[pickettd]

My understanding is that there are three levels of credit card processing (1, 2, and 3 - corresponding to different amounts of information transmitted about the transaction). I've heard from individuals supposedly familiar with payments systems in stores and payment processing that many big chains have a level 3 credit card processing system in place for consumer purchases.

One part of level 3 processing is a line item list of what was purchased. So if it is true that there are stores using a payment system that routinely transmits level 3 information for consumer purchases then it would follow that the credit card processor does currently have the information on exactly what you are buying from those particular stores (not just the merchant and the total amount).

I just did a quick minute or two of web searching and didn't see a trustworthy looking link describing the practice of level 3 card processing for consumer purchases. Maybe someone with experience in the card processing industry could comment on this?

[jeangenie]

It exists but apparently is not used for consumer purchases: http://en.wikipedia.org/wiki/Merchant_account#Level_2_or_Lev...

[pickettd]

Yeah, I saw that section on Wikipedia also. But I believe I've found a link indicating that level 3 is being used for consumer purchases in at least some individual stores.

If you look through Visa's supplier locator at https://www.visa.com/supplierlocator/ you can search for a business (or category of business) at a particular address or zip code. It will tell you the MCC (category) and appears to also show the data level reported to Visa.

I looked up Safeway grocery stores near Seattle. If you take a look at the one at 14444 124th Ave NE, Kirkland WA 98034 the data level is 'Fleet, Level III Line Item, Level III Summary'. I take this to mean that anyone using a Visa card at that particular Safeway will have their line item receipt sent to Visa. I would be surprised if the other credit card processors don't have setups like this as well.

[jeangenie]

Oh dear! Someone awesome should create a directory of such locations/merchants so we can all avoid them.