--- title: "EMV Non-Compliance Fees: 3 Types to Avoid" description: Discover how your business could incur EMV non-compliance fees and how to avoid them with these best practices and tips. image: https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/emv-compliance-fees-1.svg --- [tel:1-800-601-0230](tel:1-800-601-0230) 800-601-0230 - Features - Solutions - Developers - [Pricing](https://www.payjunction.com/payments/pricing.html) - Resources [See a Demo](https://www2.payjunction.com/tour-payjunction) Features - EXPLORE PRODUCTS [No-code Payments Integration®](https://www.payjunction.com/payments/no-code-payments-integration.html) [ZeroTouch Terminal](https://www.payjunction.com/payments/smart-terminal.html) [Portable Terminal](https://www.payjunction.com/payments/portable-credit-card-reader-terminal.html) - ACCEPT PAYMENTS [Invoices](https://www.payjunction.com/payments/electronic-invoices.html) [ACH Electronic Checks](https://www.payjunction.com/payments/ach-payments.html) [SmartSurcharge®](https://www.payjunction.com/payments/smart-surcharge.html) [Cards on File](https://www.payjunction.com/payments/store-credit-card-info.html) [Rapid Refunds](https://www.payjunction.com/payments/credit-card-refund.html) [Recurring Billing](https://www.payjunction.com/payments/recurring-payments.html) [Ecommerce](https://www.payjunction.com/payments/ecommerce-merchant-services.html) [Mobile App](https://itunes.apple.com/us/app/payjunction/id1324839420?ls=1&mt=8) - EXPLORE CAPABILITIES [Overview](https://www.payjunction.com/payments/payment-processing-solutions.html) [Integration Marketplace](https://integrations.payjunction.com/) [Remote Signature](https://www.payjunction.com/payments/signature-capture.html) [Multi-Location](https://www.payjunction.com/payments/enterprise-payments.html) [Sales Reports](https://www.payjunction.com/payments/sales-reports.html) [Search and Export](https://www.payjunction.com/payments/transaction-history-search.html) [Customization](https://www.payjunction.com/payments/custom-payment-software.html) Solutions - [Veterinary Streamline payment workflows and get paid faster with up-front deposits and payment schedules for high-cost procedures. Get time back and spend it with furry patients.](https://www2.payjunction.com/payment-processing-veterinarians) - [Dental Simplify patient payments with multiple means of collection at your dental practice. Meet patient expectations and elevate the payment experience.](https://www2.payjunction.com/payment-processing-dentists) - [Auto Dealer Manage dealership payments by department, brand and location. Get automated reports for simplified end-of-day close and save on processing fees.](https://www2.payjunction.com/automotive-merchant-services) Developers - [API Documentation See how to embed omnichannel payment features into your software, using your choice of our intuitive integration methods.](https://developer.payjunction.com/) - [Developer Experience Explore the developer journey and learn how our full-service partnership model helps you maximize merchant payment adoption rates.](https://www.payjunction.com/payments/payment-api.html) - [No-code Payments Integration® Rapidly integrate payment acceptance features into any SaaS application in minutes using our easy-to-use Chrome browser extension.](https://www.payjunction.com/payments/no-code-payments-integration.html) - [Integration Marketplace Check out our growing marketplace of integrated solution partners that streamline payment acceptance and help businesses automate and scale.](https://integrations.payjunction.com/) [Pricing](https://www.payjunction.com/payments/pricing.html) Resources - [About Us Learn how our people-first culture at PayJunction helps us earn widespread recognition and awards.](https://www.payjunction.com/payments/about.html) - [Careers Join us in our pursuit to deliver exceptional experiences to customers and partners.](https://www2.payjunction.com/careers) - [Support Get helpful information about how to use features, troubleshoot problems and contact us.](https://support.payjunction.com/) - [Blog Gain useful insights into payment industry trends and PayJunction solutions.](https://blog.payjunction.com/) - [Guides Up your payment processing knowledge with our in-depth eBooks and White Papers.](https://guides.payjunction.com/) - [Tutorials Read articles and watch