Average direct debit donation higher than other methods
The value of charitable donations made yearly by Direct Debit is substantially higher than the average of those made via other methods, according to research by Bacs Payment Schemes.
The value of charitable donations made yearly by direct debit is substantially higher than the average of those made via other methods, according to research by Bacs Payment Schemes.
Bacs, an industry body run by 16 banks and building societies across the UK, US and Europe and responsible for the clearing and settlement of automated payments in the UK, found that among 900 surveyed adults, 64% had made at least one charity donation in the past year.
While the largest portion, 48% selected ‘put money in a collection tin’, one in five revealed they use an ongoing direct debit to give money to charity, making it the third most popular method.
And while the average amount given through collection tins over the last 12 months totalled £20 ($32), the average for direct debit was significantly higher, £181 followed by occasional card payments at £118.
Graham Callaghan, a charity sector specialist at Bacs, recommended charities use direct debit to maximise donations.
Citing a ‘significant’ potential for increasing benefits across the sector, he said: "Encouraging people to sign-up to direct debit could increase levels of giving, but it also makes it cheaper and more efficient for charities to process these payments, so it really is win-win."