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What is Level 2 and Level 3 processing?

Level 2 and 3 data (B2B processing) is a system designed to encourage credit card acceptance between businesses / governments. There are additional data requirements, but merchants receive lower rates.

Visa/MasterCard want to encourage the usage of their credit cards between large organizations, and for high-ticket payments. To do so, they offer lower interchange rates to qualifying businesses who share extra data with every sale they process. The savings can be huge, 50% or more in certain circumstances! See examples here.  The data points you are required to share depend on what card you're accepting - but at a minimum, you're required to pass through a PO number, tax value, zip code, and more. To get the lowest (level 3) rates, you'll need to pass through very detailed information such as commodity codes, item descriptions, etc. Click here for a detailed description of the requirements. 

For many merchants, this is a big burden. To accept these data points, you have to have specific hardware or software. Just "any old terminal" won't do, since they're not designed to prompt for this data. So, you have to have a special payment gateway or terminal that's designed for this. That costs money, time to learn, etc. So, many merchants just don't bother. It just feels like a big hassle.

 

That's where the AND gateway comes in. We offer FREE level 2/3 processing, and our gateway gets level 2/3 rates automatically. You don't have to think about this information - it just "happens" in the background, so you get lower rates, with no extra work.  

We're serious about saving money.

AND is dedicated to getting your processing rates as close to zero as possible. We utilize membership pricing along with cash discounting and surcharging programs to maximize savings. Let our analysts review your statements and see how much money we can put back in your pockets. 

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