videos about how to use valuable features on the PayJunction platform.](https://blog.payjunction.com/topic/pj-university) # Three Types of EMV Non-Compliance Fees to Avoid ![Three Types of EMV Non-Compliance Fees to Avoid](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/emv-compliance-fees-1.svg) [![Picture of Ursula Librizzi](https://blog.payjunction.com/hs-fs/hubfs/Ursula_Librizzi.jpg?width=48&height=48&name=Ursula_Librizzi.jpg) Ursula Librizzi](https://blog.payjunction.com/author/ursula-librizzi) 7/27/2021 EMV or “chip” cards have become the US industry standard for credit and debit transactions made in-person at a business. There are now more than 1 billion [EMV cards](https://blog.payjunction.com/emv-chip-readers) in circulation in the US, and in 2020, [73% of card-present transactions](https://www.emvco.com/about/deployment-statistics/) involved an EMV card being read by an EMV-capable terminal, up from just over half two years earlier. As a result, in-person fraud rates for counterfeit cards have plunged. According to a May 2019 report from Visa, merchants that accepted EMV chip-enabled cards saw a 76% drop in card-present fraudulent fraud. ## Beware of EMV Non-Compliance Fees Unfortunately, some [unethical providers](https://blog.payjunction.com/topic/unethical-billing) view EMV as another opportunity to [invent extra fees](https://blog.payjunction.com/merchant-service-fees-unethical-billing), like they did with PCI Non-compliance Fees, and bury them in statements using confusing descriptions.The names they use vary— EMV non-compliance fee, non-EMV compliance fee, EMV non-enabled fee, EMV non-acceptance fee for starters—so be on the lookout for any line-item detail that contains “EMV.” Let’s take a closer look at the types of fees you could come across, and how you can avoid them. ![EMV-nonenabled-fee](https://blog.payjunction.com/hs-fs/hubfs/BLOG/BLOG%20IN-LINE%20IMAGES/EMV-nonenabled-fee.png?width=760&name=EMV-nonenabled-fee.png) Old Equipment Fees While it’s in everyone’s best interest to reduce fraud by ensuring that transactions are made with EMV cards on an EMV-enabled terminal, the card brands have not mandated that merchants upgrade to EMV devices. Merchants that use mag-stripe only terminals risk an increase in [chargebacks](https://blog.payjunction.com/chargeback-definition-chargeback-fraud) that result from the [EMV liability shift](https://blog.payjunction.com/emv-liability-shift-explained).  **Beware:** Some providers charge punitive fees to merchants that do not yet have equipment and software to process EMV transactions. ## Payment Processing Demo Schedule 15 minutes with a payments expert Get a customized PayJunction product walk-through Understand requirements and pricing Determine your SAVINGS! GET DEMO NOW EMV Fallback Fees Nobody wants to abandon a transaction if a credit card fails to read. Therefore, when making the rules for EMV, the card brands put a safety measure in place to ensure a good customer experience. If a payment terminal fails to obtain the card details from an EMV chip, the user will be prompted to swipe the card using the terminal’s magnetic-stripe reader. This is called an [“EMV fallback transaction”](https://blog.payjunction.com/emv-fallback-risk) and the reasons run from the innocuous, like a damaged chip or dirty card, to a system issue, like a broken chip reader or untrained staff, to the dangerous, like fraud. To protect against fraud, it’s important that EMV terminals are properly reading EMV cards. Earlier this year, Visa introduced a new fee to entice merchants to address system problems that result in a high percent of chip read failures. If more than 10% of a merchant’s monthly transactions result in a fallback, Visa will assess a “Non-EMV Fallback fee.” If an EMV card is swiped instead of using the EMV chip, a fallback fee of $0.10 will be applied to that transaction. **Beware:** Some providers are assessing this Non-EMV Fallback fee for all card brands, not just Visa (though the other brands may institute a similar fee in the future). And some are tacking on an additional $25 monthly fee for any merchant that exceeds the 10% threshold. To make matters worse, the analysis may only be done once or twice a year, so merchants may continue to be billed this fee for several months after they have fixed the problem! **Non-EMV Transaction