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Using PayPal for Donations

Receiving donations is one of the most important parts of running a nonprofit organization. There are many ways this can be done, whether these donations are online or on-site. Online donations are made a lot easier nowadays than they used to be in the past, with various platforms through which nonprofits can set up their donation pages.

Most people are likely aware of PayPal as a payment processing platform, and while it is mostly associated with eCommerce and businesses, many nonprofits also use it for their fundraising.

PayPal Features

PayPal makes it easier for nonprofits to collect online donations without going through much trouble. It allows any organization to set up a donate button on their website, and this button can either be a standard one or even customized to suit the organization better. With some simple integration that requires no programming skills, you can have your donation button ready for donors to click on.

PayPal accepts all major cards as well as donations made through other PayPal accounts and also allows nonprofits to select which donation amount options they want to make available to their donors if they want. There are also ways to allow donors to donate to specific programs if they wish, instead of just making a general donation.

PayPal also makes it easier for nonprofits to reach their fundraising goals by allowing for discounts within their transaction rates as long as the organization in question is a confirmed 501c3 and does not charge any monthly fees. For organizations that are not confirmed, there are low rates and no extra fees for activities like setup, statements, and cancellations.

To set up PayPal recurring donations, nonprofit organizations have to register with business accounts where they can choose to allow subscriptions. This will encourage donors to subscribe to the recurring donation program, where donations will be made automatically, without the need for manual input.

Why Use PayPal?

There are many alternatives to PayPal, but when it comes to donations for nonprofits, nonprofits tend to go with PayPal. The fact that it is so widespread means that nonprofits can attract both domestic and international audiences much more easily than they would be able to by using other platforms. Along with its size, PayPal also has a trusting consumer base and is considered to be an assurance of security. Some donors may only consider making donations if they can be made through PayPal. The ease of use and the trust would make it much more likely for donors to receive donations and, hence, be more successful with their fundraising.

Givingloop makes this much easier for nonprofits. While donors might be more inclined to make donations through PayPal, nonprofits would have to go through the trouble of setting up accounts and handling all the donations themselves. By setting up an account with Givingloop, they can receive the payment directly into their bank accounts as well as all the additional features that come with using Givingloop as a fundraising platform.