Recurring Donations

Like many nonprofits, your organization depends on a steady stream of generous contributions to succeed. Your program probably solicits contributions on a regular basis and seeks extended financial commitments from your donors. If so, you can save time and money—and potentially increase donations—by offering the option of making automatic recurring donations with MasterCard. Recurring donations can help strengthen your relationships with those who support your organization by providing a more convenient way to give.

Recurring donations are an agreement between you and your donors to make automatic contributions through a credit or debit card. These payments can be for predetermined or varying amounts, and donors can control the duration of their financial commitment.

Recurring donations using MasterCard can create a more consistent flow of contributions that benefits your organization and your donors.

• Increase potential giving: Make it easier for donors to give larger amounts over time, and increase the likelihood that they will make other kinds of donations, such as planned giving.
• Enhance relationships: Build long-term relationships by encouraging donors to consider a more consistent way of giving.
• Reduce donor attrition: Individuals who give automatically tend to contribute for longer periods of time ("Donor Inertia").
• Expand your donor pool: Build relationships that lead to "upgrade appeals."
• Increase pledge fulfillment: Card acceptance can yield a higher level of actual donations, eliminating the need for donor follow-up.

Recurring donations offer a unique opportunity to influence the way your donors think about giving, enabling them to:

• Give more generously over time with less impact on personal budget.
• Use their MasterCard account statements for tax reporting.
• Earn points in eligible MasterCard card rewards programs.
• Save time and reduce postage costs.

MasterCard Worldwide continually seeks input from consumers so that we can offer the most convenient payment solutions. We recently sponsored research* to better understand U.S. consumers’ attitudes, behaviors, decision criteria, and concerns about payment methods for recurring charges. Download the MasterCard Recurring Donations 2005 Research Fact Sheet

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