Boston Mobile Payment Company Raises Another $21 million

BOSTON (CBS0 - Seth Priebatsch, self-proclaimed Chief Ninja at LevelUp, tells me his app allows users to scan their mobile device which is linked to their credit card.

WBZ NewsRadio 1030's New England Business Editor Anthony Silva reports

Priebatsch says the system allows merchants to save on interchange fees and gives customers incentives & discounts. He says smartphone users can download LevelUp, and pay securely, leaving their wallets at home.

Businesses benefit because LevelUp charges no credit card fees. It's not that the fees aren't charged, but Priebatsch says LevelUp covers them for businesses.

Priebatsch tells me his company gets charged a much lower rate, because of the safeguards it uses to cut fraud by as much as 90%. He says LevelUp makes money by helping businesses grow their businesses.

Priebatsch, who was a guest last year at a WBZ Business breakfast, says about 3,000 companies in the Boston area are using LevelUp, generating about $2 million in monthly sales.