No matter the size of your nonprofit organization, being able to take credit card donations can radically increase the amount of money you can raise. It also allows you to set up recurring donations or online giving easily. Some traditional merchant account providers and credit card processors offer discounted rates for nonprofits, whereas other solutions are designed specifically to help nonprofits collect donations and include tools to make fundraising easier.
After hours of research, our picks for the best nonprofit credit card processing are:
- Helcim: Best overall
- iATS: Best for on-site and online donations
- PayPal: Best variety of payment types
- Stripe: Best for customizing online donation platforms
- Square: Best free POS for small nonprofits
- Donorbox: Best for payment processing flexibility
- CharityEngine: Best for online fundraising and marketing
- GoFundMe Charity: Best for crowdfunding
The Fit Small Business editorial process follows strict standards to ensure that our best answers are founded on the basis of accuracy, clarity, authority, objectivity, and accessibility.
I applied my 6-plus years of experience evaluating payment systems with my background in finance, POS, and payment technology to these recommendations. Around 20 options are regularly updated and fact-checked, then scored on 20 data points prioritizing affordability, functionality, and ease of use. See our methodology below.
Accept payments anywhere customers are: In-person, Online, Remote, Buy Now Pay Later |
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Best Nonprofit Credit Card Processors Compared
Our Score (Out of 5) | Monthly Fee | Discounted Processing Rates | Option for Donor-covered Fees | Funding Speed | |
|---|---|---|---|---|---|
 | 4.27 | $0 | Card network discount | ✕ | 1-2 business days |
 | 4.21 | Not disclosed | 2.49% to 3.2% | ✓ | 1-2 business days |
 | 4.18 | $0-$30 | From 1.99% + 49 cents | ✕ | Instant/ same-day/ up to 2 business days |
 | 4.11 | $0 | Card network discount | ✕ | Same-day to up to 2 business days |
 | 4.04 | $0-$60+ | None—standard rates apply | ✕ | Same-day to up to 2 business days |
 | 4.04 | From $0 | ✓ | 1-3 business days | |
 | 3.99 | From $350 | Custom nonprofit rates | ✓ | Custom |
 | 3.70 | $0 | 2.2% + 30 cents | ✓ | 2-5 business days |
Donor-covered fees: It’s not uncommon for nonprofits to provide their donors the option to cover a portion of the nonprofit’s costs for maintaining its platform. Also called a convenience fee, donation forms often include a check box where a donor can confirm their intention to pay for the use of the platform (platform fee). Learn about convenience fees.
Helcim: Best Overall Nonprofit Credit Card Processor
Pros
- Customer portal tools for donation
- In-person donation through mobile
- Built-in CRM, invoicing, and recurring billing tools
- Free credit card processing program
Cons
- Lacks dedicated fundraising tools
- Limited third-party integrations
- Discount only through card network fees, not Helcim’s markup
- Charges higher for Amex transactions
Overview
Who should use it:
Growing nonprofits accepting online and in-person payments
Why we like it:
Helcim is one of the most cost-effective payment processors in the industry, with very low per-transaction costs and zero monthly fees. It comes with a full suite of online and in-person payment tools, plus customer relationship management (CRM) features that can easily be adapted to nonprofit functions.
While it does not offer discounted processing fees, Helcim does offer Visa and Mastercard special interchange rates for nonprofits, which lowers your overall processing fee. It also supports free credit card processing for merchants accepting ACH payments
- Monthly fees: $0
- Nonprofit discount: Card network discounted interchange rates
- Card-present fee: Interchange plus 0.15% + 6 cents to 0.4% + 8 cents
- Card-not-present fee: Interchange plus 0.15% + 15 cents to 0.50% + 25 cents
- Amex surcharge fee: + 0.5% + 25 cents per transaction
- ACH fee: 0.5% + 25 cents
- Additional fee for international payments: Card network rates
- Deposit speed: 1-2 business days
- Contract: Month to month
- Chargeback fee: $15 (refundable)
Payment Types
- Card-present
- Online/ remote
- Recurring
- Invoicing
- Virtual terminal
- ACH/e-check
- International payments
Fundraising Tools
- Donate button
- QR code
- Sharable payment link
- Hosted donation page
- Memberships
How Helcim works for nonprofits:
- International payments processing: Helcim does not take any cross-border fees (except for what card networks are charging) or collect any currency conversion fees when you accept donations from overseas—unlike most providers on our list.
