PayPal vs. Zelle – Best payment platform for nonprofits (2026)

PayPal VS Zelle

PayPal VS Zelle: What nonprofits should know before choosing.

Payment processing Features

Payments processing

0% Processing / Transaction Fee

ACH / Bank Transfers

Credit / Debit Card Acceptance

Digital Wallets (Apple Pay, Google Pay)

International Payments

Fraud Detection

Built in Fundraising Tools (Tickets, Auctions, Forms. etc.)

PCI Compliance

Pricing

N/A.

Card fees add up per gift

$0.

No fees, but bank may charge

Processing fees

1.99% + $0.49.

fixed fee per transaction (for confirmed/eligible charities). International transactions add 1.50%. For charities using specific services: Payments Pro: 1.99% + fixed fee, Virtual Terminal: 2.69% + fixed fee, Advanced Credit/Debit Card Payments: 2.19% + fixed fee. Non-confirmed charity donations: 2.89% + $0.49 fixed fee.

$0.

No transaction fees

Platform fees

$0.

No platform fees

$0.

No platform fees

Monthly fees

$5.00/month.

Starting at $5.00/month for Payments Advanced plan

$0.

No monthly fees

Value for money

4.5.

N/A.

Features

4.5/5.

Powerful but needs add-ons. Requires separate tools for memberships, ticketing, and donor management.

N/A.

Basic transfers only. No donation features, recurring payments, or nonprofit tools built in.

Donations

Accept donations with PayPal's standard payment processing, but fees apply to every transaction

Zelle allows person-to-person transfers but lacks donation-specific features like donor management, receipts, or recurring giving options.

Ticketing

Process ticket payments through PayPal checkout, though you'll need separate ticketing software

Zelle doesn't offer event ticketing capabilities. You'd need separate ticketing software and manual payment coordination for events.

Peer-to-Peer Fundraising

Enable supporters to collect funds through PayPal, though setup requires technical knowledge

Zelle enables basic peer-to-peer transfers but lacks fundraising campaign tools, progress tracking, or donor engagement features.

Auctions

Process auction payments through PayPal, but you'll need separate auction management software

Zelle doesn't support auction functionality. You'd need separate auction software and manual processes to collect payments from winning bidders.

Raffles

Handle raffle payments via PayPal, but you'll need additional tools to manage entries and drawings

Zelle doesn't support raffle ticket sales or winner selection. You'd need separate raffle management tools and manual payment collection.

Online store

Integrate PayPal checkout into your existing online store or website for product sales

Zelle doesn't offer e-commerce capabilities. You'd need a separate online store platform and manual payment coordination.

Memberships

PayPal doesn't offer built-in membership management. You'll need separate software to track member data, renewal dates, and payment history.

Zelle doesn't offer membership management tools. You'd need separate software to track member payments and renewals.

Donor Management/CRM

Basic transaction records only. No donor profiles, giving history tracking, or relationship management features for building lasting connections.

Zelle provides basic transaction history but no donor profiles, giving tracking, or relationship management features.

Emails & Newsletter

No email marketing tools included. You'll need to integrate with third-party services like Mailchimp or Constant Contact for donor communications.

Zelle has no email marketing capabilities. You'd need additional tools to communicate with donors and send newsletters.

Payment Processing

Accepts credit cards, debit cards, and PayPal accounts. Charges 2.9% + $0.30 per transaction plus additional fees for nonprofits.

Accepts credit cards, debit cards, and PayPal accounts. Charges 2.9% + $0.30 per transaction plus additional fees for nonprofits.

Payment methods

Credit cards and digital wallets only. No ACH or in-person payments

Bank transfers only. No cards, digital wallets, or in-person options

Credit Card Payments

Supported - Accepts Visa, Mastercard, American Express, and Discover with transaction fees

Not supported - Zelle doesn't process credit card payments, only bank transfers

Apple Pay & Google Pay

Supported - Processes Apple Pay and Google Pay payments through their checkout system

Not supported - Zelle operates independently from digital wallet services

ACH / Bank Transfers

Not supported - PayPal focuses on card payments and PayPal account transfers, not ACH bank transfers

Not supported - Zelle only handles bank-to-bank transfers, not ACH processing for organizations

Tap to Pay App

Not supported - PayPal doesn't offer a dedicated tap-to-pay mobile app for nonprofits

Not supported - Zelle doesn't offer in-person payment solutions or tap-to-pay functionality

Customer Support

4.5/5.

N/A.

Unlimited Support

PayPal offers tiered support based on account type and transaction volume

Zelle's support is limited and handled through your bank, not directly

Phone Support / Office Hours

PayPal provides phone support during standard business hours for eligible accounts

Zelle doesn't provide direct phone support - you contact your bank instead

Webinars

PayPal offers occasional educational webinars for business users

Zelle doesn't offer webinars or training sessions for nonprofit organizations

Help Center

PayPal maintains a comprehensive help center with articles and FAQs

Zelle offers basic help articles and FAQs through their support center

PayPal provides live chat support during business hours

Zelle provides live chat support through participating banks and credit unions

Nonprofit-Focused Support Team

Support built for businesses, not nonprofits — access varies by account type and transaction volume

No direct support — all help goes through your bank, not designed for nonprofit needs

Zeffy is 100% free, always.

