MCC is short for Merchant Category Code.
It's a 4-digit code used to classify merchants by their line of business.
Most MCC codes are similar across Mastercard, Visa, and BKM, although some MCC codes differ between them.
Since there are potentially up to 9999 MCC codes, and some MCCs can be grouped into the same category, a higher-level classification called an MCC Group is often used as well.
Below are a few example MCC codes and their descriptions:
| MCC Code | MCC Description |
| 0742 | Veterinary Services |
| 0763 | Agricultural Cooperatives |
| 0780 | Landscaping and Horticultural Services |
1520 | General Contractor / Residential Building |
1711 | Heating, Plumbing, Air Conditioning Contractors |
1731 | Electrical Contractors |
1750 | Carpentry |
You can find Visa's MCC details and the full MCC list at the link below:
https://usa.visa.com/dam/VCOM/download/merchants/visa-merchant-data-standards-manual.pdf
What happens if the MCC is assigned incorrectly?
Because the MCC shows which sector a merchant operates in, it's used in fee, campaign, and risk controls. An incorrectly assigned code can cause a cardholder to miss out on rewards points or installment benefits, or can even cause a transaction to be declined.
Some banks restrict transactions such as installments, overseas use, or mail order for certain MCCs. Card schemes also apply special rules to high-risk MCCs.
For this reason, a merchant's declared business activity should be checked against supporting documents when it's onboarded, and the MCC should be updated whenever necessary.