Level 3 processing is when large business-to-business (B2B) and business-to-government (B2G) corporations provide credit card companies with more in-depth statistics and details on daily transactions. In exchange for the extra data, you can drop your processing fees by around 1%. Level 3 processing is only available to substantially large B2B and B2G companies that regularly process a large amount of B2B and government credit card payments. You won't qualify for level 3 processing if you primarily service regular customers and consumers.