Calculate savings

How is Zeffy free?

Why Zeffy over PayPal and Zelle?

Why choose Zeffy over PayPal and Zelle if you're a nonprofit

💯

Keep 100% of your donations instead of paying payment processor fees

PayPal and Zelle charge fees or rely on bank charges that eat into every donation. Zeffy charges zero fees, so donors can give their full intended amount to your cause.

🧰

Get complete fundraising tools, not just basic payment transfers

PayPal and Zelle require separate software for raffles, auctions, and donor management. Zeffy includes everything you need to run campaigns and build relationships in one place.

📞

Access real support when you need it, not bank runarounds

PayPal limits support by account type, while Zelle makes you contact your bank for help. Zeffy provides direct support to help you succeed with your fundraising goals.

Frequently asked questions

Why should nonprofits choose Zeffy over PayPal for donations?

PayPal charges 2.9% + $0.30 per transaction, which means less money reaches your cause. Zeffy is 100% free for nonprofits - no transaction fees, no monthly costs, no hidden charges. Your donors can also leave a voluntary contribution to support our platform.

How does Zeffy compare to Zelle for nonprofit fundraising?

Zelle only handles basic bank transfers without donation receipts, donor tracking, or fundraising tools. Zeffy provides complete donation management with automated receipts, donor profiles, and campaign tracking - all at zero cost to your organization.

What makes Zeffy different from other payment processors?

Unlike PayPal and other processors that charge fees on every donation, Zeffy is completely free for nonprofits. We also include built-in fundraising tools, donor management, and automated tax receipts that payment processors don't offer.

How does Zeffy save nonprofits money compared to PayPal and Zelle?

PayPal charges 2.9% + $0.30 per donation, eating into your mission funds. Zelle requires separate tools for receipts and donor tracking. Zeffy gives you everything free - donation processing, automated receipts, and donor management with zero fees.

Can Zeffy handle all our donation needs unlike basic payment processors?

Payment processors like PayPal only handle transactions. Zeffy includes donor profiles, automated tax receipts, campaign tracking, and recurring giving tools. You get a complete fundraising platform, not just payment processing.

Looking for a better option?

Zeffy was built for nonprofits like yours

focus on what matters

Built for small teams with big missions.

Zeffy is the fundraising platform that cuts out the fees, clears up your tech mess, and puts your cause first — so your team, even if you're a small team wearing many hats or a one-person show, can focus on what really matters.

Start your nonprofit

ZERO-FEE

Keep 100% of every dollar.

No platform fees. No processing fees. No catch. We know it sounds too good to be true, but it's not. Every penny goes straight to your mission, while competitors take 2-3% off every donation.

Start your nonprofit

ALL-IN-ONE PLatform

Ditch the tech mess.

Stop bouncing between MailChimp, Eventbrite, and all those spreadsheets. Now you can handle donations, ticket sales, memberships, raffles, and all your donor info in one spot.

Start your nonprofit

plug-and-play

Get going, fast.

Built for teams like yours — whether you're volunteer-led or have limited staff. Set up donation forms, sell tickets, and launch campaigns without needing a tech wizard. It's super easy, and you'll be up and running in minutes.

Start your nonprofit

mobile-first

Fundraise from every device, anywhere.

From QR codes on flyers to Tap-to-Pay on a phone, Zeffy makes it easy to accept donations on the go. Mobile-optimized and offline-ready, so no donor slips through the cracks.

Start your nonprofit

No turnover

Never lose a donor to volunteer transition.

Centralize supporter relationships, automate thank-you messages, and preserve institutional knowledge when board members rotate out.

Start your nonprofit

100% free forever.

100,000+ nonprofits trust Zeffy — and keep their fees at $0.

For 7+ years, Zeffy has supported nonprofits with free, user-friendly fundraising tools.

As a startup nonprofit with only two members, and no funding (yet) we’d need something with low (or no) fees. Zeffy was a dream come true.

Masey, Loose Ends.

Read the full story

“We were incurring a ton of fees for our past fundraising platform and Zeffy has helped us receive so much more of our donations.”

Zeffy has been invaluable in helping me track our donors, sales, events, and revenue in one spot. The coolest thing about Zeffy is it really is free!

Everything about Zeffy suits us starting with (of course, NO fees) but also the ease of use and customer experience as well as their client support!!

Zeffy is very easy to use and ensures that every dollar quickly gets into our account.. A huge help to our work!

Zeffy is very simple, allows for a lot of customization and seamlessly integrates into our website. The fact that all of this is free is still wild to me.

We couldn't believe there was a free payment platform for our Girl Scout group. Zeffy took ZERO fees from us, which is huge when you run on very small amounts of money.

We were ready to sell tickets in less than 30 minutes. The reporting capabilities were better than some other paid-for sites.

Since using Zeffy, our conversion rate of donations has skyrocketed. It's an easy platform to use. Plus customer support has always been responsive and helpful!