Glossary

BIN NUMBER or BANK IDENTICATION NUMBER —-First four to six digits of any credit card number. First four numbers identify the Issuing Bank and card brand, the next two numbers identify the industry type of card (ex. Travel, fleet, purchase). BIN numbers are used in Level 3 data software solutions to alert the supplier of a government or business card transaction.

FSSI—Federal Strategic Sourcing Initiative

GSA—General Services Administration

IIN—Issuer Identification Number also known as a Bank Identification Number (BIN)

Interchange—a % of the card transaction that goes to the bank that issued the credit card to your customer. The bank supplies credit to your customers and gets paid ‘Interchange’ to manage the risk. Processors have many uses for the term ‘Interchange’, on statements and correspondence. This is the clear definition. The banks that issue the cards and run the credit program get paid by taking a little $ from every transaction. Those $ are called ‘Interchange’. Each card type and transaction type have slightly different interchange levels. That is the key to managing your processing costs. Get your card transactions to fall into the lowest ‘interchange’ level. Adding Level 3 data helps.

Level 3 Data— additional data passed along during the card transaction that helps the buyer keep track of what he’s buying and the seller take advantage of favorable pricing from Card brands. (Visa, MasterCard)

POS System(Point of Sale)—a cash register or computer hardware set-up that is programed with software to help run your business. POS systems have plenty of memory to facilitate BIN recognition software that is the first step in adding Level 3 data to your card transations.

SmartPay Card—Program established by the US government to maximize the purchasing power of the US government. Cards were issued to agencies and reconciliation and pricing efficiencies improved. There are three types of SmartPay cards. Purchase, Travel, and Fleet.

Non-GSA Savings Opportunities

Many business purchasers, along with government agencies, utilize the additional information made available via Level 3 data. Submitting this additional Level 3 Data will lower credit card processing cost for these non-GSA transactions as well. Click here to see estimated savings.