How to find a business merchant category code

Merchant category codes — or MCCs — aren’t something consumers have to use in their everyday lives, but that doesn’t mean they’re unimportant. They can impact how much in credit card rewards cardholders earn and, on the business side, these codes impact a range of important factors from interchange rates to credit card processing fees. MCCs also dictate how the IRS classifies a business and taxes certain types of business income.

Here’s a rundown of the types of merchant category codes you’ll see most often, as well as why these codes matter to both businesses and consumers.

What is a merchant category code?

A merchant category code (MCC) is a four-digit code that’s used by credit card companies to classify businesses. These codes are tied to the type of services or goods the business supplies, whether we’re talking about a carpet cleaning service, a restaurant or a retail store.

Some businesses may have more than one type of service under the umbrella of their company name, in which case they typically have an MCC that aligns with the core function of their business. If a restaurant also has a small gift shop, for example, that business would still likely have an MCC that designates it as a restaurant for business purposes.

There are also situations where businesses request an additional MCC for different goods or services it offers. This typically comes into play with huge retailers that offer different businesses all under one roof. An example would be a Walmart Superstore that has a grocery component as well as a pharmacy, vision center and automobile service center.

Common merchant category codes

MCCs can vary by card processor, though they tend to be similar to the following merchant categories from Citi. Here are some examples of common merchant category codes you might come across.

Within each category, you can find more detailed individual codes that narrow down more nuanced types of businesses, like parking lots and garages, souvenir shops and even watch and jewelry repair. You’ll also find MCCs for various travel and entertainment companies, including airlines, car rental companies, lodging companies and more.

Where to find a merchant category code

If you’re a business or merchant, you should know your company’s MCC. You can find this information by contacting your credit card processor (such as Visa or Mastercard) and inquiring. You may also be able to find the information online by searching for terms like “Visa merchant category codes.”

Consumers can look for merchant category codes on their bank or credit card statements. These codes can be found listed next to each purchase, and they may be described as a “merchant description.” If the description for a purchase comes in the form of a four-digit code, that is most likely the MCC for the company the purchase was made with. You may also see the category written out as opposed to signified by a code.

There may also be scenarios where you want to know a business’s MCC before you buy something. For example, it makes sense to check a business MCC if you want to make sure to use the right rewards credit card so your purchase earns boosted rewards within the card’s bonus categories.

If you’re unsure of a company’s MCC and you want to know it before you spend money with them, you can always call them or send a secure message to ask. While the code from their processor might not line up exactly with your processor’s code, they’ll likely be able to let you know what kind of spending category your purchase might show up in.

Why is it important to know your MCC?

MCCs matter to business owners, business credit card holders and savings-seekers looking to get the most value out of their personal rewards cards.

Why MCCs are important for business owners

Business owners will want to know their company’s MCC for a variety of reasons, including the following:

• Tax purposes: MCCs help business owners determine whether they can report certain payments on a Form 1099-MISC.
• Convenience fee charges: MCCs also help businesses determine when they can (and cannot) charge a convenience fee for credit card payments.
• Risk management: Certain MCC classifications apply to “high risk” businesses like airlines and pawn shops, in which case transaction fees may be higher. Other MCCs are applied to businesses like nonprofit organizations that may qualify for lower interchange fees.
• Payment acceptance: MCCs can also be used to determine payment acceptance for certain types of purchases.

Misclassification by way of an incorrect MCC could mean paying more on rates and fees than you need to, so you’ll want to review your code and report any errors to your issuer or processor immediately.

Why MCCs are important for cardholders

Knowing a company’s MCC makes sense for consumers with personal credit cards, but these codes can also matter to small businesses who use a business credit card for company spending.

Here are some examples of why MCCs matter to cardholders of all kinds:

• Tax implications for business cardholders: Businesses that use credit cards for spending can use MCCs to help simplify their taxes. This is because the IRS requires businesses to report payments for services, but not for the purchase of goods. Knowing MCCs for this purpose can help business owners know which payments they need to report on Form 1099-MISC.
• Maximizing credit card rewards: Knowing a company’s MCC can help personal and business credit card customers earn more rewards over time. If you use a card that earns bonus points in certain categories, such as restaurants or grocery stores, you can lean on company MCCs to identify businesses that will help you earn more rewards on certain purchases.

When it comes to using MCCs to maximize rewards, there are several scenarios where this could come into play. As an example, I recently needed to pay the second installment on my daughter’s school field trip to Washington D.C., which worked out to around $600. I had paid the first installment with my Chase Sapphire Reserve® out of habit, but I went back through my credit card statements to see how the first payment had coded to make sure I was using the optimal card.

Lo and behold, the company facilitating my daughter’s school field trip had a MCC related to travel. This meant I had earned 3X points per dollar spent on the first installment of the trip, and it gave me the greenlight to use the same card again to pay for the second half.

Another example: Let’s say you have a cash back card with rotating bonus categories, such as the Discover it® Cash Back, which earns 5 percent back in rotating quarterly bonus categories up to $1,500 spent, then 1 percent (activation required). This card’s bonus categories for Q2 2025, for example, feature grocery stores and wholesale clubs. It’s important to know that stores such as Walmart and Target aren’t categorized as either grocery stores or wholesale clubs, so you may want to alter your grocery shopping habits for the quarter if you want to maximize your cash back opportunity.

Bottom line

Merchant category codes may not seem like a big deal, but these four-digit codes can have a dramatic impact on businesses and consumers. Not only can they impact taxes and payment acceptance for companies, but they often determine how much in rewards consumers can earn on their spending.

You can find business MCCs by checking online, checking your credit card statement or calling a company to ask. If you’re a business, you can find out your company’s MCC by inquiring with your credit card processor.

Frequently asked questions (FAQs) about MCCs

• How does a high-risk MCC affect a business?

  Companies with a high-risk MCC may pay higher interchange rates, and they may not receive the same fraud protections as other businesses. Fees assessed for chargebacks can also be higher for high-risk businesses.

• Why doesn’t the MCC match up with the store service?

  Some businesses with multiple products and services may have an MCC that doesn’t align with everything they have to offer. For example, let’s say you fill up your car with gas at a huge store like a Buc-ee’s that also has a grocery store, retail shopping and convenience store components. Your purchase may not code as gas and might instead have an MCC that falls under “grocery stores” or “convenience stores.”

• Can an MCC lead to declined transactions?

  MCCs can lead to declined transactions if a business or credit card has an MCC restriction set up. For example, corporate fuel cards can typically only be used for fuel purchases and certain in-store purchases at gas stations, and they can be set up to decline other purchases.