- Over-the-phone payments: Use Helcim’s virtual terminal to collect donations over the phone. It can be accessed from any browser and even allows you to set up recurring payments.
- Customer portal: Helcim provides a free customer portal where your donors can manage their memberships and subscriptions, including a card vault feature that securely stores credit card information.
- Online donations: Helcim’s payment gateway is easy to set up with its payment page wizard for customization. You can also design “Donate” buttons and QR codes to embed in your emails and social media campaigns.
- Free credit card processing: Helcim offers an automated zero-cost processing program for merchants accepting ACH payments. For donations, it is normal for donors to cover the transaction fees (also called donor paid fees). Read more about free credit card processing.
iATS: Best for Dedicated Donation Platform
Pros
- Integrates with charity/donation-specific software and organizations
- No chargeback or early termination fees
- International donations capable
- Provides a merchant account
Cons
- Fees are not disclosed
- Does not have an invoicing function
- Limited reporting features
Overview
Who should use it:
Small, established nonprofits
Why we like it:
Built for nonprofits, iATS Payments is an all-in-one payment solution for international credit cards (very much like PayPal) and ACH payment processing. However, iATS is unique because it works with charities of all sizes and offers secure online forms, making accepting donations safe and easy.
Over 15,000 nonprofits work with iATS, and it partners with over 100 different CRM, event management, and charitable services. It has a mobile app for accepting donations and a Salesforce payment processing app, Brickwork, which makes it easy to take donations, simplify donor updates, and keep donor information and transactions on the same platform. Nonprofits like iATS for its reliable and easy-to-use platform and praise it for excellent customer support.
- Monthly fee: Not disclosed
- Per transaction: Not disclosed (third-party sources say from 2.49% to 3.2% for cards, 26 cents per ACH transaction)
- Additional fee for international payments: Card network fees
- Deposit speed: 1-2 business days for Visa, Mastercard, and American Express, every Thursday for Discover transactions, and every Wednesday for ACH transactions.
- Contract: 1 year, with 6 months automatic renewal
Payment Types
- Card-present
- Online
- Recurring billing
- ACH/e-check
Fundraising Tools
- Hosted donation page
- Online forms
- Event registration
- Text-to-donate
- Auction bids
How iATS works for nonprofits:
- Online forms: iATS specializes in creating online forms that you can customize for different types of donations such as tithing, event signups, and auction bids.
- Mobile payment: iATS includes a mobile payment app. It’s simpler than PayPal Zettle or Square, so it is good for donations, but not if you also sell items for your charity.
- Third-party integrations: iATS integrates with hundreds of technology partners and can manage payments from your CRM, auction software, and online fundraising platform.
- Works with Salesforce: Worth mentioning is Salesforce’s exclusive integration with Brickwork iATS for more nonprofit and management tools, such as online and offline virtual terminals, donor databases, and scheduling recurring donations. This gives iATS an advantage over most nonprofit processors including Stripe.
- Deposit speed: iATS lists variable deposit times based on payment type, from one to two business days for Visa, Mastercard, and American Express transactions to every Thursday for Discover transactions. Meanwhile, ACH transactions are deposited every Wednesday.
PayPal: Best Payment Variety for Small Nonprofits
Pros
- Discounted rates for nonprofits
- Easily accept Venmo, PayPal, ACH, and other payment types
- In-person and online payment processing
- Accepts international payments
Cons
- Limited customer database tools
- Discounts for confirmed IRS 501(c)3 nonprofits only
- Collects monthly fees for use of virtual terminal
- Upgrade to Braintree to accept ACH payments
Overview
Who should use it:
Small nonprofits looking for no-fuss collection tools like PayPal and Venmo
Why we like it:
With no minimums and a name trusted by consumers and donors everywhere, PayPal is a good match for nonprofits of any size looking to accept donations easily. It can accept international currencies, ideal for international organizations or nonprofits looking to fundraise overseas. What makes it unique, however, is that, in addition to accepting PayPal payments, nonprofits can accept PayPal Credit, Pay in 4, and Venmo, which PayPal also owns.
