What You Need to Know about Fundraising Fees

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When it comes to fundraising software, not all providers are the same. Especially when it comes to fundraising fees. Many fundraising software providers claim to be free, but are they really?

When reviewing fundraising software options and their corresponding fundraising fees, be thorough in your research to avoid being surprised by extra costs and hidden fundraising fees. Fees that can cut significantly into the total amount raised.

At MobileCause, we believe nonprofits should retain their donations, not give up a percentage of every donation in transaction fees! Which is why we have no transaction fees. MobileCause offers fundraising software packages to fit the needs of every nonprofit, of every size, in every sector. With MobileCause, you will never be charged a transaction fee and our credit card processing fees start as low as 2.59%.

No transaction fees, no fine print. With the other guys? Fundraising fees aren’t so simple.

The other guys:
Extra Costs. Hidden fees. Tons of fine print.

Setup Fees:

Paid once in addition to the package or plan cost.  What the vendor actually sets up varies widely, and many charge additional fees for each moving part – check to see if it’ll cover everything you need.

Transaction Fees: 

These fees are based on the number of donations received as a percentage of each donation, a flat fee per donation, or both. For example, 3% plus $0.40 per donation means $3.40 would be deducted from every $100 donated.

Gateway Fee: 

Gateway provider fees are typically included in the vendor’s or the merchant account’s fees.


Usually an extra fee, typically 1% higher than Visa or MasterCard.

Note: You may also hear about a “discount rate” – unfortunately this has nothing to do with savings to you, but is rather an additional percentage of each donation that the bank keeps.

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