Can Propane marketers process under the MCC code of 4900 (utility)?

MasterCard and Visa differ in their rules and regulations regarding MCC Code 4900.

 

According to MasterCard rules and regulations, all merchants in the Utilities, Electric, Gas, Heating Oil, Sanitary and Water industries are eligible to participate in the 4900 MCC Code (Utility) program. MasterCard Consumer Credit Cards, MasterCard Consumer Debit Cards, World MasterCards and World Elite MasterCard transactions are eligible for Utility pricing.

 

However, Visa rules and regulations, merchants selling propane and heating oil are not eligible to participate in the 4900 MCC Code (Utility) program. Fortunately, Propane and Heating oil merchants are allowed to participate in the Emerging Markets program, MCC Code 5983.

 

The following rules and regulations apply to merchants processing under MCC Code 4900:

 

CPS/Utility

• Applies ONLY to MCC 4900(Utility). MCC 4900 includes utilities such water, gas, waste management and electricity. Visa does not consider heating oil and propane eligible for the Utility rate.
• Registration Required.
• Applies to Consumer Credit, including Rewards, Signature, and Infinite cards.
• Transactions must meet CPS Requirements.
• Must be electronically authorized. Transaction may be swiped or keyed.
• Transactions not meeting CPS requirements will not qualify and will be classified accordingly

 

What is Emerging Markets?

Visa, in its efforts to increase card acceptance, developed Emerging Markets MCC Code 5983. Understanding these merchants are typically Card Not Present environments, Visa set Interchange rates comparable to Card Present environments to further promote the usage of their card brand.

The following rules and regulations apply to merchants processing under MCC Code 5983:

 

CPS/Retail 2 for Select Emerging Markets

• Applies only to MCCs 9211, 9222, 9399(Government), 8211, 8220, 8299(School), 5960, 6300(Insurance), 4899 (Cable and Other Pay TV), 8398(Charities), 8351(Child Care), 5983(Fuel Dealers) and 5968(Subscriptions).
• 4900(Utility) no longer eligible.
• Applies to Consumer Credit, including Rewards, Signature, and Infinite cards.
• Must be electronically authorized. Transaction may be swiped or keyed.
• Transaction must be sent for processing within 24 hours of the authorization.
• Transactions not meeting CPS requirements will not qualify and will be classified accordingly
• MCC 5960 must meet CPS/Card Not Present requirements.
• AVS is not required for CPS/Retail 2. HOWEVER, if AVS is used, the transaction must meet requirements for CPS/Card Not Present, CPS/E-Commerce or CPS/Retail Key Entry and the transaction will then qualify for CPS/Retail 2.

 

Please be advised: Visa and MasterCard can change their rules and regulations at any given time; this includes eliminating Propane and Heating Oil merchants from any MCC Code category.