PaymentsJournal

Horsing Around with Chase Credit Cards

Credit Card

The card industry is relatively strict, but not perfect, about what can go on credit cards; because of the high throughput, it relies on merchant category codes that define each business-type.  You have probably noticed news in the press lately because Bitcoin is viewed as a speculative investment that card issuers do not want to hold as credit card risk, but here is an interesting ditty on a change in pari-mutuel betting, with horses, just in time for Kentucky Derby in May.

It is all about the Merchant Category Codes (MCC) which bucketize payment transactions, define acceptability, and impute interchange.

Right now, Chase is in front of this issue by a nose…

Overview by Brian Riley, Director, Credit Advisory Service at Mercator Advisory Group

Read the quoted story here