PayPal’s sister service, Braintree, is best suited if you need greater online customizability and want to accept donations through ACH payments.
- Monthly fees:
- PayPal account: $0-$30
- Virtual Terminal: $30
- Recurring Billing: $10**
- Recurring Payment Tool: $30**
- Payment Gateway: $0-$25
- Transaction fees for confirmed nonprofit accounts*:
- 1.99% + 49 cents for online transactions
- Zettle: 2.29% + 49 cents to 3.49% + 49 cents
- Instant transfer: 1% fee
- Additional fee for international payments: 1.5%
- Deposit speed: Instant (via PayPal Balance), Instant deposit (with fee), Standard deposit two-business days
- Contract: Month to month
*Discounts for 501(c)3 are only for nonprofit organizations confirmed by PayPal. Otherwise, donations to PayPal Business accounts incur a 2.89% + 49 cents transaction fee.
**Update: PayPal no longer charges extra monthly fees for recurring donations (subscriptions), but it may charge a higher transaction rate.
Payment Types
- Card-present
- Online donations
- Recurring donations
- Invoiced payments
- Virtual terminal
- ACH/e-check (via Braintree)
- International payments
Fundraising Tools
- Donate button
- QR code
- Sharable payment link
- Hosted donation page
How PayPal works for nonprofits:
- Online donations: PayPal lets you create customized donate buttons to add to your website or send via email and shareable URLs for your social media account and other online platforms.
- In-person donations: Create a QR code you can display during events that your guests can scan to take them directly to a mobile-friendly checkout to make payments. You can also add a donate button on your mobile payment app.
- Recurring payments: You can safely store your donors’ credit card information to process automatic recurring payments or send invoices via email with a link to your payment page.
- PayPalMe: Set up a donation link for social channels (higher transaction fees apply).
- PayPal Giving Fund: Register to receive donations through PayPal, eBay, and other partner platforms. This program is unique to PayPal.
When to choose Braintree:
Braintree is run by PayPal but offers more customizability, such as transaction reporting for its online tools. We find that PayPal offers more discounts for nonprofits, and users give it a much higher ease-of-use score. Braintree fared better for features and customizations. Both are excellent for a nonprofit and popular with 501(c)3s of all sizes.
However, it’s also more complex, and according to users, you need someone tech-savvy to get the most from it. It accepts ACH and e-checks (PayPal cannot), is better for handling Bitcoin payments, and has cheaper international payment processing. It is also the processor to choose from if you are developing a marketplace.
Read our full Braintree review to learn more.
Stripe: Best for Customizing Online Donation Platforms
Pros
- Versatile: 450+ integrations, 135+ currencies
- Handles recurring donations, invoicing
- 24/7 support
- Highly customizable online donation forms
Cons
- Complex pricing; need to call for the nonprofit discount
- Discount only for 501(c)3 and donations
- No nonprofit-specific tools
- Requires some coding skills to customize
Overview
Who should use it:
Online nonprofits needing advanced customizations
Why we like it:
Stripe is a popular PayPal competitor for payment processing because it, too, offers good rates and works on a per-transaction schedule rather than requiring a lengthy contract. It also gives 501(c)3 nonprofits a discount on processing fees.
While it does not have special tools for nonprofits, its comprehensive feature set includes an advanced fraud protection system. Many crowdfunding platforms that offer nonprofit fundraising also work with Stripe. It is great for online donations, with tools that enable you to customize your checkout and donation pages.
Stripe offers nonprofit credit card processing discounts, though it does not disclose them publicly. The following are Stripe’s merchant rates to be used as a comparison for its discounted nonprofit rates:
- Monthly fee: $0
- Online: 2.9% + 30 cents
- In-person via Terminal: Starts at 2.7% + 5 cents
- Digital wallet: 2.9% + 30 cents
- ACH direct debit: 0.8% capped at $5
- Recurring payments: 0.5%-0.8% per transaction
- Invoicing: 0.4%-0.5%
- Additional fee for international payments: 1.5%
- Contract: Month to month
Payment Types
- Card-present
- Online donations
- Recurring donations
- Invoicing
- Virtual terminal payments
- ACH/e-check payments
Fundraising Tools
- Custom donation page & donate button
- Custom donation portal
- Shareable payment links
- Fundraising platform integration
How Stripe works for nonprofits:
- Customizable checkout page: Use Stripe’s dashboard to customize your checkout settings with client-only integrations for accepting donations.
