diff --git a/crates/router/src/core/payment_methods/cards.rs b/crates/router/src/core/payment_methods/cards.rs
index 9f13530fbd5..0c507550f83 100644
--- a/crates/router/src/core/payment_methods/cards.rs
+++ b/crates/router/src/core/payment_methods/cards.rs
@@ -19,7 +19,7 @@ use api_models::{
     pm_auth::PaymentMethodAuthConfig,
     surcharge_decision_configs as api_surcharge_decision_configs,
 };
-use common_enums::enums::MerchantStorageScheme;
+use common_enums::{enums::MerchantStorageScheme, ConnectorType};
 use common_utils::{
     consts,
     crypto::Encryptable,
@@ -2368,9 +2368,12 @@ pub async fn list_payment_methods(
     )
     .await?;
 
-    // filter out connectors based on the business country
-    let filtered_mcas =
-        helpers::filter_mca_based_on_business_profile(all_mcas.clone(), profile_id.clone());
+    // filter out payment connectors based on profile_id
+    let filtered_mcas = helpers::filter_mca_based_on_profile_and_connector_type(
+        all_mcas.clone(),
+        profile_id.as_ref(),
+        ConnectorType::PaymentProcessor,
+    );
 
     logger::debug!(mca_before_filtering=?filtered_mcas);
 
diff --git a/crates/router/src/core/payments/helpers.rs b/crates/router/src/core/payments/helpers.rs
index c3f7b25b0c9..1563e3734f2 100644
--- a/crates/router/src/core/payments/helpers.rs
+++ b/crates/router/src/core/payments/helpers.rs
@@ -121,31 +121,18 @@ pub fn create_certificate(
         .change_context(errors::ApiClientError::CertificateDecodeFailed)
 }
 
-pub fn filter_mca_based_on_business_profile(
-    merchant_connector_accounts: Vec<domain::MerchantConnectorAccount>,
-    profile_id: Option<String>,
-) -> Vec<domain::MerchantConnectorAccount> {
-    if let Some(profile_id) = profile_id {
-        merchant_connector_accounts
-            .into_iter()
-            .filter(|mca| {
-                mca.profile_id.as_ref() == Some(&profile_id)
-                    && mca.connector_type == ConnectorType::PaymentProcessor
-            })
-            .collect::<Vec<_>>()
-    } else {
-        merchant_connector_accounts
-    }
-}
-
-pub fn filter_mca_based_on_connector_type(
+pub fn filter_mca_based_on_profile_and_connector_type(
     merchant_connector_accounts: Vec<domain::MerchantConnectorAccount>,
+    profile_id: Option<&String>,
     connector_type: ConnectorType,
 ) -> Vec<domain::MerchantConnectorAccount> {
     merchant_connector_accounts
         .into_iter()
-        .filter(|mca| mca.connector_type == connector_type)
-        .collect::<Vec<_>>()
+        .filter(|mca| {
+            profile_id.map_or(true, |id| mca.profile_id.as_ref() == Some(id))
+                && mca.connector_type == connector_type
+        })
+        .collect()
 }
 
 #[instrument(skip_all)]
@@ -4299,10 +4286,12 @@ where
             .await
             .to_not_found_response(errors::ApiErrorResponse::InternalServerError)?;
 
-        let profile_specific_merchant_connector_account_list = filter_mca_based_on_business_profile(
-            merchant_connector_account_list,
-            Some(profile_id.to_string()),
-        );
+        let profile_specific_merchant_connector_account_list =
+            filter_mca_based_on_profile_and_connector_type(
+                merchant_connector_account_list,
+                Some(profile_id),
+                ConnectorType::PaymentProcessor,
+            );
 
         let mut connector_data_list = vec![pre_decided_connector_data_first.clone()];
 
diff --git a/crates/router/src/core/payments/operations/payment_session.rs b/crates/router/src/core/payments/operations/payment_session.rs
index 1e968f0dc70..479ae210925 100644
--- a/crates/router/src/core/payments/operations/payment_session.rs
+++ b/crates/router/src/core/payments/operations/payment_session.rs
@@ -375,8 +375,11 @@ where
             .change_context(errors::ApiErrorResponse::InternalServerError)
             .attach_printable("profile_id is not set in payment_intent")?;
 
-        let filtered_connector_accounts =
-            helpers::filter_mca_based_on_business_profile(all_connector_accounts, Some(profile_id));
+        let filtered_connector_accounts = helpers::filter_mca_based_on_profile_and_connector_type(
+            all_connector_accounts,
+            Some(&profile_id),
+            common_enums::ConnectorType::PaymentProcessor,
+        );
 
         let requested_payment_method_types = request.wallets.clone();
         let mut connector_and_supporting_payment_method_type = Vec::new();
diff --git a/crates/router/src/core/payments/routing.rs b/crates/router/src/core/payments/routing.rs
index f823f6846f8..a0b98b02cbc 100644
--- a/crates/router/src/core/payments/routing.rs
+++ b/crates/router/src/core/payments/routing.rs
@@ -560,10 +560,18 @@ pub async fn refresh_cgraph_cache<'a>(
         }
     };
 
-    let merchant_connector_accounts = payments_oss::helpers::filter_mca_based_on_business_profile(
-        merchant_connector_accounts,
-        profile_id,
-    );
+    let connector_type = match transaction_type {
+        api_enums::TransactionType::Payment => common_enums::ConnectorType::PaymentProcessor,
+        #[cfg(feature = "payouts")]
+        api_enums::TransactionType::Payout => common_enums::ConnectorType::PayoutProcessor,
+    };
+
+    let merchant_connector_accounts =
+        payments_oss::helpers::filter_mca_based_on_profile_and_connector_type(
+            merchant_connector_accounts,
+            profile_id.as_ref(),
+            connector_type,
+        );
 
     let api_mcas = merchant_connector_accounts
         .into_iter()
diff --git a/crates/router/src/core/payout_link.rs b/crates/router/src/core/payout_link.rs
index 4966a0f5449..e20f373fd1d 100644
--- a/crates/router/src/core/payout_link.rs
+++ b/crates/router/src/core/payout_link.rs
@@ -278,12 +278,10 @@ pub async fn filter_payout_methods(
         )
         .await
         .to_not_found_response(errors::ApiErrorResponse::MerchantAccountNotFound)?;
-    // fetch all mca based on profile id
-    let filtered_mca_on_profile =
-        helpers::filter_mca_based_on_business_profile(all_mcas, Some(payout.profile_id.clone()));
-    //Since we just need payout connectors here, filter mca based on connector type.
-    let filtered_mca = helpers::filter_mca_based_on_connector_type(
-        filtered_mca_on_profile.clone(),
+    // Filter MCAs based on profile_id and connector_type
+    let filtered_mcas = helpers::filter_mca_based_on_profile_and_connector_type(
+        all_mcas,
+        Some(&payout.profile_id),
         common_enums::ConnectorType::PayoutProcessor,
     );
     let address = db
@@ -306,7 +304,7 @@ pub async fn filter_payout_methods(
     let mut card_hash_set: HashSet<common_enums::PaymentMethodType> = HashSet::new();
     let mut wallet_hash_set: HashSet<common_enums::PaymentMethodType> = HashSet::new();
     let payout_filter_config = &state.conf.payout_method_filters.clone();
-    for mca in &filtered_mca {
+    for mca in &filtered_mcas {
         let payout_methods = match &mca.payment_methods_enabled {
             Some(pm) => pm,
             None => continue,