MID (Merchant Identification Number)

MID - Merchant ID 

A merchant ID, or MID, is the unique 15-digit alpha-numeric code assigned to a business by a payment processor when establishing a merchant account. 

It is used to identify a business account in transactions and ensures the proper funds reach your account.

Why do I Need a Merchant ID? 

To be able to process credit cards as payments, a business needs to establish a merchant account with a payment processor. 

Payment processors assign a unique MID that allows your account to be identified throughout the authorization network. 

Can I Lose or Change My MID? 

If your business payment processing account is closed, your merchant ID will cease to exist. 

There are a number of reasons why a processing account may be closed. 

Of course, the account might be closed by choice by the business owner if they are changing payment processors or if they are closing their business. 

On the other hand, a payment processor may choose to terminate the account and revoke processing privileges.

This can happen for several reasons including: 

• Too many chargebacks 
• Selling prohibited goods or services 
• Engaging in fraudulent activity 
• Exceeding processing limits set by the processor

Any time a new account is established, a new MID will be assigned. You cannot take your previous MID with you to a new processor. 

Can My Business Have Multiple MIDs? 

Another important thing to note is it is possible for a business to have multiple MIDs. 

Sometimes a payment processor may provide multiple accounts and thus multiple MIDs to deal with unique situations. 

This may occur when a business has a large sales volume. The processor is able to lower risk by breaking up the sales volume into multiple smaller accounts. 

If a business sells distinctly different products or services, sells internationally, or through a variety of platforms, they may benefit from having multiple credit card processing accounts.