Overview
MCC 3503 is the brand-specific merchant category code assigned to Sheraton. All card transactions processed directly by Sheraton for room reservations, accommodation charges, minibar, room service, and on-site amenities are classified under this code. Brand-specific hotel MCCs enable networks and issuers to apply lodging-specific interchange rates and travel rewards multipliers.
Transaction Profile
Mid to high value, advance booking common, mixed card-present and CNP, pre-authorisation for incidentals, delayed settlement, tip/service charges, multi-currency for international chains
Card Network Notes
Visa and Mastercard have specific lodging rules covering estimated authorisations, incremental auths, no-show billing, and early checkout. Enhanced dispute rights apply for cardholders. Acquirers must ensure compliance with lodging-specific authorisation, settlement, and billing protocols.
Risk & Compliance
Hotels are classified as medium risk due to the advance-booking nature of reservations and the complexity of estimated versus final billing. No-show charges, cancellation disputes, and service quality complaints are common chargeback drivers. Pre-authorisation management for incidental charges and the gap between check-in authorisation and final settlement create operational complexity. Networks require specific lodging protocols for estimated and incremental authorisations.