What Is A Merchant Category Code?

A merchant category code (MCC) is a four-digit number assigned to a business by credit card issuers for the purpose of correctly identifying the type of business. The code is used to categorize spending so that cardholders can earn rewards and benefits based on their spending habits.

There are over 200 different MCCs, each of which corresponds to a specific type of business. Some common examples include:

0000 – US Federal Government

4814 – Telecommunications Services

5411 – Grocery Stores

6011 – Credit Card Issuers

7011 – Hotels and Motels

8351 – Dentists and Orthodontists

Not all businesses will have an MCC, and some businesses may have more than one MCC. For example, a business that sells both groceries and gasoline may have MCCs for both types of products.

MCCs are used by credit card issuers to track spending patterns and offer rewards or benefits to cardholders based on their spending habits. For example, a card issuer may offer bonus rewards points for every dollar spent at grocery stores or gas stations.

Some credit card issuers also use MCCs to determine which transactions are eligible for cash back or other types of rewards. For example, a card issuer may offer 2% cash back on all purchases made at grocery stores but only 1% cash back on purchases made at gas stations.

MCCs can also be used to help businesses track their own spending patterns. By knowing which MCC corresponds to each type of purchase, businesses can better understand where their money is being spent and make more informed decisions about their spending habits.

If you’re not sure what MCC your business falls under, you can typically find this information by contacting your credit card issuer or looking up the MCC in our list of common merchant category codes

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