A group of lawmakers recently commended three credit card companies for creating a new Merchant Category Code (MCC) for firearms and ammunition businesses.
House Gun Violence Prevention Task Force Chair Mike Thompson (D-CA) and U.S. Rep. Madeleine Dean (D-PA) spearheaded an effort by 118 members of Congress to forward correspondence to American Express, Mastercard, and Visa in support of their decision to create the new MCC.
“The proliferation of firearms through straw purchasing is a major contributing factor to gun violence in our country,” Thompson said. “By implementing a new Merchant Category Code (MCC) for firearms and munitions retailers, credit card companies will be able to better flag transactions for likely straw purchasing. The new voluntary action taken by the financial services industry is a vital step toward a system that detects suspicious activity and refers it to law enforcement, ultimately with the goal of saving lives.”
Authorities indicated a more specific MCC enables financial institutions to discern if a series of irregular purchases are for guns and ammunition versus sleeping bags and tents, which were regularly sold under the same merchant category code.
“By creating a new MCC for gun and ammunition retailers, credit card companies and financial institutions can better monitor suspicious activity, like straw purchases, and, in turn, help save lives,” Dean said. “Our nation’s gun violence crisis requires all of us to act, and I urge companies like MasterCard, American Express, and Visa to support Amalgamated Bank’s request for this code – as it is common for most retailers.”