SACRAMENTO, Calif.—July 1 marked an important date for credit card companies when it comes to requirements related to recording firearms purchases.
On July 1, California became the first state to require credit card companies to create the unique code for retailers to use. But on the same day the law took effect in California, laws banning such a code also went into effect in Tennessee, Georgia, Iowa and Wyoming, USA Today reported.
The code, known as the merchant category code (MCC), tracks the type of business where a transaction was made to determine things like tax reporting or transaction fees.
“It can also be used to track purchasing behavior, but MCCs do not note the specific items purchased,” USA Today said.
The report noted Colorado passed a law similar to California's this year, a move that has the support of gun safety advocates. At the same time, however, a number of bills banning MCCs have popped up in more than 15 red states, and many have been signed into law already.