MCC 5094 covers transactions related to precious stones, metals, watches, and jewelry. This classification includes the sale, repair, and distribution of these high-value items.
High Risk
This MCC is considered high-risk for chargebacks and disputes due to the high value and luxury nature of precious stones, metals, watches, and jewelry transactions. These items are often subject to fraud, theft, and buyer's remorse, leading to potential disputes. Customers may dispute charges if the items are not as described, damaged, or if there are issues with authenticity. However, this MCC is not typically blocked by card issuers.
Interchange Fee
Typical interchange fees for MCC 5094 range from 1.5% to 3.5%, with higher rates often applied to luxury and high-value purchases due to increased risk assessment by card issuers.
Cashback Rewards
Cashback rewards for purchases under MCC 5094 may vary, with some credit cards offering between 0.5% to 1.5% cashback. High-value purchases may have specific limits or exclusions.
Rules and Restrictions
There are no special rules or restrictions imposed by payment processors for transactions classified under MCC 5094. Standard risk management protocols may apply due to high-value purchases.
Tax Reporting
The IRS may apply specific tax reporting obligations on transactions involving MCC 5094. Buyers are advised to consult tax professionals regarding their responsibilities for large purchases.