Zeffy Alternatives: Exposing the Hidden Costs of Zero Fee Platforms
You know what they say – nothing in life is truly free. Read on to discover why fee-free platforms like Zeffy might cost you in the long run.
Updated on
You know what they say – nothing in life is truly free. Read on to discover why fee-free platforms like Zeffy might cost you in the long run.
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Having an online fundraising option isn’t just practical, these days – it’s a must. Donors want easy, online giving with the payment methods they know and love.
As you try to rein in overhead costs, you might be attracted to fee-free fundraising platforms like Zeffy.
But if a platform claims to be free, chances are your donor – and their experience – are ultimately paying the price.
Read on to discover some common Zeffy complaints and why seeking out an alternative might be the best move for your organization.
Zeffy promises zero fees for nonprofits – always. However, the funds that fuel their platform ultimately have to come from somewhere.
Zeffy recoups fees through optional donor tipping, where donors are asked to “tip” the platform either a percentage of their total donation or a preset amount.
The requested tip that Zeffy asks for is based on the donation amount. For donations up to $99.49, the default percentage is 17%, and donors can choose to increase their tip amount if they wish. For donations over $99.50, the tipping percentage starts at 15%.
“If Doris the donor logs on to give $100, she might end up giving $115, $15 of which goes straight to Zeffy, not the nonprofit,” Kelly Hernandez, CEO of Nonprofit Marketing Nerds, explains in her article about Zeffy. “Unless [your donor] knows to toggle that tip down (or off), she’s unintentionally giving a lot more to a tech company than she planned.”
In a fundraising environment where donor trust is everything, you can’t afford to confuse your donors with optional tips. “It’s death by a thousand checkout screens,” Kelly Hernandez continues.
See what else she had to say in her dedicated Zeffy review:
Here’s what another reviewer had to say about the process:
“The only thing I dislike about Zeffy is the way they solicit donations from users. Any time anyone makes a donation or buys a ticket on Zeffy, the form automatically adds on a donation to Zeffy, and it is not immediately apparent that the user can choose to reduce or omit the donation. This seems sneaky and like a hidden fee.” – Verified User
Here’s how this process looks on a Zeffy donation form. Donors can adjust the tip amount via a dropdown, but without digging further, it isn’t clear how they can remove the tip entirely. They must click “Other” and manually input $0 if they’d rather not tip. This additional step takes time and effort from your donors, which could lead to fewer completed donations.
Additionally, Zeffy forms don’t list the total again on the last step of their donation form, which is best practice for all transaction forms. Here’s how it looks on their form:
This makes it easy for donors to miss the added tip and can lead to confusion and, ultimately, mistrust.
Bonus resource: Check out our dedicated blog on Zeffy reviews to learn more about what nonprofits like and dislike about the platform.
Alternatively, Donorbox charges a platform fee of 2.95% for most products on the Standard Plan and 1.75% for most products on the Pro and Premium plans. Donorbox also charges the standard payment processing fees for Stripe (2.2% + 30¢) or PayPal (1.99% + 49¢).
Donors can choose to cover those fees as they check out, ensuring you receive 100% of their donation. For example, if a donor gives $100 on the Standard Plan with Stripe as a payment processor, the additional fee donors can optionally cover is only $5.50. For users on the Pro and Premium plans, that’s only $4.30 – significantly less than a 15% tip or $15.
Plus, Donorbox’s donation form makes it easy to uncheck the “cover fees” option, maintaining transparency and improving your donors’ experiences. The total is also included on the final button, reminding donors of the amount they’re agreeing to pay before they complete the transaction.
It’s simple – unclear costs harm donor trust. A donor goes out of their way to support your organization only to feel duped when they see an additional charge on their bank account.
Without a solid foundation of trust, building an ongoing relationship with your donors will be difficult, if not impossible. Transparency is crucial for keeping donors in your court and ready to support your mission.
Donorbox is committed to empowering nonprofits – and their donors – with transparent pricing and straightforward fundraising tools. Plus, Donorbox allows you to give donors the freedom to add, remove, or change any recurring donation payment plans on their own through the Donor Portal. This builds stronger donor relationships.
A smooth, transparent, and easy giving process is crucial for getting donors to give not just once, but again and again.
