PCI (Payment Card Industry) compliance levels categorize businesses on the basis of the level of card transactions they process annually. There are four main levels, each using its own set of requirements and validation procedures. Level 1 comprises businesses that process over six million card transactions each year, including major charge card issuers and global merchants. These entities must undergo an annual onsite assessment conducted with a Qualified Security Assessor (QSA) and submit an Attestation of Compliance (AOC) to demonstrate adherence to PCI DSS (Data Security Standard) requirements.

Level 2 encompasses businesses that process between one and six million card transactions annually. Including smaller merchants and service providers. They are required to perform an annual Self-Assessment Questionnaire (SAQ) and are often subject to quarterly network scans to validate compliance. Additionally, they have to submit an AOC for their acquiring bank.

Level 3 consists of businesses processing 20,000 to at least one million e-commerce transactions annually. These entities are also required to accomplish an annual SAQ and could need to conduct quarterly network scans. Although Level 3 merchants have lower transaction volumes compared to Level 2, they still handle significant cardholder data and must maintain robust security PCI compliance levels .

Each PCI compliance level is related to specific validation requirements to guarantee the security of cardholder data. These requirements are outlined in the PCI DSS, some security standards designed to guard payment card data. The PCI DSS encompasses various security measures, including network security, access control, encryption, and vulnerability management.

Regardless of the PCI compliance level, businesses must prioritize security and adopt a thorough approach to protecting payment card data. Including implementing strong access controls, encrypting sensitive data, regularly updating security measures, and conducting regular security assessments and audits. By prioritizing security and compliance, businesses can mitigate risks, build trust with customers, and safeguard their reputation in the marketplace.