Frequently Asked Questions

What is Level 2 and 3 Processing?

Level 2 and 3 processing is additional information collected at the time of sale. Due to the lower risk for collecting this data, merchants who accept level 2 and 3 data see an lower interchange rate, therefore saving money on processing fees.

How are Level 2 and 3 Solutions Implemented?

Many Level 2 and 3 solutions are implemented via a gateway (an online service that integrates with the processor). Gateways can be used for Mail Order Telephone Orders (MOTO), but many also integrate with hardware for face-to-face transactions.

Do I Need Hardware to Accept Level II and III?

In most cases, no. Gateways provide an online portal which allows merchants to accept credit card with a simple card swiper/chip reader.

Is There a Change in Business Process Accepting Level II and III?

There will be additional questions at the time of sale (i.e.- invoice number, tax category, etc) to qualify for level 2 and 3 data.

Do I Need Special Equipment or Software to Pass Level II and III Data?

Yes! And that is where Level 3 Data comes in. Some merchants require more complex gateways for shopping carts and online payments. Others simply need need a Level 3 capable terminal or online invoicing. We spend time to understand your business to offer the right solution to fit your needs.

Who Sets the Rate for Interchange?

Interchange Rates are set by the issuing banks (Visa, Mastercard, and Discover) and change periodically. You can find a sample of the latest Reimbursement Fees (Interchange Rates) set by Visa by clicking the link below.

What type of savings can merchants expect to see?

This depends on the card processed and in some cases the ticket size. The average savings on corporate cards are between 60-90 bps. Please refer to the MasterCard Card Flow Diagram and Visa Card Flow Diagram for details on individual interchange rates.QA

Which MCC’s are eligible for these savings?

All merchants EXCEPT the following:
  • Restaurants (MCC 5812, 5814)
  • Hotels (MCC 3501-3833, 7011)
  • Car Rentals (MCC 3351-3441, 7512)
  • Truck and Utility Trailer Rentals (MCC 7513)
  • Airlines (MCC 3000-3299, 4511)
  • Cruise Lines (MCC 4411)
  • Passenger Railways (MCC 4112)
  • Travel Agents (MCC 4722)

How can I identify if a merchant has corporate card volume?

The merchant statement is the best place to identify these card types, however the naming convention used depends on the processor that creates the statement. Please refer to the MasterCard Card Flow Diagram and Visa Card Flow Diagram for a list of card types and rates that you can reference on a merchant’s statement. Additionally, MX™ Connect provides detailed reporting by interchange category to help you identify merchants in your portfolio that will benefit from the B2B Interchange Optimizer.


Level 3 Data's B2B Interchange Optimizer FAQs

How does the Level 3 Data's B2B Interchange Optimizer work?

Level 3 Data's technology identifies the proper data fields necessary to meet the preferred interchange categories for participating card brands with no additional prompts or data for merchants to enter.

If I have AVS information stored in the MX Customer Vault, will the merchant need to manually enter AVS?

No, If the Customer AVS information is Vaulted, the AVS information will automatically be populated.

How often does the merchant need to settle their batch in order to qualify?

Merchants must settle all authorizations daily in order to qualify for the best rate.

What products and/or devices work with the MX™ B2B Interchange Optimizer?

Any MX product can utilize the MX™ B2B Interchange Optimizer App. This includes Quickpay, MX™ Express, Payment Links, MX™ Invoice, and our integrated terminal applications on the following terminals: Ingenico ICT 220, ICT 250, Desk 3500, Desk 5000, Move 5000.Additional devices coming soon!

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