“Your donation form is the final step in your nonprofit marketing strategy. It’s the moment someone decides whether giving feels simple and aligned or confusing and transactional,” Kelly Hernandez states.
“That experience shapes how they feel about your organization long after the credit card clears.”
Donorbox donation forms are optimized for easy, transparent giving – and donors can give again in just one click with QuickDonate™. This helps you build a better giving experience for your donors and ensures they keep coming back to support you.
Consumers are being asked to tip everywhere these days, and it’s wearing them out. 48% of Americans report feeling tired of being asked to tip.
That’s a big percentage of your audience to risk, especially when they may not understand how or if tipping can benefit your organization.
Alternatively, Donorbox gives you the option of allowing your donors to cover your transaction fees – which add up to a much lower amount. Instead of a “tip” of an arbitrary amount, donors can choose to increase their donation slightly so their whole donation goes toward your cause.
Your brand is an important asset both for getting more donations and for doing more good in your community. And once a donor has a negative association with your brand, it can be almost impossible to undo that damage.
Donorbox protects your brand with transparency and tons of customization options so you can create a donation form that reflects your brand identity. Add context for each donation amount to encourage more giving and showcase how donated funds will be used to make a difference.
Take a look at this example of a Donorbox OmniGive™ Donation Form featuring a custom theme and descriptions for each donation amount:
You can also add badges, such as your Charity Navigator ranking, to boost donor trust.
When it comes time to check out, donors will clearly see the option to cover fees and can do so at their discretion.
Plus, Donorbox’s industry-leading security standards keep your donors’ data safe and sound.
If you’re ready to look for an alternative to Zeffy, you’ve come to the right place. In this section, we’ll detail the differences between Zeffy and Donorbox to see which comes out on top.
With Donorbox, you get a powerful fundraising platform designed to empower your nonprofit with innovative tools, features, and transparent pricing. See what Donorbox users have to say:
While Zeffy has an overall rating of 4.9/5 stars on G2 and 4.5/5 stars on Trustpilot, some of their reviews show issues with their optional tipping program. Take a look at these real customer complaints:
“Our members are confused by the prepopulated donation to Zeffy. Zeffy doesn’t make it clear that someone can change their donation amount to Zeffy. We lost some contributions/members due to this feature.” – Annette
“I recently made two contributions to an NFP using Zeffy-$300 and $200. The site advertised that the NFP would get 100% of my contribution. When I received my credit card bill, the amount charged was $344.95 and $221.95. I was not asked to make a “voluntary” contribution to Zeffy to ensure that the NFP received my full donation. I would have done so had I been asked. But not asking and sneaking it onto my credit card bill is criminal.” – Richard
“They charge 17% to the consumer to run a credit card. That is against Visa/MC rules and regulations – since they are a Payfac they get away with it. I refuse to donate to my favorite charity because they use Zeffy. 17% of the donation goes to them. I am calling the non-profit to let them know they are missing out on donations. 3 or 4% is acceptable to charge the consumer—I’m all for that. Zeffy is a horrible company to do that to charities.” – Jrm
Zeffy users receive pushback from their donors for the steep tipping and lack of transparency.
Now that we’ve looked at a Zeffy alternative, let’s look at Zeffy’s pros and cons to see which fundraising platform is the best choice for your organization.
Pros:
Cons:
Free isn’t always free. Investing in your organization and your donors’ trust will create lasting value for your cause. Fiscal health starts with responsible donor interactions – and you should partner with a fundraising platform that supports you with no hidden fees or donor confusion.
Over 100,000 organizations have trusted Donorbox to help them raise a collective $3 billion with responsive, donor-centric tools that protect you every step of the way. With transparent pricing, powerful and user-friendly tools, and comprehensive resources, we’re here to help you help others.
For more fundraising tips, check out the rest of our Nonprofit Blog. Subscribe to our newsletter to receive the best of the blog in your inbox every month.
Lindsey spent years wearing many hats in the nonprofit world. Whether she was helping arts nonprofits with their messaging and content, planning a fundraising gala, writing an NEA grant proposal, or running a membership program with over 400 members, she learned how to navigate – and appreciate! – the fast-paced world of fundraising. Now, she loves sharing those hard-earned lessons with the Donorbox community.
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