Virgin Money Giving to launch entirely ‘fee free’ option for charities
- ‘Donor Covers Fee’ extended to cover all charges on behalf of charities.
Virgin Money Giving, the UK’s largest not-for-profit fundraising platform, is extending its popular ‘Donor Covers Fee’ feature to now allow anyone donating through the site to cover all fees on behalf of charities. This will become effective from 1 September 2019.
The ‘Donor Covers Fee’ option, which currently allows donors to pay the 2 per cent Platform fee, is being extended to now allow anyone donating through the site to cover the payment processing fees as well on behalf of the charity. On average since being launched, 85 per cent of donors have opted to use the ‘Donor Covers Fee’ feature to boost their donation.
From 1 September, the payment processing fee will be a flat 2.5 per cent, bringing it in line with the current costs of processing payments and other fundraising websites, and will allow Virgin Money Giving to extend donations to alternative digital payment methods.
On a £10 donation, the combined fee from 1st September of just 45p (20p platform and 25p payment processing fee fee) can be paid by the donor. If a donor chooses to pay these fees, on a £10 donation, the charity will receive 100% of the donation and Gift Aid, receiving £12.50 once Gift Aid is added.
Virgin Money Giving is the only fundraising platform to allow donors to cover all fees on behalf of charities. This contrasts starkly to other leading platforms which give charities no option other than to pay card fees, Gift Aid fees and monthly fees, as well as their donors being asked for ‘tips’ that go directly to the platform.
Jo Barnett, Executive Director at Virgin Money Giving said: “Virgin Money Giving remains committed to fair and transparent pricing. Whilst you can’t run a fundraising platform for free, you can run it without taking a profit so more goes to good causes. Over the past 18 months, we have re-engineered and enhanced the Virgin Money Giving donation experience to help charities maximise donations. As a not-for-profit business we don’t make a profit from peoples’ generosity. Unlike other fundraising sites, our low fees only cover our operating costs. We don’t charge charities monthly fees and we don’t apply a fee for Gift Aid. This means more money goes to good causes rather than into the pockets of shareholders.
“The introduction of ‘Donor Covers Fee’ in 2018 has had a significant positive impact on the money charities receive through our platform, with 85 per cent of donors choosing to cover our Platform fee. We are extending this donation to also cover our card fees meaning charities will benefit from an increase in donations if donors choose to cover the costs on the charities behalf.”
Since its launch in 2009, more than 15,000 charities have registered with Virgin Money Giving and, by the end of 2018, over £700 million had been donated to charities through the service, resulting in millions more donated to charities because of its not-for-profit model.
Virgin Money Press Office
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Notes to editors
About Virgin Money Giving
- Virgin Money Giving is the not-for-profit online fundraising service from Virgin Money and was established in 2009. Virgin Money uses its infrastructure and expertise as a financial services business to ensure that Virgin Money Giving is efficient and secure.
- More than 15,000 charities have registered with Virgin Money Giving and, by the end of 2018, over £700 million had been donated to charities through the service since its launch in 2009, resulting in many millions more being raised for charity because of its not-for-profit model.
- Fundraisers can personalise their fundraising pages, send out email alerts and manage their fundraising events. They can include their own content, photos and links to their page as well as customise messages for their supporters and link their page to social networking sites. Virgin Money Giving provides fundraising ideas and tips, offering help and advice on how to raise more for charity. In addition to supporting individual fundraisers, Virgin Money Giving also supports Appeals, Corporate and In Memory fundraising.
- Virgin Money Giving is the official fundraising partner of events that include the Virgin Money London Marathon, Swim Serpentine, Prudential Ride London and the Royal Parks Half Marathon.
- More information on Virgin Money Giving can be found at: http://uk.virginmoneygiving.com/giving/