What is MCC code 9402?

What is MCC 9402? Understand its business impact and how to verify your code. Download JIM on iOS/Android for 1.99% flat-rate, instant payments.

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Mar 20, 2026

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2 min read time

Merchant Category Code (MCC) 9402 is a classification for postage stamps, as designated by the International Organization for Standardization (ISO). This code identifies transactions from businesses whose primary activity is selling postage stamps to the public. Such merchants include government postal offices and automated vending machines that dispense stamps. The category is specific to the direct sale of these items for mailing services.

Which businesses fall under MCC 9402?

MCC 9402 applies to a broad range of postal service establishments:

National Postal Services: These are government-operated entities responsible for mail service. For example, the United States Postal Service (USPS) or the UK's Royal Mail use this code for stamp sales.
Contract Postal Units: These are private businesses, like a local pharmacy or grocery store, that house a post office counter. They provide postal services, including the sale of stamps, on behalf of the national postal service.
Automated Postal Centers: Self-service kiosks, often found in post office lobbies or high-traffic areas, dispense stamps and process mail. These machines directly handle transactions for postage under this code.
Authorized Online Stamp Retailers: Certain websites are licensed to sell official postage stamps directly to consumers online. These platforms process payments for stamp orders under this specific MCC.
Third-Party Mail Centers: Businesses like The UPS Store or local pack-and-ship shops often sell postage stamps as a convenience. These sales are categorized under MCC 9402.
Philatelic Bureaus: These specialized divisions of a postal service cater to stamp collectors. They sell collectible and commemorative stamps, with transactions falling under the 9402 classification.

Business implications of MCC 9402

Payment networks including Visa, Mastercard, American Express, and Discover use MCC 9402 to categorize transactions, which affects several aspects of business operations. These networks use the code to assess a business's risk profile. Since MCC 9402 is tied to government postal services, it is typically viewed as low-risk. This perception often results in lower interchange rates for merchants, which reduces their transaction processing costs.

Beyond risk and fees, this MCC code has other operational uses. It provides a standard for classifying expenses and analyzing spending, which informs financial management and customer engagement strategies.

Expense tracking

Companies rely on MCC codes to automatically sort business purchases on credit card statements. This simplifies expense reporting for items like postage. Since postage is a common business expense, accurate categorization under MCC 9402 supports straightforward tracking for tax deductions.

Financial analysis

Businesses use MCC 9402 data to analyze spending patterns on postal services. This information allows them to track costs against budgets, forecast future mailing expenses, and identify opportunities for cost management within their shipping and correspondence operations.

Compliance and auditing

The consistent application of MCC 9402 creates a clear audit trail for financial review. This standardized data helps companies verify employee expenses and confirm that all postage-related purchases are legitimate business costs.

Rewards and customer behavior

Credit card issuers use MCCs to determine rewards eligibility. Purchases under MCC 9402 might not qualify for bonus points in categories like "office supplies." This can influence where a customer chooses to buy stamps, especially for large-volume business purchases.

How to verify your business's MCC

Postal service provider owners should confirm their MCC classification to ensure proper transaction processing and avoid customer confusion regarding rewards eligibility. If you discover your business is incorrectly classified, for example, a post office coded as an office supply store, contact your payment processor immediately to request reclassification.

Here's how to verify if your MCC classification is set up correctly:

Contact Your Payment Processor: Your merchant services provider assigned the MCC during account setup. To verify your classification, contact their customer service department or review your merchant agreement. This provides the most direct confirmation of your business's assigned code.
Review Processing Statements: Your monthly merchant statements typically display the assigned MCC. Look for a four-digit number in the account information or business profile section of the document. This code identifies how your transactions are categorized by payment networks.
Check with Your Acquirer: The acquiring bank or financial institution that processes your payments maintains the MCC code in their system. You can reach out to their merchant support team, who can access your account details and confirm your current classification.
Test Transaction Method: Some merchants process a small test transaction on a personal credit card and check how it appears on the statement. However, this method is less reliable than direct confirmation from your processor, as statement descriptions can sometimes be generic.

