Merchant Classification Codes

Payment processors and other financial providers often ask for two classification codes to identify what a merchant does and to support underwriting. Which codes a connection requires depends on the connection.

• Merchant category code (MCC): a four-digit code that card networks use to classify a merchant's business.
• North American Industry Classification System (NAICS) code: a six-digit code that describes a merchant's industry. Some connections, such as Jack Henry, require a NAICS code before they board a merchant.

Most merchants don't know either code. You can narrow each list to the codes your merchants actually use and pair NAICS codes with each MCC. Your boarding forms then show merchants a short, relevant list instead of roughly 1,000 options per field.

How Classification Settings Fit Together

Classification codes come from three levels. A boarding form uses the most specific list that exists:

1. Form: the mccCodes and naicsCodes you pass when you create the form.
2. Form template: the MCC Codes and NAICS Codes selected on the template.
3. Platform: your platform's recommended MCC and NAICS codes.

If no level sets a list, the boarding form offers every code.

The platform level also holds two settings that apply everywhere:

• Suggested NAICS codes per MCC pairs NAICS codes with each MCC. The boarding form lists these pairings first after the merchant picks an MCC.
• Default MCC and Default NAICS Code fill in a merchant's codes when you create the merchant without them.

Common Setups

On a boarding form, a code list always limits what the merchant can pick. Suggested pairings only change the order of codes already on the list.

A suggested pairing can only use codes from your recommended lists. To show suggestions, you need recommended codes, so a form can't show suggestions and also offer the full list.

Platform Classification Settings

You choose these values. When you set up your platform, send them to your Preczn team member, who configures them on your platform for you. To change them later, send the new values to your Preczn representative. See Configuring Your Platform for the format to use.

Recommended codes also appear first, in a Recommended group, when your team selects an MCC or NAICS code for a merchant in the Dashboard.

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Example Pairing

A home services platform recommends MCC 1711 (Heating, Plumbing, A/C) and pairs it with NAICS 238220 (Plumbing, Heating, and Air-Conditioning Contractors). A merchant who picks MCC 1711 sees 238220 at the top of the NAICS list.

Configure Codes on a Form Template

A template's code lists control what merchants can pick on every form created from that template.

1. In the Dashboard, open your form template under Settings → Boarding Forms.
2. On the Appearance & Behavior tab, select codes in MCC Codes and NAICS Codes. Only the selected codes appear on the boarding form.
3. On the Field Customization tab, expand Business Information and turn on NAICS Classification Code. The NAICS field is hidden until you turn it on.
4. Optional: Add helper text for the NAICS field. The boarding form shows it under the field.
5. Save the template.

A new template starts with your platform's recommended codes. Changes to the platform's recommended codes don't update templates you already saved.

If a connection your template boards to requires a NAICS code, turn on the field. Your connection's guide lists the fields it requires. For example, see Jack Henry. For every guide, see Supported Connections.

To set code lists through the API, pass mccCodes and naicsCodes as comma-separated strings when you create a form template or a form. Preczn rejects NAICS codes that aren't valid 2022 NAICS codes. See Boarding Forms API Reference.

{
  "mccCodes": "1711,7699",
  "naicsCodes": "238220,238210,811310"
}

What Merchants See

The MCC and NAICS fields appear on the Business Information step.

MCC: The merchant picks from the resolved MCC list.

NAICS: The merchant searches by describing their business in plain language. The field placeholder reads "Search by industry or code." Search matches thousands of everyday business descriptions, not only official titles. For example, a search for "pizza" finds 722511 Full-Service Restaurants, even though the official title doesn't contain that word. Merchants who know their code can type it directly.

After the merchant picks an MCC, the NAICS list can show two groups:

• Suggested for <MCC>: the NAICS codes your platform paired with that MCC. These are suggestions only. The form never selects a code for the merchant.
• All available codes: every other code the merchant can pick.

If the merchant's selections look mismatched, the form may show a reminder that lists the NAICS codes commonly paired with their MCC. The merchant can select Choose a different NAICS code or continue with their selection. The reminder never blocks submission.

If a merchant already has a code that isn't on the form's list, the form still shows that code so the merchant can keep it.

The Review step shows the selected NAICS code before the merchant submits.

FAQ

Related Pages

• Configuring Your Platform: Information Preczn needs to set up your platform
• Boarding Form Templates: Template configuration and inheritance
• Creating Forms: Generate form links and override template settings
• Boarding Forms API Reference: Endpoints for forms and templates
• Onboarding Data Requirements: Fields each connection requires