FinTech Glossary

What Is a Merchant Category Code (MCC)?

A Merchant Category Code is a four-digit code assigned to merchants that classifies their business type, used by payment networks to categorise transactions.

How MCCs Are Used

MCCs help determine fee structures, reward eligibility, and spend controls. They are widely used in card systems to restrict or allow transactions by category.

Why MCCs Matter

MCC-based controls help businesses prevent misuse and enforce spending policies. Incorrect MCC classification can cause transaction declines or reporting errors.

EnKash Relevance

EnKash uses MCC-based controls to help businesses restrict card usage to approved categories, improving governance and audit readiness.