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How is Zeffy free?
How is Zeffy free?
Zeffy relies entirely on optional contributions from donors. At the payment confirmation step - we ask donors to leave an optional contribution to Zeffy.
PayPal might be a convenientpayment processing software, but it’s cutting into your donation. Every transaction chips away at your nonprofit’s impact, which is a big deal for small, budget-tight organizations where every dollar counts.
For every $25 donation, PayPal takes nearly $1 in fees. If you raise $500 with 20 donors giving $25 each, that means you’d only see around $480 in your bank account.
The truth is that PayPal’s fees (even with the nonprofit discount of 1.99% + $0.49 per transaction) eat into mission-critical dollars. And yet, many nonprofits stick with it for their fundraising efforts simply because “it’s what everyone uses.”
You shouldn’t have to choose between easy online payment processing and saving money. This guide introduces PayPal alternatives to streamline fundraising, including the only zero-fee fundraising tools and payment processing (Zeffy) that makes sure small nonprofits see every cent they earn.
Why Zeffy Is the Best PayPal Alternative for Nonprofits (And Not Just Because It’s Free)
Most nonprofits think fees are unavoidable, or don’t know that there are alternatives to PayPal because it’s well-known. We want to help you see what your team deserves and make sure every penny of a donation made to your mission does exactly that.
Zeffy’s payment processor and fundraising platform isn’t just another option, it’s a true upgrade from PayPal for nonprofits. Don’t let the zero-fee structure fool you– this tool is the opposite of settling for cheap software.
Zero-fee and nonprofit-first
“With PayPal, $50 donations became $48 — the fees added up fast. Switching to Zeffy saved us nearly $2,000 this year alone. That covered 9 therapy grants for autistic children. Zeffy let us embed donation forms for free, and our Giving Tuesday results jumped from $3,000 to $18,000. Total game changer.”
Zeffy was designed from the ground up for nonprofits who want to maximize impact without sacrificing donor experience and remains 100% free because we understand how hard you work to attract donors, fundraise, and turn that money into real impact.
Zeffy features nonprofits love
From credit cards, checks, Apple Pay, and Google Pay – Zeffy accepts all payment types.
Why PayPal Alternatives Support the Way You Accept Payments
Whether you’re ready to go zero-fee or want to explore some other payment processing options to see what’s out there, we’ll help you explore PayPal alternatives in depth. By looking at them side by side and hearing real user feedback you can feel confident that your payment processor is working for you, and not against you.
Disadvantages that nonprofits face with PayPal
Customer support is automated and not tailored to the specific needs of nonprofit organizations.
Tax receipts are not automatically generated, requiring additional clerical work and manual effort from the nonprofit staff.
Donor management features are limited, with access to only basic transaction history and no advanced tools for donor engagement.
Customization options for donation forms are minimal, restricting the ability to showcase brand assets and set custom donation amounts.
Fundraising features are basic, allowing only an online donation button without support for ticket sales, raffles, or peer-to-peer fundraising campaigns.
- 2.2% + $0.30 per transaction (If you process at least 80% of your donations through Stripe)
- In-person transactions through Stripe Checkout start at $10/month
Google Pay
- IAccepts 25 currencies
- Easy to install and use
- No clear pricing structure for nonprofits, especially to receive international payments
Venmo
- QR codes & fast transfers
- Instant transfer fee: 1.75% of the amount transferred (min $0.25, max $25)
- Credit card transfer fee: 3% of the amount transferred
- Check deposit fee: 1-5% of check amount (min $5)
Apple Pay
- Autofill for fast, seamless giving
- Compatible with Touch ID, Face ID, and Apple Watch
- Free for donors who use Apple devices
Cash App
- Quick transfers with shareable QR codes and cashtags
- 3% per credit card transaction
- 0.5% - 1.75% per instant deposit
- Square makes it easy to set up and manage recurring donations
- Secure and user-friendly donation process for supporters
- Real-time reporting with itemized donations for better financial tracking
- Advanced features require a paid subscription
- Overall costs are relatively high
- Some users find that Square does not offer enough functionalities to meet their needs
“My org loves using Square Payments because as a nonprofit organization, we make a lot of our funding through fundraising events. Having a mobile option to accept payments on the spot is absolutely massive for us to get the funding for our scholarship program and beyond.” — Sarah B.
