Electronic payments offer benefits for companies and organizations of all sizes. If yours is a non-profit organization, you may find that of all forms of electronic payments, you will benefit most from the use of Direct Payment to collect donations.

With Direct Payment, donations go directly from your donors' checking or savings accounts to your organization's account. You save time, get your contributions faster and more consistently, and develop long-term relationships with your donors. Some of the benefits of Direct Payment for non-profit organizations include the following:

Lowers Costs

Direct Payment reduces administrative and processing costs and adds to your office's productivity by freeing up your staff from processing checks.

Improves Cash Flow

The timing of your donations will be more predictable and consistent, allowing for better planning.

Improves Donor Loyalty

With a convenient and easy method for donations, your donors will more likely become repeat donors.

The following benefits are based on quotes taken directly from the Association of Fundraising Professionals' newsletter, NonProfit Insights:

Increases Donations

"Non-profits can double or even triple donations and ensure a monthly income - without ever contacting donors to remind them of pledge time - with (Direct Payment)."

Increases Fulfillment Rates

Fulfillment rates for (Direct Payment) pledges average 98%- as much as 50% higher than with mail-based monthly donor programs."

Increases Pledge Amounts

Studies show that monthly (Direct Payment) donors pledge 3 to 4 times more than one-time annual givers.

Reduces Manual Processing Costs

Because manual processing costs are so high, most fundraisers shun pledges of $5 or less. "With (Direct Payment), these small donations become cost-effective and can add up to a lot of money."

Eliminates Monthly Re-Pledging

When donors are asked to write a check each month, they are actually being asked to re-pledge on a monthly basis. "(Direct Payment) transactions occur automatically, eliminating the need for the non-profit to persuade donors to 'repurchase' their commitment each month."