Level 3 data
What is level 3 data?
Level 3 data is the most detailed set of transaction information a merchant can send with a card payment, adding itemized line-item detail on top of the basic fields carried by a standard transaction. It applies mainly to commercial, corporate, purchasing, and government card payments, where the card networks reward the extra detail with lower rates.
Card payments are grouped into three data levels. Level 1 carries the basics: total amount, date, and merchant name. Level 2 adds fields such as tax amount and a customer code. Level 3 goes further, itemizing each product or service on the order, including description, quantity, unit price, product code, and freight or shipping detail. The higher the level, the more the merchant reports, and the lower the processing cost the networks assign.
Key facts
- Also known as: level III data.
- Applies to: commercial, corporate, purchasing, and government card programs, not standard consumer cards.
- Data included: line-item description, quantity, unit price, product or commodity code, tax, and freight or shipping amount.
- Main benefit: qualifies eligible transactions for lower interchange than level 1 or level 2.
- Data levels: level 1 (basic), level 2 (intermediate), level 3 (full line-item detail).
How the data levels compare
Each level builds on the one below it, so level 3 includes everything in levels 1 and 2 plus the itemized order detail.
| Data level | Information included | Typical use |
| Level 1 | Total amount, date, merchant name | Standard consumer card payments |
| Level 2 | Level 1 fields plus tax amount, customer code, merchant details | Corporate and purchasing cards |
| Level 3 | Level 2 fields plus full line-item detail: description, quantity, unit price, product code, freight | B2B, government, and large corporate purchases |
To earn the lower rate, a merchant passes these fields to its acquiring bank through its or during authorization and settlement.
Why it matters
Level 3 data changes what a merchant pays to accept commercial cards and which buyers it can sell to.
- Lower interchange: the card networks assign reduced interchange to commercial and government card transactions that include level 2 and level 3 detail, so a merchant that submits it pays less to accept those cards than it would on the standard rate.
- Access to B2B and public-sector buyers: many government agencies and large corporations purchase only on cards that require level 3 detail, so supporting it opens sales channels that don't otherwise accept card payments.
- Detailed reporting for the buyer: line-item data lets the buying organization reconcile spend, apply per-employee spending controls, and produce itemized expense reports.