Stripe: Best Payment Processing Tool with Fraud Protection
What Users Like
What Users Dislike
Ratings
- Quick payouts for donations
- Supports various cards
- Ability to receive international payments
- Good support documentation and live chat assistance
- High level of customization
- Discounted rates are still high and take away from donations
- Discounted rate not applicable to non-donation income, which could increase overall costs
- Complex setup and usage for new users or those without technical assistance
“We like the service and the ease of using Stripe. It's simple for us to create an invoice and email it to our customers. We have liked the option of when we receive a payment deposited into our account right away. Their customer service has always been helpful and answered our questions.” — Jeffrey.
Zeffy uses Stripe to process nonprofit donations securely while covering all transaction fees for your organization. That means you get the payment processing experience without the cost.
- Accepts 25 currencies, which makes it useful for international donors
- Easy to install and use on websites for donation collection
- Lack of clear pricing structure for nonprofits
- Unclear cost for international donations, which could potentially involve higher fees
- G2 Rating: 4.6
- Capterra Ratings: 4.6
Customer Review
“Keeping track of contracts and budgets is difficult for anyone, especially for any nonprofit organization. Google Pay (formerly known as Google Wallet) helps to streamline online payments for your financial operations department. It's easy enough to use the platform that team members can be cross-trained on the system fairly quickly.” — Sara Yaseen
Nonprofits on Zeffy's platform can effortlessly accept donations via Google Pay across all their online donation forms. Zeffy automatically integrates Google Pay, ensuring a seamless giving experience for donors. Zeffy handles all transaction costs, allowing organizations to receive the donated amount without deductions.
- Simple donation process
- Unique and shareable Venmo QR codes
- Free to use for standard transfers and payments made through your bank account or debit card
- Acts as a social sharing platform, encouraging donors to support a cause
- Various fees can be confusing and add up
- Requires donors to have a Venmo account
- G2 Rating: 4.5
- Capterra Ratings: 4.7
Customer Review
"Venmo allows us to better engage with our members by allowing them to purchase swag, renew their membership, and donate quickly and easily. I have yet to run into a significant issue because the support staff has been wonderful.” — Andrew A.
Apple Pay: Best for Apple Device Donors for Quick and Secure Payments
What Users Like
What Users Dislike
Ratings
- Auto-fills all information on the nonprofit donation page
- Contactless payments with Touch ID, Face ID, or by double-clicking on the Apple Watch
- You can add multiple bank accounts
- Limited to users on Apple devices, potentially excluding donors who use other platforms
Cash App: Best for Quick Transactions and Flexible Donation Options
What Users Like
What Users Dislike
Ratings
- Quick transfers with shareable QR codes and cashtags
- Fees can be high and deduct from fundraising totals
- Requires donors to have an account
- G2 Rating: 4.3
- Capterra Ratings: 4.3
Customer Review
“I would like to list more than one debit card and checking account so I don't have to switch back and forth so often, it's very difficult to switch over sometimes especially if I am in a hurry.” — Verified Reviewer
What to Consider When Choosing a PayPal Alternative for Donations
A good PayPal alternative should support your nonprofit by offering services without requiring a fee, so more of your donated funds benefit your cause directly. Here are some features to consider that will help you pick the best online payment processing solution:
1. Simple System to Process Donations
Choose a platform with a user-friendly interface that makes it easy for donors to give through online and mobile payments, and quickly in person. The process should be straightforward and quick, with minimal steps to donate.
You can think of creative ways to accept transactions online, such as payment links, QR codes to send money instantly, and a prepaid card, often associated with mobile payment processors and apps.
A simple system helps reduce donor drop-offs and increase successful donations.
2. Mobile Responsiveness
Many donors prefer to give on the go using their mobile devices. A mobile-friendly donation page ensures your supporters can easily contribute, regardless of their device. Opt for payment solutions that offer a seamless mobile giving experience, with a clean layout and easy-to-tap buttons, to maximize donations from mobile users.
3. Zero fee donations
Zeffy’s 2025 Donor Behavior & Giving Trends Research Survey found that 40% of donors said they walked away because they didn’t feel their donation was used effectively, didn’t know where it went, or were turned off by high platform fees. Any time a processing fee takes away from their impact, donor trust and retention is at risk.
Zeffy allows your nonprofit to collect free online and in-person donations. Our innovative model maximizes your nonprofit's impact by allowing you to receive 100% of every pledged donation.
