Revolution Payments offers a proprietary payment gateway that can automatically detect whether or not a transaction is a level 3 eligible transaction, and when it is, automatically populates level 3 detail, lowering the interchange cost for accepting commercial cards by up to 1.5%.
Sean Jones, President of Revolution Payments explains: “Visa and MasterCard use “interchange rates” to determine how much businesses pay the card issuing bank each time a credit card is accepted.
These interchange rates can amount to 75%-90% of a business’ total expense for accepting credit cards and why level 3 processing is so important. A business can literally lower interchange by 30%-40% before a processor applies their fee.
What credit card processors and banks may not have shared is that for business-to-business and government purchases, interchange fees fall into 1 of 3 different interchange categories, level 1, level 2 and level 3.
These different tiers are based on whether level 3 processing detail was processed. If not, the transaction clears at level 1 and the business pays about 1% more (interchange) than the best rate a processor can provide.
Revolution Payments solves this problem, and it does it without creating any additional work for a business. No more manually entering 7-13 additional line item details to qualify for level 3 interchange rates. Our system detects whether a transaction is eligible, when it is, our system automatically populates and attaches level 3 detail without the merchant having to lift a finger.
Merchants interested in learning more about Revolution payments should contact Sean Jones at [email protected].