MCC 6012 relates to transactions involving financial institutions for merchandise, services, and debt repayment, encompassing a wide range of financial operations.
High Risk
This MCC is considered high-risk for chargebacks and disputes due to the nature of financial institution transactions, which can involve large sums of money, loan repayments, and potential disagreements over service fees or transaction errors. Customers may dispute charges if there are discrepancies in their accounts or if unauthorized transactions occur. However, this MCC is not typically blocked by card issuers.
Interchange Fee
For transactions under MCC 6012, interchange fees can vary but often range from 1% to 4%, depending on the transaction's nature, card network, and issuer policies.
Cashback Rewards
Typically, purchases and transactions under MCC 6012 are not eligible for cashback rewards due to their financial service nature, but exceptions may exist depending on the card issuer.
Rules and Restrictions
There are no special rules or restrictions unique to processing transactions under MCC 6012, outside of standard regulatory and financial compliance requirements.
Tax Reporting
Transactions under MCC 6012 may have implications for tax reporting. Buyers should consult with tax professionals to determine the appropriate IRS reporting requirements, if applicable.