Taking Costs Out

As a supplier who is able to provide more information through the MasterCard network, you should eliminate your current process of providing manual/written information to your customer. The data you pass through the MasterCard network at Level 3 is sufficient. In addition, the cost of providing Level 3 data is the lowest cost to you, thus allowing for greater savings. You can eliminate the costs associated with collecting funds from your customer as you will now receive payment for your goods and services within 42 to 78 hours.

Payment

The method of receiving payment is similar to traditional credit card arrangements. Suppliers enter into a joint business relationship with an acquirer (credit card processor). Once the merchandise or service has been shipped or provided and the transaction has been authorized, the acquirer will automatically credit the suppliers bank account for the amount of the purchase.

Making a Transaction When the Card is Present

When a purchase is made the cardholder presents the card for payment. The card is swiped in the Point of Sale (POS) terminal or card data is entered into the supplier's PC product (software or browser based). The POS terminal/PC will prompt the supplier to enter enhanced data (variable customer codes, sales tax amount at Level 2 and line item detail at Level 3). Authorization for the transaction is received by the supplier within seconds.

Making a Transaction Over the Phone/FAX/Internet

The transaction works the same way as when the card is present. You will capture or input the preferred level of information into the POS device/software. Authorization works the same way.