We are pleased to announce that as a result of our work on the new Payment Processing techniques as well as the support of our partners, we are dropping the processing fee rate on donations. The rate is dependent on the payment processing mechanism set up as well as whether the race is a charitable organization. Effective Thursday, July 2, the new rate will be:
- 4% for Qualified Charitable organizations with Advanced Payment set up
- 4.8% for all others.
So a $50 race fee with a $25 donation ($75 total transaction) would be calculated with a processing fee of $3.00 (6%) for the race and $1.00 (4%) for the donation.
Note there is no per transaction charge for donation only transactions – so a $1 donation would have a processing fee of just $0.04 (4% of the donation amount only, and yes, we are losing money on that type of transaction).
Note also that the way we calculate the processing fee when in combination with the race fee changes when under $50 total. As an example if there is a race fee of $25 and there is a $5 donation fee with that equals a transaction of $30. Under the updated calculation schedule the processing fee for the race alone at $25 is $2.50, and the processing fee for the donation is $0.20 for a total processing fee of $2.70. Since the average race fee and donation amounts for RunSignUp transactions are $42 and $14, for a total transaction of $56, the average transaction total above $50 means there is no difference in processing fees with the new calculation schedule. The $25/5 transaction does result in a higher processing fee than our previous calculations, but when taking into account the dramatic savings on stand alone donations (28% of transactions) and over $50 transaction totals (the higher the donation amount, the bigger the savings) there is an overall drop of 10% in processing fees.