Tailors, Alterations
Tailoring, alteration and bespoke garment services.
What MCC 5697 covers
Merchant Category Code 5697 is the ISO 18245 identifier used by the card networks for tailors, alterations. Acquirers, issuers and regulators use this code to set interchange, scheme fees, fraud rules and reporting categories for every transaction your business processes.
Tailoring, alteration and bespoke garment services. Choosing the right MCC is critical: an incorrect code can lead to higher interchange, surcharges, or, in regulated categories, declined transactions and account holds.
MCC 5697 identifies tailors and alteration services. These are typically small, local businesses providing bespoke clothing, alterations, repairs, or dry-cleaning services.
Transactions are usually card-present, with ticket sizes varying from small for minor repairs to significant for custom garments. Frequency might be sporadic for bespoke work but regular for alterations.
Chargebacks are less common but can arise from 'services not as described' (e. g.
, unsatisfactory alterations, missed deadlines) or 'credit not processed' if a client is due a refund for unfulfilled services. Fraud is generally low inherent risk due to the service-based, often in-person nature of the business.
Online presence might extend to appointment booking or basic service information.
Cardflo's reliable POS integration and support for various card terminals allow these small businesses to accept payments securely and efficiently in-store. Clear transaction descriptors can help customers recognise charges on their statements, preventing customer confusion-based disputes.
Acquirer & underwriting stance
Low-risk standard board. These merchants typically operate with low chargeback rates and stable revenue.
Reserve requirements are very infrequent and usually only in cases of significant, verifiable financial instability.
How Cardflo handles MCC 5697
- Underwriting with acquirers that actively board MCC 5697 businesses in your region.
- Refund and exchange handling tuned to fashion and apparel return patterns.
- Seasonal-peak routing that scales through Black Friday and end-of-season sales.
- Buy-now-pay-later integrations for typical apparel basket sizes.
- Wallet acceptance and tokenisation for repeat fashion buyers.
Payment methods typically enabled
Common questions
How can small tailoring businesses prevent 'services not as described' chargebacks?
Prevention relies on clear communication: setting client expectations regarding turnaround times, garment fit, and material changes. Before commencing work, obtain client approval on design and measurements.
For alterations, take 'before' photos if complex, and always allow the customer to inspect and try on the garment before final payment. A detailed and transparent policy regarding alterations and rework is also essential.
Are there specific payment terminal features that benefit tailors and alteration shops?
For these businesses, a mobile payment terminal (MPOS) that supports tap-to-pay (contactless), chip-and-PIN, and Apple/Google Pay is ideal. Features like itemised billing, tip functionality, and email receipt options enhance customer experience.
Integration with booking or CRM software can streamline operations. Cardflo offers a range of modern terminal solutions suitable for various business sizes.
What is the typical dispute window for 'services not rendered' for tailoring services?
For 'services not rendered' (Visa reason code 13.
1, Mastercard 4855), cardholders generally have up to 120 days from the date the service was supposed to be performed or the date the cardholder became aware the service would not be performed, not to exceed 540 days from the transaction date.
Prompt completion of work and clear communication about any delays are key to avoiding these disputes.
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