4. Donor Management
Streamlined donor management is essential for nonprofits, especially if you’re building your community. Choose a payment processing platform with tools to capture donor data, track giving history, and generate reports.
This will help you better understand your donors, personalize your outreach, and cultivate strong relationships that lead to long-term support.
Your donation page should look like an extension of your nonprofit's brand. Pick a platform that lets you customize your pages with your logo, colors, and messaging. This builds trust with donors and creates a smoother giving experience that keeps supporters returning.
6. On-Demand Support
Any hiccups or delays when processing donations can be costly and frankly, small nonprofits and lean teams don’t have time to wait for answers. Choose a payment gateway with a dedicated support team that understands nonprofits' unique needs.
Access to knowledgeable, responsive support ensures that your donation process runs smoothly and that you can focus on your mission. This is especially important if you plan to accept international payments and rely on currency conversion or processing fees from an outside bank account.
Which PayPal Alternative Should You Use?
PayPal is one of the well-known ways to collect online and mobile payments, but nonprofits deserve tools that get them and don’t take away from their donations. Nonprofits require features like peer-to-peer fundraising, donor management, and recurring donations, and every cent taken in fees can take away from potential impact.
This is where Zeffy comes in as the best and only free alternative for nonprofits. Turning to Zeffy means your cause gets 100% of the donation. Experience fully automated payment processing with Zeffy!
Yes! Zeffy is proudly powered by Stripe, the gold standard in secure online payments.
Stripe handles the secure processing of every donation made through Zeffy, so you get enterprise-grade payment protection with none of the fees. Zeffy absorbs 100% of Stripe’s processing costs — meaning your nonprofit keeps every dollar donated.
Both Stripe and PayPal are secure, but many nonprofits and businesses consider Stripe the safer and more donor-friendly choice. Here’s why:
Modern fraud protection: Stripe uses advanced AI and machine learning to detect and block fraudulent transactions in real time.
Enterprise-grade security: Stripe is trusted by major platforms like Amazon, Google, and Shopify.
If you want smooth donations, stronger fraud protection, and zero fees, you can use Zeffy to grab Stripe’s security without the cost.
Stripe for nonprofits is one of PayPal's biggest competitors. It is a way to accept mobile payments with features like recurring and in-person payments.
Small businesses and organizations may also look at a merchant account using:
Shopify payments
Quickbooks payments
Payoneer account
Amazon Pay
For nonprofits, Zeffy is the strongest competitor to PayPal because of it’s fundraising features and zero-fee cost structure so every donation goes where it’s meant to (and not lost to fees).
Venmo, a mobile payment service owned by PayPal since 2013, makes it easy for users to send and receive money through linked bank accounts. With Venmo, people can transfer funds quickly by scanning a barcode on their phone.
Nonprofits can use Venmo to accept donations by setting up charity profiles. This way, donors can give money straight to the organization's account using their mobile phones, making the process simpler and more convenient for supporters.
Compare Zeffy (100% free) with these payment processors for donations.
Yes, donors can set up monthly or other recurring payments. Charitable organizations can forecast and budget based on regular donation sources. Donors also benefit from the convenience of automating their contributions, ensuring consistent support for the causes they care about without having to remember to make individual donations each time.
Yes, PayPal has owned Venmo (established in 2008) since 2013, making it a leader in digital payments and tools that support online business. Venmo is a peer-to-peer payment app that allows users to send and receive money from friends and family easily. It also has a social feed that shows completed transactions, adding a unique social aspect to the platform.
Yes, the best 100% free Paypal alternatives is Zeffy for nonprofits. Zeffy is an online donation platform offering a user-friendly experience for nonprofits and donors, committed to removing any cost that would cut into your fundraising totals.
Yes, some platforms do charge credit card processing monthly fees for donations and payment processors like PayPal require them. However, this doesn’t have to be the case.
Zero-fee fundraising with Zeffy removes the burden of fees from your nonprofit so when you raise $50, you get $50.
Yes, you will use a bank account to add funds to your PayPal account and designate a location for any funds received through the payment processor. A debit card or designated account is also the case for many other online payment systems and PayPal alternatives.
Zelle is another way to accept payments that offers convenient money transfers from one bank account to another with instant deposit. Zelle can collect donations for nonprofits, but may lack fundraising features and functionality to support large-scale campaigns.
