Charities Aid Foundation direct debit platform processes £35 million in first year » Charity Digital News

Charities Aid Foundation direct debit platform processes £35 million in first year

Charities have raised nearly £35 million in donations through a card payment and direct debit processing platform, since it was rolled out a year ago by the Charities Aid Foundation.

CAF Donate was launched to help small and medium sized charities which were being priced out of being able to accept non-cash donations due to high processing fees.

Currently there are over 2,000 charities using the platform that allows organisations to collect direct debit donations, set up online fundraising pages and process telephone or postal payments without paying a fixed cost.

Data shows that direct debit donations have been set up by over 88,000 people and more than 90,000 one-off donations have been made; the average single donation made via the CAF Donate page is £89, rising to £107 when including payments through a CAF Donate widget embedded on a charity’s website.

Prior to the introduction of CAF Donate, research found that nearly 90% of charities were unable to accept direct debit payments, despite this being the most popular form of donation.

Chris Allwood, Senior Product Development Manager at CAF, said: “People now increasingly use card payments and direct debits as their preferred way of paying for things and giving to good causes.

While larger charities are well equipped to handle this, thousands of smaller organisations have previously been priced out of being able to accept money in this way through a combination of processing fees and admin costs.

Prior to its introduction, cashless payments were not an option for most charities. We now want every charity to have the option to receive donations in this way.”

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