How to choose a reliable payment service provider

Since MCC 9402 affects interchange rates, your choice of payment processor matters. Providers handle these transactions with varied pricing, settlement speeds, and support. These differences impact your bottom line and efficiency. Consider the following factors when you select a partner.

Transparent pricing: A flat-rate model avoids the complexity of other pricing structures, which makes costs predictable. The JIM tap-to-pay app for iPhone and Android charges 1.99% per transaction with no setup costs, monthly fees, or premium card surcharges.
Payment method support: To meet customer expectations, your processor should accept all major credit cards, including Visa, Mastercard, and Discover, plus digital wallets like Apple Pay and Google Pay.
Fast fund access: Quick access to funds is important for cash flow. For postal businesses, this means you can cover payroll, pay suppliers, and restock stamp inventory without delay, even after a high-volume sales day.
Security: Your processor must protect customer data with methods like encryption. A secure system uses tokenization for every transaction, so sensitive card numbers are never stored on your device or in your system.
Reporting: Modern processors offer more than basic statements. The JIM AI assistant, for example, provides sales reports and transaction history through a chat interface, which simplifies business analysis.

Streamline payments with JIM

JIM offers postal service owners a straightforward payment processing solution. The JIM tap-to-pay app transforms your iPhone or Android device into a tap-to-pay terminal. It uses NFC technology, so you need no extra hardware. You pay a flat 1.99% per transaction, with no setup costs, monthly fees, or variable rates for premium cards. You can also accept link payments for 4.99% + $0.30 per sale (for online stamp orders).

With JIM, your funds are available instantly on a JIM Visa Prepaid Card. You can add this card to Apple Pay or Google Pay. This allows for immediate use of your earnings. You can purchase new stamp inventory or cover other business expenses without a wait.

Frequently asked questions

What is Merchant Category Code 9402?

Merchant Category Code 9402 is a four-digit classification number assigned to businesses that sell postage stamps by payment networks and the International Organization for Standardization (ISO). This code identifies transactions from government postal services, contract postal units, and other authorized stamp retailers. Payment processors use this classification to set interchange rates, generate financial reports, and determine rewards eligibility for cardholders.

Is Merchant Category Code 9402 high-risk?

Merchant Category Code 9402 is classified as low-risk by payment processors. This designation is due to its association with government postal services, which have minimal fraud and low chargeback rates. As a result of this low-risk profile, businesses under MCC 9402 often receive favorable interchange rates, reducing their transaction processing costs.

Can a business have multiple MCC codes?

A merchant account is typically assigned a single MCC that reflects its primary source of revenue. However, a business with diverse operations can open separate merchant accounts for each distinct revenue stream, each with its own MCC. For instance, a large office supply store (MCC 5111) might also operate a contract postal unit within its premises. This postal service component would have a separate merchant account classified under MCC 9402 for its stamp and postage sales, distinct from the main store's transactions.

What happens if my MCC code is wrong?

An incorrect MCC can lead to financial penalties and customer dissatisfaction. Cardholders may not receive expected rewards on their purchases, which could influence where they buy postage and whether they return. Furthermore, your business might be subject to inappropriate interchange rates, either costing you more in fees or placing you in violation of network rules for receiving a lower rate than your industry allows.

Can merchants choose their MCC code?

A business cannot arbitrarily choose its Merchant Category Code. Instead, payment processors assign the code based on the company's main business activities, following standards from the ISO and payment networks. While merchants do not have direct control over this selection, they can request a reclassification from their processor if they believe the current code inaccurately reflects their business model.

How does MCC 9402 affect my payment processing costs?

MCC 9402 directly influences the interchange rates you pay on each transaction. Because this code is tied to low-risk postal services, it generally qualifies for favorable rates that are lower than those for many other industries. However, the final cost to your business depends on your payment processor's pricing structure.

Processors with an interchange-plus model pass these specific rates directly to you, so your costs fluctuate with each card type, while flat-rate processors like JIM absorb the variability and charge you a consistent fee regardless of card type.