Through a checkbox on your organization’s donation form, your donor can opt to pay the transaction fee, which will be added to their total. For example, if your organization pays 5% of the transaction value in fees, the donor’s total would increase by $5 on a $100 contribution. The grand total on the donor’s gift receipt would be $105.
No! In fact, it will save you money. In addition to your payment gateway’s fees, BSD charges 2% on all donations where donors have opted to pay the fee. Again, these fees will be offset by the additional FullGift contributions so your effective rate is near 0%. If you are an existing client, we guarantee that you’ll save money overall. For new clients participating in a similar program, we guarantee you that you will pay no more than your current fees.
If your organization currently accepts credit card transactions online, you are likely set up with a merchant account and payment gateway. Gateway and merchant account providers charge a fee on every transaction, usually in the form of a flat fee per contribution (e.g. $0.10) plus a percentage of the amount of money being processed (e.g. 3%).
In addition, BSD charges a nominal fee on each transaction to cover requisite security, hosting, and maintenance for your fundraising program. Your organization will be able to include all or some of both fees in the amount added to your donors’ contributions when they check the “pay the fee” box.
You’d be surprised! Donors feel good about ensuring their full donation goes directly to the causes they’re supporting, and they’re accustomed to seeing fees associated with online transactions. The transparency of FullGift – and the resulting impact – benefits you as well as your donors.
Currently, FullGift works with Stripe. Stripe is a modern payment gateway and merchant account solution that offers industry-leading pricing. For more information about Stripe, visit https://stripe.com/. BSD clients who use Stripe can access preferred rates that are the most competitive in the industry.
The entirety of the donor’s contribution – including both the original donation amount and any transaction fees paid for by the donor – is considered donation income to your organization and should be reflected on donor receipts. The transaction fees paid to your payment gateway and to BSD are considered expenses, even if they are covered by donors.
On transactions where a donor has agreed to pay the fee, BSD will collect a flat 2% fee of the donor’s original contribution. On all other transactions, BSD will collect a fee according to our contract. Stripe will also collect its transaction fees. The remaining balance will be settled into your organization’s merchant account. Your organization will not receive invoices for transaction fees. Any fees covered by your donors will be deposited into your Stripe account as part of the regular settlement of transactions.
We’re a political organization subject to contribution limits for every election. How will FullGift work for a maximum contribution?
The entirety of the donor’s contribution -- including both the original donation amount and any transaction fees paid by the donor -- is reportable to the campaign or PAC, and the transaction fees are considered standard operating costs. Accordingly, for donors who select the “pay the fee” option, the maximum allowable grand total may not exceed the FEC imposed contribution limit for your organization. This maximum can be set by administrative users of the BSD Tools.
Donations to US-based 501(c)3 charitable organizations processed through the BSD Tools, including donations made to cover transaction fees, are tax deductible to the extent allowed by law.