Fees** The card brands do not charge higher interchange rates to process transactions made with the swipe of a mag-stripe card. They realize that the merchant is not in control of the consumer’s decision to pay with a mag-stripe only card, or to replace a card that has a faulty chip. Well, guess what? The unethical providers are at it again! **Beware:** Some providers are charging a premium transaction rate—we’ve seen as high as 0.65%—on any credit card swiped transaction. ## How to Avoid EMV Non-Compliance Fees Good news: Most of these fees aren’t mandatory. There are right-minded providers out there that will educate you instead of penalize you. Listen to the advice of professionals, and always do your research to ensure that you are working with an ethical provider that offers transparent pricing and doesn’t charge unreasonable “made-up” fees.  Lastly, if you haven’t yet upgraded to an EMV terminal, do so today. The costs of chargebacks resulting from the liability shift can really add up, so it’s important to upgrade to a more secure solution like the [ZeroTouch Terminal](https://www.payjunction.com/payments/smart-terminal.html) that accepts payments via a card insert or the safe tap of a contactless card or digital wallet. ## Spot fake fees with our Merchant Service Provider Assessment! Have you seen any of these fees on your statements? Tell which ones more below! *Editor's Note: This post was originally published in January 2017 and has been updated for comprehensiveness and accuracy.*   [Unethical Billing](https://blog.payjunction.com/topic/unethical-billing) [Credit Card Processing](https://blog.payjunction.com/topic/credit-card-processing) --- ##### [![Interchange Downgrades: What They Are and How to Avoid Them](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/interchange-downgrades-unethical-billing.svg) Interchange Downgrades: What They Are and How to Avoid Them](https://blog.payjunction.com/interchange-downgrades-unethical-billing) ##### [![What Is Level 3 Processing and How It Optimizes Transaction Costs](https://blog.payjunction.com/hubfs/level-3-processing.svg) What Is Level 3 Processing and How It Optimizes Transaction Costs](https://blog.payjunction.com/level-3-credit-card-processing) ###### About Author ![Picture of Ursula Librizzi](https://blog.payjunction.com/hs-fs/hubfs/Ursula_Librizzi.jpg?width=200&height=200&name=Ursula_Librizzi.jpg) ### Ursula Librizzi Ursula is the sales and marketing operations manager for PayJunction. She oversees daily marketing tasks and liaises between the sales and marketing departments. ###### Related Posts ## [![Interchange Downgrades: What They Are and How to Avoid Them](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/interchange-downgrades-unethical-billing.svg) Interchange Downgrades: What They Are and How to Avoid Them Many Merchant Account Providers charge unnecessary fees or have unfair contract terms and conditions, as reported in our unethical practices blog series. Some providers take it a step further by failing to educate business owners about how to qualify for the best transaction rates, which unfortunately results in “Interchange downgrades” that can really add up. Worse yet, some providers make so much money from these downgrades that they hide them in confusing line-item details on statements.](https://blog.payjunction.com/interchange-downgrades-unethical-billing) ## [![What Is Level 3 Processing and How It Optimizes Transaction Costs](https://blog.payjunction.com/hubfs/level-3-processing.svg) What Is Level 3 Processing and How It Optimizes Transaction Costs Many large corporations and government agencies provide their employees with commercial credit cards to make purchases or pay invoices, which allows buyers to better track spending across their organization.](https://blog.payjunction.com/level-3-credit-card-processing) ## [![Spotting Padded Interchange in Your Merchant Statements](https://blog.payjunction.com/hubfs/BLOG/FEATURED%20IMAGES/interchange-padded-unethical-billing.svg) Spotting Padded Interchange in Your Merchant Statements Unfortunately, many Merchant Account Providers practice unethical billing and lie about the fees they charge you. Billing statements are intentionally complex to keep customers from finding hidden fees.](https://blog.payjunction.com/interchange-padded-unethical-billing) ## Meet a Payment