- Customizable donation pages: Set up your donation pages by adding donation amounts as products that your donors can choose from. They will be redirected to your thank-you page.
- Nonprofit integrations: Integrate with POS and ecommerce systems or build your own. Stripe has the greatest flexibility with over 450 integrations. For example, Stripe integrates with CharityWeb, Kindful, Donorbox, and others.
- Customizable fund transfer: Get a two-day transfer to your bank or on a schedule you set. Stripe, however, does not have same-day or next-day funds availability. For that, consider PayPal or Square.
- Global payments: Stripe supports 135+ currencies and has 24/7 support. Most on our list offer multiple currencies, but only Braintree comes close in the number available.
- Business support: Stripe also offers financial and business tools that include financing, banking, accounting, and more. Only Square offers as many additional tools.
Square: Best for Nonprofits That Need a Free POS
Pros
- Free POS software and ecommerce tools
- Includes CRM tools for donor database management
- Waived chargeback fee
- Simple transparent pricing
Cons
- Requires integration for some fundraising tools
- No discounts for nonprofits
- Live support during business hours only
- Account stability issues
Overview
Who should use it:
New nonprofits that also need a free POS software
Why we like it:
Square is the only standard payment processor on this list that does not have discounts for nonprofits. However, it’s still competitively priced, and the lower base rate (10 cents vs 30 cents) for in-person donations makes it a good option if you take many small payments rather than a few larger ones.
Its tools are extremely flexible, making it a good service for nonprofits as well, especially those that sell items or hold events in person. It offers CRM functions for communicating with your donors and functions for monitoring campaigns and setting up recurring donations.
- Monthly fee: From $0 (w/POS)
- In-person transaction fee: 2.6% + 10 cents
- Online transaction fee: 2.9% + 30 cents
- Keyed-in/ virtual terminal, card in file: 3.5% + 15 cents
- Invoices and online payments: 3.3% + 30 cents
- Additional fee for international payments: Card network fees
- Same-day transfers: 1%
- Deposit speed: Next-day funding and same-day options for a fee (1.75%)
- Contract: Month to month
Payment Types
- Card-present
- Online
- Recurring donations
- Invoicing
- Virtual terminal
- ACH/e-check
Fundraising Tools
- Hosted donation page
- Donate buttons and payment links
- Memberships
- Ticket and merchandise sales
How Square works for nonprofits:
- Online donation options: With Square, you can create donate buttons, set recurring payments, and customize invoiced donations.
- Mobile payments: Square is known for its mobile payments capabilities, with its free mobile app and card reader, so you can turn your phone into a payment processor.
- Built-in payment tools: It offers a free virtual terminal, native POS, and ecommerce systems to give you various ways to accept donations.
- Reporting features: You gain access to analytics and real-time reports to monitor your different donation payments from one platform.
- CRM tools: The system includes a customer engagement feature, which allows you to maintain a customer database, send emails, and monitor campaigns.
- Business tools: Square offers banking features, including an account that lets you get quick access to your funds, payroll and employee benefits, and more.
Want to learn more about Square?
- Read about Square and all of its solutions
- Learn more about pricing and features in our Square Payments review
- Check out our Square POS review for Square’s in-person sales tools
- See why Square offers our favorite card readers for small businesses
Donorbox: Best for Flexible Payment Processing
Pros
- Works with Stripe and PayPal
- Starts with a free plan
- Donor-covered platform fee option
Cons
- Platform fee on top of monthly account fee
- Nonprofit discounts only for registered 501(c)(3) nonprofits
- Add-on monthly fee for customization tools and to accept in-person payments
Overview
Who should use it:
Small nonprofits looking for flexibility in payment processing options
Why we like it:
Donorbox stands out among our three other dedicated nonprofit platforms (iATS, Charity Engine, and GoFundMe) because it is the only one with a feature-rich free plan. It also lets nonprofits choose between Stripe and PayPal/Venmo as a payment processor, enabling better control over operating costs for businesses.
