Level 3 Processing Reduces Your Cost

Level 3 Processing Reduces Your Cost-Increase your profit margins by accepting Accepting GSA SmartPay Cards correctly!

When it comes to Accepting government P cards government contractors need to ensure their merchant account is set up properly otherwise, its very likely to see Non-Qualified, Standard or pay additional fees or surcharges for keying these transactions in.

Large Ticket Transactions above $5984 accepted without level 3 detail are not eligible for Large Ticket Interchange rate of 1.2%. You end up paying 2.65% vs. 1.2% in interchange. MasterCard & Visa created special “interchange” rates to support the Acceptance of GSA SmartPay Cards reducing a vendor’s transaction costs (Interchange) if Level-3 data information is included with a transaction.

By providing level 3 data a supplier can reduce transaction cost, often by 1%-1.5%.


What is level 3 processing?

Level 3 processing provides additional data elements of a transaction.  PO#, quantity, description of the produce and sales tax, when applicable, Tax exempt transactions are eligible for level 3 interchange rates.  Basically, defines the “how”, the “who” and the “what” of a transaction.


How to process level 3 detail?

Accepting government credit  cards requires a more sophisticated technology platform to capture what Visa and MasterCard refer to as level 3 processing (line item detail). Including level 3 data with your transactions allow you to receive/qualify for reduced interchange rates.


You need to adopt a virtual terminal capable of the additional line item requires Visa and MC require. Credit card terminals do not support the additional detail required to receive level 3 interchange rates.

  • Many companies are using equipment that is outdated equipment along with  bad practices when accepting credit cards.  Statistics also show us that at least 3 out of 5 vendors are not set up to accept P-cards correctly, meaning they are not set up to process level 3-line item detail.

Many government vendors & contractors are paying unnecessarily high (interchange) processing fees. With greater and greater utilization of purchasing cards, it is now of even of greater importance to properly manage your account when Accepting GSA SmartPay Cards.  This will ensure you receive Visa and Mastercard’s lower interchange rates for Accepting GSA SmartPay Cards, and that your business is processing as efficiently as possible.


Level 3 Processing Reduces Your Cost-Questions about level 3 processing or Accepting government P Cards?  Give us a call 888 790 3450

Revolution Payments

Level 3 Credit Card Processor For Government
Contractors/Suppliers & B2B Merchants

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