While we are always in favor of giving, we especially champion giving during November, the month of giving thanks and of giving back. There are so many great organizations and causes out there and an increasing number of platforms for giving to them. You should certainly give, but before you give, find out how the platform you’re giving on really works.
What is Facebook Giving?
Facebook Giving started in 2015. Facebook Giving allows accredited nonprofit institutions and individuals to collect donations for a given cause. Initially, the platform charged a 6.9% service fee plus an additional $0.30 to run a campaign; however, in November 2017, they changed the rule in response to petitioning to those who felt that the fees were taking valuable dollars from worthy causes. Consider that if a cause raised several million dollars, the service fee would be in the tens to hundreds of thousands.
Recently, in 2018, Facebook announced that they were waiving the platform fee for all fundraisers on personal causes, too. Importantly, there are still processing and service fees still attached to personal fundraisers. For example, the fee in the U.S. is 2.6% plus $0.30. Of course, service fees are typical with many giving platforms (such as GoFundMe, PayPal, etc.).
How to Use Facebook Giving
Relative to ease of use, a nonprofit organization that wishes to raise funds via Facebook has to be registered and has to have gone through the proper channels to apply for fundraising privileges. Once the organization does that, they have to give Facebook financial details along with copies of their government-approved charity registration documents.
Individuals wishing to set up a fundraiser for a nonprofit or for personal reasons can easily do so with Facebook’s donation button and by following prompts.
What Happens to Donations Made Via Facebook
Donations made through Facebook can be processed through three channels: Facebook Payments, the Networks for Good, or the organization’s own payment processor. In all cases, it can take weeks or months for organizations to receive the funds donated.
The delay in release is due to a few factors. If using Facebook Payments, payouts don’t happen but on a bi-weekly basis. Another is because the fundraiser has to hit a minimum donation payout amount of $100.
If the payment processes through Network For Good, once the last payment is made, payment distribution will transpire a month-and-a-half later.
If the organization is financially linked with Facebook and they use their own processing company, then the distribution time depends on the processing company.
An Easier (And More Beneficial) Way to Give
While Facebook makes creating causes and spreading the word about causes relatively easy, an even easier way to give and to collect funds for a cause is to go straight to the source. Post a link to the cause’s donation page on your page and refresh it often. People who want to donate will be taken to the cause’s page, and your donation will go straight to the proverbial cause.
Giving directly to a cause not only guarantees that the organization gets all of your donation, but it also allows them to have access to your support faster. The Storyteller Agency is all about giving back, and as far as we are concerned, the faster the better, which is why we recommend going directly to the source when exercising your power to give.