Latest Card Scheme requirements for Adult Merchants

In 2021, MasterCard has introduced new set of requirements for all merchants who wish to accept MasterCard payments involving Adult content, such as asking for agreements and ID from users. This has caused shocking reactions and had devastating impact on many large businesses (OnlyFans for example). Many acquirers have stopped working with Adult industry as well. See MasterCard regulations (Section 9.4.1).

To sum up; if adult content is accessible after users make their payment by card, your merchant account will be classified with Adult MCC code 5967. Following set of rules apply:

#1: Your company needs to provide a template of a written agreement with any user/party that uploads or generates content for your website. This agreement needs to include provisions such as written consent of persons depicted, identity and age verification of persons depicted.

For above point MerchantScout suggests an implementation of electronic signing process during signup where user needs to agree by typing their full name and clicking the checkbox to agree with the Terms of Use. Upon execution, a PDF agreement document can be automatically generated, which includes the Terms and the footer with full name of the user, date of agreement and their consent to Terms.

#2: You need to have a process to verify the age and identity of any user that uploads or generates Adult content on the website.

MerchantScout advice: Any uploaded content needs to be put through initial checks to identify if content is adult or non-adult. If adult based content (nudity) is detected, you should request the user to provide a government issued ID document, and for example set their profile status to "verified" and allow them to upload further adult content. If you do not have an internal tools for that, we suggest 3rd party ID verification provider such as ondato.com.

#3: All content needs to be reviewed before publishing, to ensure it is not violating MasterCard standards or being illegal. If there is live streaming, merchants need full control of their platform and include real-time monitoring and content removal.

#4: You need to have a clear method of complaint process to allow a person depicted to appeal and request removal of content.

#5: Ensure that marketing and search terms are not giving any impression of child exploitation materials or depiction of non-consensual activities.

#6: Have extensive policies in place that prohibit any use or promotion of human trafficking, sex trafficking, or physical abuse.

#7: You will be asked to provide test account login to acquirer to allow unrestricted website access to content where access is otherwise restricted to website members. You will also have to provide monthly reports to the acquirer of content which was flagged, complaints received and relevant actions taken in response.