Having its pricing plans available also gave Donorbox an advantage. Although it can be concerning that Donorbox imposes add-on fees on advanced nonprofit tools, the basic features in the free plan are enough to start accepting payments. Donorbox also has settings to allow donors to cover platform fees.
- Monthly fee: $0/ $139, custom plan also available
- Nonprofit discount rate: For Registered 501(c)(3) nonprofits
- Stripe: 2.2% + 30 cents
- PayPal/Venmo: 1.99% + 49 cents
- Standard rates:
- Stripe: 2.9% + 30 cents
- PayPal/Venmo: Contact PayPal
- ACH payments: 0.8% ($5 maximum)
- Platform fee: 1.75%
- International payments: Card network rates
- Chargeback fee: Depends on payment processor
- Contract: Month-to-month
- Funding speed: 1-3 business days
Payment Types
- Card-present
- Online
- Recurring donations
- ACH
- Cryptocurrency and stock donations
Fundraising Tools
- Donation forms
- Text-to-give (text-to-pay)
- Payment links/Donation buttons
- Crowdfunding
- Event ticketing
- Recurring donation/memberships
- Peer-to-peer (Venmo)
How Donorbox works with nonprofits:
- In-person/kiosk: Donorbox’s Live kiosk is a feature that allows nonprofits to accept cashless donations via card or digital wallet by downloading the Donorbox Live app on a tablet.
- Event ticketing: Donorbox provides nonprofits with its very own ticketing software for nonprofits that sell tickets for fundraising events.
- Online platform: Donorbox provides nonprofits with tools to create online donation platforms and a customer portal so donors can sign up on the nonprofit’s site and send a one-time donation or sign up for membership with a recurring donation.
- Peer-to-peer donation: With Venmo, nonprofits using Donorbox can accept peer-to-peer payments easily.
- Crowdfunding pages: Nonprofits can create crowdfunding pages hosted by Donorobx at no extra cost.
CharityEngine: Best for Online Fundraising & Marketing
Pros
- All-in-one fundraising solution
- Processes ACH and credit cards
- Customer database and CRM
Cons
- Basic mobile payment processing
- Batch (specific-day) fund processing
- Expensive—might be more than a small non-profit needs
Overview
Who should use it:
Established nonprofits with active, multiple donation campaigns
Why we like it:
If your nonprofit runs multiple campaigns, a solution that handles everything from events to regular donations could save you hours, not to mention headaches. CharityEngine is a full-featured fundraising solution with payment processing. However, it lacks in-person payment tools, so it’s a better fit for nonprofits that only accept online donations.
You can run events, set up regular donations, have a website, manage direct mail campaigns, and run peer-to-peer fundraisers. It can even process funds from credit cards, e-checks, and direct transfers/ACH. It’s an excellent system, so it’s worth calling to inquire about pricing for your organization.
Because CharityEngine is a complete software solution, prices vary by the tools you get. You’ll need to call for a quote.
- Average monthly fee: $350-$1,500
- Plans based on the number of contacts you can manage with their CRM
- Additional fee for international payments: None
- Deposit speed: Batch system on specific days; may not get same-day or next-day access to funds you raise
- Contract: At least 1 year
Payment Types
- Online
- Recurring
- Virtual terminal
- ACH/e-check
Fundraising Tools
- Hosted donation page
- Donate button and forms
- Memberships
- Ticket and merchandise sales
How CharityEngine works for nonprofits:
- Mobile payment processing: CharityEngine supports basic mobile payment processing with its mobile pay app. Note that the mobile credit card reader can only accept swiped payments and merchants will have to purchase the device. The app is also only compatible with Android OS.
- Online donation tools: CharityEngine excels in online credit card processing for nonprofit organizations. Its online fundraising tools include a website, a shopping cart builder, and an online form. The system also offers branding and product promotion tools, something the others on our list don’t do.
- CRM and marketing: You can run a direct mail fundraising program, organize events with integrated email communications and payment tools, and market your campaigns from a single platform.
