Level 3 processing is one of the payment processing industry’s biggest secrets. Issuing banks like Bank of America, Chase, CapitalOne, and dozens more relish the idea that your business is not receiving the discounts it would qualify for with the right processing partner and the right technology.
See that chart below? That giant blue section represents how much the banks make on your business. That processing statement you get each month should show interchange, assessments and network fees, and processing fees. Interchange is what the banks make, but they don’t have to make AS much.
Imagine reducing that interchange cost by 20-30%. That is possible only with level 3 processing. Follow the math real quick… if interchange is 80% of your monthly fee, and you can reduce that by 25%, you just saved 20% of your TOTAL bill.