If you work for a non-profit organization you will need to know certain facts about its payment processing. Knowing and understanding these facts will help your organization run smoothly and enjoy years of lasting success.
It starts with understanding merchant services. The payment processing for a non-profit organization is one that should always be monitored carefully. Since people are donating their hard earned money it is important that each transaction is completed quickly and efficiently. While in many cases an organization will have a merchant account, you also have the option of using a shared aggregrator account instead. With this type of account, your organization works with a large processing company. However, it also leaves you on your own, as an aggregrator does not provide support for non-profits. For full support, your organization is better off opening a merchant account.
Being able to process payments from donors is the backbone of any non-profit company. Having a payment processor in place is the only thing that enables an organization to not only accept donations but to also sell either tickets or items online. The collection of membership fees is also made possible by payment processing. When members can pay any necessary fees online it is always convenient for them. This makes it more likely that members will continue to pay their fees on time. It also gives your non-profit an edge over others that may not use the same services.
In order to instill a sense of security in donors and members, it is essential to take proper security precautions to protect every payment made to your organization. This is where the idea of credit card processing becomes relevant. Most people will want to pay their dues/make a donation using a credit card, but they want to be sure their money will go where it is supposed to. While in real life, credit card machines are often safe, online there are risks involved in any type of financial transaction.
PCI compliance is always needed in order to reassure those contributing financially to your organization. The payment card industry sets certain standards for this and PCI compliance means that your organization will always meet those standards.
Other security measures that should be taken include CVV numbers, an address verification system and a minimum amount donors are required to give. When donors enter the CVV number from their credit card, their payment can be identified in your system multiple ways, adding extra protection against fraud. Address verification is equally important for secure credit card processing. Depending on the processor used, it may require donors to meet the minimum amount of contributions.
Knowing these facts helps make your merchant services work for your organization.