System You’ll Love - ###### FEATURES [No-code Payments Integration®](https://www.payjunction.com/payments/no-code-payments-integration.html) [ZeroTouch Terminal](https://www.payjunction.com/payments/smart-terminal.html) [Portable Terminal](https://www.payjunction.com/payments/portable-credit-card-reader-terminal.html) [Invoices](https://www.payjunction.com/payments/electronic-invoices.html) [ACH](https://www.payjunction.com/payments/ach-payments.html) [SmartSurcharge®](https://www.payjunction.com/payments/smart-surcharge.html) [Cards on File](https://www.payjunction.com/payments/store-credit-card-info.html) [Recurring Billing](https://www.payjunction.com/payments/recurring-payments.html) - [Ecommerce](https://www.payjunction.com/payments/ecommerce-merchant-services.html) [Customization](https://www.payjunction.com/payments/custom-payment-software.html) [Remote Signatures](https://www.payjunction.com/payments/signature-capture.html) [Rapid Refunds](https://www.payjunction.com/payments/credit-card-refund.html) [Multi-Location](https://www.payjunction.com/payments/enterprise-payments.html) [Sales Reports](https://www.payjunction.com/payments/sales-reports.html) [Search and Export](https://www.payjunction.com/payments/transaction-history-search.html) [Mobile App](https://itunes.apple.com/us/app/payjunction/id1324839420?ls=1&mt=8) - ###### BUSINESS SOLUTIONS [Auto Dealers](https://www2.payjunction.com/automotive-merchant-services) [Veterinary](https://www2.payjunction.com/payment-processing-veterinarians) [Dentistry](https://www2.payjunction.com/payment-processing-dentists) - ###### RESOURCES [Product Overview](https://www.payjunction.com/payments/payment-processing-solutions.html) [Integrations](https://integrations.payjunction.com/) [Blog](https://blog.payjunction.com/) [Guides](https://guides.payjunction.com/) [Support](https://support.payjunction.com/) [Service Status](https://status.payjunction.com/) [Tutorials](https://blog.payjunction.com/tag/pj-university/) [API](https://www.payjunction.com/payments/payment-api.html) - [Trust Center](https://trust.payjunction.com/) [Request a Demo](https://www2.payjunction.com/payjunction-demo) [Pricing](https://www.payjunction.com/payments/pricing.html) [About Us](https://www.payjunction.com/payments/about.html) [Careers *HIRING*](https://www2.payjunction.com/careers) [Press](https://media.payjunction.com/) - ###### RESOURCES [Integrations](https://integrations.payjunction.com/) [Guides](https://guides.payjunction.com/) [Tutorials](https://blog.payjunction.com/tag/pj-university/) [API](https://www.payjunction.com/payments/payment-api.html) [Request a Demo](https://www2.payjunction.com/payjunction-demo) [About Us](https://www.payjunction.com/payments/about.html) [Careers *HIRING*](https://www2.payjunction.com/careers) [Press](https://media.payjunction.com/) [Trust Center](https://trust.payjunction.com/) [Service Status](https://status.payjunction.com/) - ###### BUSINESS SOLUTIONS [Auto Dealers](https://www2.payjunction.com/automotive-merchant-services) [Veterinary](https://www2.payjunction.com/payment-processing-veterinarians) [Dentistry](https://www2.payjunction.com/payment-processing-dentists) ##### 800-601-0230 SIGN UP FOR OUR NEWSLETTER  Become a better advocate for your business. Get Email Updates GO Thank you for subscribing! PayJunction is a Level 1 PCI Compliant Provider. PayJunction is a registered ISO of PNC Bank, N.A., Pittsburgh, PA. © 2026 PayJunction. All rights reserved. [Privacy Policy](https://support.payjunction.com/hc/en-us/articles/211053648) and [Terms of Use](https://support.payjunction.com/hc/en-us/articles/211053628). ```json { "@context" : "http://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Ursula Librizzi" }, "dateModified" : "2023-05-25", "datePublished" : "2021-07-27", "description" : "Discover how your business could incur EMV non-compliance fees and how to avoid them with these best practices and tips.", "headline" : "Three Types of EMV Non-Compliance Fees to Avoid", "image" : { "@type" : "ImageObject", "url" : "https://f.hubspotusercontent30.net/hubfs/635739/BLOG/FEATURED%20IMAGES/emv-compliance-fees-1.svg" }, "mainEntityOfPage" : "https://blog.payjunction.com/emv-compliance-fees", "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://cdn2.hubspot.net/hubfs/635739/logo-400px.png" }, "name" : "PayJunction" } } ```