Direct Marketing, Catalog Merchant
Catalogue-only direct retailers.
What MCC 5964 covers
Merchant Category Code 5964 is the ISO 18245 identifier used by the card networks for direct marketing, catalog merchant. Acquirers, issuers and regulators use this code to set interchange, scheme fees, fraud rules and reporting categories for every transaction your business processes.
Catalogue-only direct retailers. 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 5964 signifies direct marketing via catalogue merchants. These businesses primarily sell goods through mailed or online catalogues, enabling customers to order products for delivery.
Products can range from clothing and home goods to electronics. Ticket sizes are typically moderate, with a potential for larger orders, but generally lower than high-end retail.
Transaction frequency may be seasonal or driven by new catalogue releases.
Chargeback rates for catalogue merchants are generally moderate. Common reasons include 'Merchandise not received', 'Merchandise not as described', or 'Credit not processed' for returns.
Logistics and supply chain issues are often underlying factors in these disputes. The reliance on remote transactions means fraud can be a concern, necessitating strong fraud screening.
Cardflo's platform helps these merchants by providing robust fraud detection tools and efficient refund processing capabilities, crucial for handling returns and improving customer satisfaction.
Acquirer & underwriting stance
Low-to-medium risk standard board. While card-not-present transactions carry inherent fraud risk, the sale of physical goods tends to be less risky than services.
Standard monitoring with typical transaction limits applies. A rolling reserve might be requested in cases of higher-than-average chargeback rates or for new merchants.
How Cardflo handles MCC 5964
- Underwriting with acquirers that actively board MCC 5964 businesses in your region.
- MCC review during onboarding to confirm the right code for your products.
- Reclassification support if scheme rules or product mix change post-launch.
- Multi-acquirer routing to keep approvals stable for broad merchant categories.
- Dispute support tuned to the mixed-product chargeback profile this MCC sees.
Payment methods typically enabled
Common questions
How can catalogue merchants best manage 'Merchandise not received' chargebacks?
To mitigate 'Merchandise not received' (Visa 13. 1 / Mastercard 4855) chargebacks, merchants must use reputable shipping carriers that provide comprehensive tracking and delivery confirmation.
Electronically linking tracking details to transactions and presenting this proof during disputes is critical. Prompt communication with customers about shipping delays and offering timely refunds or reshipments for genuinely lost items can prevent many disputes from escalating to chargebacks.
What role does 3D Secure play for catalogue merchants, and what are the best practices for its implementation?
For catalogue merchants, 3D Secure (3DS) is a vital tool for combating fraud, especially since all transactions are card-not-present. Implementing 3DS 2.
0 allows for a more frictionless customer experience while still providing liability shift for fraudulent transactions. Best practices include ensuring full 3DS 2.
0 integration, whitelisting trusted customers (if applicable), and providing clear messaging during the authentication flow. While some customers might abandon the payment if a challenging 3DS authentication occurs, the fraud protection often outweighs this risk for this MCC.
Are there specific challenges related to cross-border catalogue sales, and how can they be addressed via payments?
Cross-border catalogue sales face challenges like varying tax and customs regulations, differing local payment method preferences, and currency conversion issues. Merchants should clearly display all-inclusive prices (DDP) to avoid unexpected costs for customers.
Utilising a payment gateway like Cardflo that supports a wide range of local payment methods and dynamic currency conversion (DCC) can significantly improve conversion rates and customer satisfaction for international buyers.
Other MCCs in Miscellaneous Stores
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