Payments glossary · Standards
Merchant Category Code (MCC)
A merchant category code (MCC) is a four-digit number that classifies a merchant by the type of goods or services it sells, such as 5411 for grocery stores and supermarkets or 7995 for betting and gambling. The acquirer assigns it.
How Merchant Category Code works
MCCs are defined in the ISO 18245 standard, and the card schemes publish their own detailed lists and rules. Visa's Merchant Data Standards Manual, for example, requires acquirers and their agents to assign the code that most accurately describes each merchant's primary business, to use miscellaneous codes only when nothing more specific fits, and in some cases to use separate codes for distinct lines of business. A merchant that takes online gambling payments must use MCC 7995 for all its card-absent transactions.
The code has practical effects. It can influence interchange rates in some markets, whether issuers approve a transaction (some issuers block gambling or crypto codes entirely), how cardholder rewards and spending controls apply, which transactions fall under high-risk monitoring and registration programmes, and how the purchase appears on statements. Corporate card programmes often restrict spending by MCC too.
Merchants should know which MCC their provider has assigned and check that it matches what they sell. A wrong code can lead to unexpected declines or costs, and a code that disguises a higher-risk business can lead to termination and scheme penalties. Visa's list of high-integrity-risk codes for card-absent sales includes 5967 (adult content and services), 7273 (dating and escort services) and 7995 (betting), among others.