Level 2 Data
Level 2 data refers to the additional transaction information required for Level 2 processing. This information includes standard data such as merchant name and transaction amount, but also additional data including, but not limited to, the following:
- customer code
- tax amount
- tax identification number
- merchant postal code
Providing this extra information helps businesses and government organizations better track and control their spending. It also helps in streamlining the reconciliation process by enabling the automatic matching of transactions to purchase orders and invoices.
Providing Level 2 data can also make a business more attractive to corporate and government clients who require this level of detail for their own accounting and reporting purposes.
Since the transactions carry a lower risk due to the additional data, many card networks offer lower interchange rates for transactions with Level 2 data, which can lead to significant cost savings for the merchant.