Businesses run on Credit Cards Transactions! But most B2B Businesses are unaware of the difference between Consumer Credit Cards and Business Credit Cards. Most processors don't even want you to know because they make more money off of you! If the majority of your business is with other businesses, then you want to know about this phenomenal software that Merchant Processing Solutions offers for its B2B Merchants!
B2B transactions are payments made between two merchants/businesses for goods or services. Very few businesses still utilize checks and cash, B2B credit card payments are increasingly more popular, and more convenient for companies to be able to make, receive, and process payments faster and with more benefits. But most Business Merchants are unaware of the substantial savings that can be had by implementing our B2B Optimizer Software.
First you need to understand that there are three different data levels for credit cards; Level 1, Level 2, and Level 3. Each level requires a certain data to qualify transactions, and the higher the level is, the more details required. The higher the data levels, the lower the interchange rates from most credit card companies.
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| Business to Consumer Transactions |
Level 1 credit card processing is the most common level it is for B2C Merchants (Business to Consumers). All Consumer credit cards are set up on Level I data capture. Most merchants know if they don't enter the right Zip Code or Address, they can be declined the transaction etc.
Level I data processing includes: Commonly required on Terminals, Mobile, Virtual Terminal and Website Payment Acceptance connections.
- Credit card number
- Expiration Date
- CVV Code
- Billing address
- Zip code
Level II data processing saves businesses money on processing costs. Savings come from lowering the interchange rates that are dictated by VISA/MasterCard/Discover/American Express Associations. Interchange rates are reduced by about 0.50 percent lower than Level 1 transactions depending on the Association. Level II also helps prevent potential fraud or chargebacks to your business due to the added data requirements.
To qualify for Level II processing, a merchant needs software to capture the following data:
- Credit card number
- Expiration date
- CVV Code
- Billing address
- Zip Code
- Sales tax amount
- Customer code
- Merchant postal code
- Merchant tax identification number
- Invoice number
- Order number
Level III data processing is used in B2B (Business to Business) and B2G (Business to Government) transactions to help large corporations monitor and track their spending by collecting a set of additional line-item details. Entering extra data into the transaction fields offers significantly lower interchange rates for Association transactions. Level 3 interchange rates can be a full 1.00 percent lower than their Level I!
To qualify for Level III processing, a merchant needs software to capture the following data:
- Credit card number
- Expiration date
- CVV Code
- Billing address
- Zip code
- Sales tax amount
- Customer code
- Merchant postal code
- Merchant tax identification number
- Invoice number
- Order number
- Ship-From Zip Code
- Destination Zip Code
- Invoice Number
- Order Number
- Item Product Code
- Item Commodity Code
- Item Description
- Item Quantity
- Item Unit of Measure
- Item Extended Amount
- Freight Amount
- Duty Amount
B2B Merchants should be set up with our B2B Optimizer that will help them capture Level II and Level III Data automatically! Our software auto-fills the data fields that are required to comply with Level 2 and Level 3 data processing. The software allows B2B businesses to automatically comply with the data levels, retrieving them automatically upon purchase so your business can enjoy instant access to Level 2 and Level 3 savings (.050% - 1.00%) on interchange rates. These systems are also programmed to identify which cards qualify for Level 2 and Level 3 interchange savings, as not all credit card associations offer the same rates, and some have different policies for businesses to qualify. Optimizing this process and automatically collecting the correct data through the use of gateway tech platforms ensures that companies always remain compliant and qualified, setting them up to saving time and money.
If the majority of your business is with other businesses (B2B) then you NEED to speak to us about getting you on our B2B Optimizer Software. For less than $25.00 per month, you can save hundreds in merchant processing fees a month! Call us today!
Merchant Processing Solutions
954-938-2420