- User center: This allows your recurring donors to manage their personal information (such as credit card details, address, and communications preferences) on your branded donation platform. Helcim has a similar feature.
- Donation management: With CharityEngine, you can track pledges, and generate comprehensive reports.
- Workflow automation: It features automated workflows to handle billing and fundraising, the transfer of data between finance teams, and reconciliation between departments. No one else on our list has this feature.
GoFundMe Charity: Best for Crowdsourcing Donations
Pros
- Top social fundraising platform—$15 billion raised
- Comes with CRM, registration, ticketing, and email
- For individuals, communities, and recognized charities
Cons
- No card reader capability
- No ACH, e-check processing
- Limited integrations
Overview
Who should use it:
Individuals looking for one-off, occasional fund-raising tools
Why we like it:
Most people know GoFundMe as the crowdfunding tool individuals use when they have immediate financial needs. However, it has services specifically for charities. It doesn’t charge a platform fee, and its per-transaction rate, while depending on individual or charity fundraisers, is nonetheless competitive in both cases. Payment transfers for charity fundraisers are handled through the PayPal Giving Fund.
GoFundMe rates are competitive, and you can accept donations via your own website and the GoFundMe website, which increases your visibility.
- Monthly fee: $0
- Per transaction fees:
- Individual/Business Fundraisers: 2.9% + 30 cents
- Charities: 2.2% + 30 cents
- Additional fee for international payments: None
- Deposit speed: 2-5 business days
- Contract: Month to month
Payment Types
- Online donations
- Recurring donations
- Virtual terminal
Fundraising Tools
- Hosted donation page
- Donate button and forms
- Ticket and merchandise sales
How GoFundMe works for nonprofits:
- GoFundMe platform: GoFundMe has a platform where philanthropists can search for causes to give to. It alone offers such a function. The GoFundMe platform is free to use, so you get 100% of the donation, minus processing fees.
- Branded campaign materials: It gives you access to design tools for creating branded campaign pages and email appeals for donations and invitations to fundraising events.
- Social crowdfunding tools: GoFundMe’s platform is easy to use and offers text, photo, and video storytelling capabilities.
- Reporting tools: You get full access to your transaction data and can generate reports for useful insights on your campaign.
How to Choose Your Nonprofit Credit Card Processor in 4 Steps
Still not sure how to choose the best nonprofit credit card processing solution for your business? Follow these simple steps:
Step 1: Determine How You Want to Accept Donations
Create a list of merchant account providers and payment processors that can match your requirements (online, in-person, or both). To help you get started, consider these questions:
- Does your nonprofit only accept donations online?
- Are you looking to expand your online campaign by attending events that require tools to accept donations in person?
Step 2: Match Your Payment Processing Methods
Narrow down your list by identifying the payment processing tools you need and matching these with what each provider has to offer. For example, if you want to accept payments in person, do you prefer a mobile device so you can move around during events? Or, when considering the best way to collect donations online, decide if you want to sign up donors for a recurring collection, just a one-time payment, or both.
Payment Processing Methods to Look for in Nonprofit Payment Solutions
- Card-present/mobile
- Card-not-present/online
- Recurring payments
- Invoicing
- Virtual terminal
- ACH/e-check
Most payment processors come with additional features such as a website builder, rewards program, accounting tools that can track NGO payments, and more. However, be sure to watch out for extra fees that sometimes come with these functions. Start a tally and compare; then go ahead and remove those that tack on the highest add-on cost from your list.
Step 3: Choose Your Preferred Donation Tools
Now that you have a solid list of payment processor options, it’s time to take a closer look and find out which ones support the donation tools you need.
For example, not all payment processors that allow you to accept donations online have the ability to set up registration for events or manage auction bids. In the same way, not all in-person payment processors can manage inventory to sell tickets or other merchandise.
Tools to Look for in Nonprofit Credit Card Processors
- Donate button
- QR codes
- Shareable payment link
- Hosted donation page
- Membership/sign-up forms
- Event management
- Ticket and merchandise sales
You may also be looking for a marketing feature that goes with your donation tools. As with step 2, look out for extra fees and decide whether that additional cost is worth the role that these functionalities play in your nonprofit.
