BSC Store Credit Card Processing Solutions: EMV (Chip Reader) with Level-3 Processing. Offered exclusively by UST.
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Certified EMV devices with Level-3 Data
For universal use with any POS System using API integration
Frequently Asked Questions (Q&A) Document
Effective April 2019
What does it mean to have a Certified EMV device which does Level-3 data?
EMV certification refers to the following Level-1, 2 and 3 certifications:
EMV contactless Level 1 certification ensures that the device (also: terminal) meets the lower level electromagnetic and communication protocol requirements. It includes operating distance tests where reference cards are placed at a set of predefined positions in proximity to the device’s antenna. It further covers analogue tests on the used frequency and digital tests on the low-level communication protocol, for example.
EMV contactless Level 2 certification is concerned with the validation of the software that implements the payment functionality and that runs on the Level 1-certified device. This software is referred to as a payment kernel. The contactless payment brands to be supported (e.g. Mastercard/Maestro Contactless, VISA payWave, or American Express contactless) determine which of the payment kernels are to be implemented.
EMV contactless Level 3 certification, or brand certification, ensures that the configuration of the software on the devices meets the brand requirements. In the case multiple payment brands are to be supported, all of the respective Level 3 certifications will have to be performed.
In addition, U.S. Transactions Corp. worked with Priority Payment Systems to certify the following Ingenico EMV devices (IPP 320 and ICT 220) to work in combination with the payment gateway software MXMerchantÔ gateway and its Level-3 data files which are accessed via API integration programming. This is the aspect which makes this product offering unique and is the only one of its kind on the market today.
Which devices have been “Certified” with the Level-3 software?
What is the difference between Level-3 Certification and Level-3 data?
Level-3 Certification (also known as “Brand Certification”) refers to certification that is granted by Visa, MaterCard, AMEX and Discover which ensures that the configuration of the software on the devices meets the brand requirements.
Level-3 data refers to the additional 16 elements of information (e.g., Product Code, Quantity, Unit of Measure, Price per Unit, Extended value, Freight, Duty, Discount, etc. – see Appendix attached) that must accompany each credit card transaction in order to qualify for the lowest interchange rate possible for Visa and MasterCard commercial cards.
Why is having Level-3 data so important?
Having Level-3 data attached to every government Purchasing Card sale means that the fees you pay to your merchant service provider should be at least 0.60% to 0.80% lower for each transaction due to a lower Visa/MasterCard Interchange fee.
What POS system have these certified EMV devices with Level-3 data been programmed to?
But the universal API programming guide of MXMerchant will allow these certified EMV devices to function with any modern POS system that will accommodate 3rd party APIs
There are many other EMV devices on the market, is there any other that are Certified to do Level-3 data with a payment gateway API that can be integrated to a POS system like Counterpoint NCR?
As of April 2019 there are none to our knowledge.
Why should we use an EMV device vs. a traditional card swipe device?
There are three (3) main reasons:
- Liability Shift: If the purchase is a counterfeit transaction, the merchant (i.e., You) generally holds liability, because the issuer has made the investment in chip technology to make transactions more secure while the merchant did not invest in upgrading to chip. This Liability Shift rule became effective October 1, 2015.
- Customer Requirement: your customer expects that your retail operation is utilizing the latest technology for card integrity and security. The card Chip reader capability makes it virtually impossible to intercept full credit card data from the card whereas magnetic stripe readers can be more easily hacked or data intercepted during a transaction. See below.
- Retail Site Security and Risk Mitigation: there is higher risk that a customer’s card data can be stolen from your retail site operation when utilizing traditional card swipe devices vs. an EMV terminal. Here is the reason why.
Magnetic-stripe cards are, well, magnetized. When you swipe them, the payment processor reads their magnetic fields and matches them to your bank account information. The problem with this is that the data is static, making it easier for fraudsters to lift your information and clone it onto a new card. In fact, there’s something called a skimmer — which they can get or make for as little as $20 — that can do this pretty easily.
On the other hand, the data on chip cards is constantly changing, making it extremely hard to isolate and extract. To rip it off, someone would have to get into the physical chip circuit and manipulate things to get your bank information. Not only is this level of data surgery really difficult, but it also requires a set of high-tech equipment that can cost north of $1 million. That’s not the kind of cash your average fraudster has handy.
Are there any other EMV devices that are certified with Level-3 processing data which will work with Counterpoint POS system?
Counterpoint’s own built-in credit card processing software (i.e., gateway) is not certified to do Level-3 data with an EMV device.
What is the difference between ICT220 and IPP320?
Here are the two main differences between these two devices:
- ICT220 – Sold with Power Supply and built in printer
- IPP320 – PIN Pad. No printer. Device and cables (power supply, and ethernet input) sold separately.
What is the price of ICT220 and IPP320?
ICT220 – $172.80 Includes the power supply, and you would just need an ethernet cable. The printer can be disabled.
IPP320 – $280.80 In order for you to use this device you have to purchase an IPP cable and the power supply separate. Total for all three components would be $280.80
 Source: UL Labs: https://ims.ul.com/emv-transit-what-are-these-emv-level-1-2-3-certifications-0 Source: Visa International Website. https://www.visa.com/chip/merchants/grow-your-business/payment-technologies/credit-card-chip/docs/VISA_LIABILITY_SHIFT_FINAL.pdf
What is Level-3 data
U.S. Transactions Corporation
44044 Riverpoint Drive,
Leesburg, VA 20176
Phone: (866) 442-3327
Fax: (866) 511-0935
Key Points About Services
- Over the last 7 years, we have a client retention rate of 97.5% (vs. industry average of 67.4%).
- Three consecutive years (2012, 2011, and 2010) in President’s Club
- We prove and validate your success by providing an initial 6-month fee/savings analysis, and thereafter annually.