5 Reasons to NOT use Venmo for donations

You may be asking yourself, why wouldn't our non-profit organization just use Venmo?  Venmo is great for peer-to-peer payments and can be used to request people to send you money, but it isn't a fundraising platform nor is it built to solicit for donations.

5 Reasons to NOT use Venmo

  1. Venmo doesn't currently provide support for user-created donation campaigns or non-profits. Details can be found on Venmo's FAQ page here
  2. Your donors need to create an account in order to send money
  3. Venmo does not provide tax-compliant receipts.  This means any donations made to your 501(c)3 would not be tax deductible for your donors using this method. 
  4. Venmo has a weekly payment limit of $5,000.00
  5. Lack of credibility. Venmo is only tied to an individual by phone number and email address.  It is easy for a scammer to create an account that looks similar to the account intended for the organization. 

What to do instead

  1.  Research online donation platforms made to fundraise
  2. Make sure to use a company who aligns with your mission and goals as an organization
  3. The company you use should be responsive and available to trouble shoot if/when issues arrive
  4. Does not charge any additional fees. All online payment processing services have credit card processing fees, but not all have additional fees.
  5. Try to use a company that will help you with your fundraising goals and offers reporting features. 

At Pledge Monster, we do not charge any additional fees.  We offer the ability for people donating to your organization to add an additional donation to our company.  We in turn promise to give a percentage of the additional donation back to the group, individual, or organization who referred our company.  We also do not have any contracts and your donation site is live until you ask us to turn it off.  Any donations made are deposited directly into the connected bank account once a week. 

We validate all of the organizations that we work with, so your donors can give with confidence.  Your donors receive tax-compliant receipts so they can use their donation as a tax deductible item, if you are a 501(c)3 organization.  If you have any additional questions feel free to comment on this blog post or contact us for more information. 

 

 

 

 

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