What You need to Know About Merchant Codes

MCC also knows as merchant classification codes are a four-digit that credit cards network like Visa, American Express, and MasterCard and discover, that describes the types of goods and services provided by a business. The Visa merchant system assigns to businesses it helps to classify them into specific industries. Since the merchant codes are based on the good and services that a merchant gives, they are not limited to any industries. The International Organization for Standardization (ISO) provides meaning and classifies the codes.

Types of merchant category codes

There several merchant classification codes which are mostly shared between Visa, Discover, America Express and MasterCard. They are particular to ensure quick identification of items. Few examples of MCC from different contractors are electrical 1740, heating 1711, and plastering 1740.


The most popular visa merchants codes and frequently traded goods and services include; fast food restaurant 5814, drug stores and pharmacies 5912, eating places and restaurant 5812, service stations 5541, grocery stores 5411 to name a few.ISO requires any company to have at least 10 million dollar annual revenues for it to apply for MCC. For this reason, mostly large hotel car rental companies and airlines are the ones with their reserved merchant codes. A few examples are Hilton Hotel 3504, value rent-a-center 3435 and southwest airline 3066.

Searching for a business’ merchant category code

How can I search for a merchant category code? The easiest way to find a certain company’s merchant category code is by using Visa websites. It is possible to search a company from a particular geographic area, and narrow to a specific company name.MCC play essential roles for both the merchant and the customers. Some of these benefits are;MCC helps the owners of the company since they can act as reminders to the customer about a particular billing sale, thus avoiding a chargeback.

Visa Chip Card
Customers can be able to categorize firms under a common umbrella such as dining or traveling or any other desire. The grouping is used to determine how much cash back or reward points you generated on a given transaction. MCC determines what bonuses you earn on a particular purchase with various cards. The chase summary makes it easy for you to see precisely how many bonus points are awarded for each transaction.
MCC can also be used for tax purposes. The businesses and government maintain a high level of honesty in the matter of taxes and organization’s operations.

However, MCC can negatively impact the businesses process rate. Any improper classification can make merchants pay higher than necessary. There so many MCC in visa merchant codes; over 500 codes. It essential for a firm to ensure they are assigned to the appropriate code.

The chances are that you are surprised to know that you knew so much concerning merchant category code, only that you didn’t have much attention to them. MCC will take your business to the next level and apply for MCC to enjoy such benefits. MCC is also a good way for customers to ensure that their card awards them the proper points.