySystem?

Netcom PaySystem goes a step beyond most payment service companies by providing the most in-depth and comprehensive payment solutions in the industry along with exemplary customer service. Since 1987 Netcom PaySystem has been on the cutting edge and has branded payment solutions to suit merchant’s needs.


Electronic Payment Solutions
For All Business Types