Step 4: Identify Your Nonprofit’s Size
Once you have all the features you need in place, it’s time to consider the cost of accepting donations. To do this, you need to identify the size of donations your nonprofit processes in a month or year.
Your goal should be to accept the most donations with the lowest nonprofit credit card processing fees. If you process less than $10,000 in donations per month, look at payment processors that charge flat rate fees (example: 1.9% + 49 cents). Otherwise, consider payment processors with interchange plus pricing like Helcim and Dharma, which offer big discounts to large volume transactions.
Before disregarding payment processors that charge a monthly subscription straight away, consider what comes with these paid plans. It may have interchange-plus rates and/or free payment and donation tools that may actually save you money depending on your processing volume.
How We Evaluated Nonprofit Credit Card Processors
For charities and nonprofits, credit card processors should do more than handle your payments. They should provide discounted rates, simple tools for fundraising, and the ability to reach out to donors. We examined 15 solutions for credit card processing for nonprofits to determine the eight best in 2023.
With an overall score of 4.27 out of 5, Helcim ranked as the nonprofit best credit card processing solution. It offers good rates with no contracts or monthly fees—in fact, it’s also our top recommendation as the cheapest credit card processor for most non-profit organizations and for-profit businesses.
Click through the tabs below for a full list of our scoring criteria:
25% of Overall Score
You may not have full-time fundraising needs, so we favored processors that did not have contracts or charge monthly fees. We also looked for discounted rates, low chargeback fees, and no cancellation penalties. GoFundMe had the best score with 4.75 out of 5, followed by PayPal at 4.63.
30% of Overall Score
You need to be able to accept multiple payment types and from many places. Thus, we gave points for in-person payments (including tap payments like Apple Pay), ecommerce transactions, ACH and e-checks, and stored payment information for recurring donations. Square and Helcim had perfect scores here.
30% of Overall Score
The best credit card processors for nonprofits don’t stop at managing payments. They also offer fundraising tools, a customer database, and marketing functions. We favored those that offered quick disbursements and had 24/7 live customer service. CharityEngine earned 4.38 out of 5, the highest scores in this category, followed by Helcim with 4 out of 5.
15% of Overall Score
In addition to our own evaluation of the features and platform, we considered the opinions of the real-world experts: nonprofits that use these platforms. We examined ratings and comments on independent user review sites. Square earned a perfect score, followed by Stripe with 4.63, and Helcim with 4.44 out of 5.
Frequently Asked Questions (FAQs)
These are some of the questions I encounter most often about nonprofit credit card processing.
The best payment system for nonprofits depends on your organization type. If your nonprofit is steadily growing in donations, Helcim is the best option with its automated volume discount and all-around payment processing tools at zero monthly fees.
If you are running a new or small nonprofit, the best payment system would be one that provides an all-in-one solution like Square or Donorbox to quickly get you started. For established nonprofits, platforms with advanced tools like iATS and Charity Engine, and highly customizable payment processors like Stripe are the better option.
Yes, nonprofits are required to pay credit card processing fees if it is to accept cashless donations. However, nonprofits that fall under the category of “charities” enjoy much lower transaction rates. There are also options for donors to cover the fees for using the platform.
Yes, like every payment processor, Square charges fees for nonprofits that use the platform to collect donations. Note that Square offers free POS and payment processing but it does not provide discounted rates for nonprofits.
No—the closest you can get to fee credit card processing for nonprofits is lower/discounted fees. Card network interchange rates are significantly lower than regular commercial transactions. Some payment providers also offer lower rates. Note, however, that most of the time, businesses are required to provide proof that it is registered as a charitable organization before receiving the discounted fees.
Bottom Line
If you are a nonprofit, you should be getting a discount on your payment processing. There are many fantastic merchant services and credit card processors, both direct and third-party, that work with nonprofits. Third-party processors offer not only reduced rates but also additional tools to make fundraising easier.
Overall, Helcim offers the best credit card processing for nonprofits with its free merchant account, interchange-plus rates for low-volume transactions, and automatic volume discounts for nonprofits processing $50,000 per month and above.