Payments
Merchant category code (MCC)
Updated
A merchant category code is the four-digit number card networks use to describe what a business sells, such as 5691 for clothing stores.
Every card payment carries the seller's MCC. Visa says it is assigned to describe the merchant's primary business, and that Visa and its member banks use it for activity tracking, reporting and risk management. Stripe adds that codes are often used to calculate interchange fees, authorise payments and prevent fraud.
Visa's rules for choosing one are short: pick the code that most accurately describes the business; with several lines of business, use the code for the line with the highest sales or a separate code per line; and use miscellaneous codes, usually ending in 99, only when nothing specific fits.
On PlatformDTC each store has its own Stripe account, and the owner picks an industry during payments setup. PlatformDTC sends that choice to Stripe as the account's merchant category code, and the picker warns on codes that are often wrong, such as supplements on a clothing code.
Frequently asked questions
- Who assigns the MCC?
- The acquirer or payment provider. On Stripe the code comes from the industry the account chooses, and Stripe can correct it after a review.
- What MCC does a supplement store use?
- Visa lists vitamin stores and health food stores under 5499 Miscellaneous Food Stores.
Sources
In depth: Merchant category codes for online stores