Direct Debit is the most valuable type of donation over a year, says Bacs
Howard Lake | 25 October 2013 | News
The average amount given to charity over a year by Direct Debit is worth substantially more than the average amounts given by the other top six most popular methods in the UK.
The figures are based on research by Bacs Payment Schemes Ltd, the organisation behind Direct Debit in the UK. Its Bacs’ Family Finance Tracker looked at the charitable giving habits of 902 adults aged 16 or over in Great Britain. It found that 64% (582 adults) had made one or more charity donation during the past 12 months.
Most popular methods of giving
The most popular methods of giving reported by donors were:
- Put money in a collection tin: 48%
- Sponsored someone: 32%
- An ongoing direct debit: 20%
- Given money through social events: 14%
- An occasional donation by debit card or credit card: 13%
- Sent an occasional cheque by post/given a cheque in person: 12%
- An ongoing standing order: 6%
- Made a donation by text: 6%
- Through a giving network: 5%
- Joined a charity as a member: 4%
Highest value methods over a year
The average amount donated by each method in the past 12 months yields a different order:
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- An ongoing direct debit: £181
- An occasional donation by debit card or credit card: £118
- Joined a charity as a member: £101
- Sent an occasional cheque by post/given a cheque in person: £94
- Given money through social events: £64
- An ongoing standing order: £57
- Through a giving network: £46
- Sponsored someone: £38
- Put money in a collection tin: £20
- Made a donation by text: £15
Bacs’ charity sector specialist Graham Callaghan is urging charities to use Direct Debits to maximise the amount they raise from donors.
He said: “Encouraging people to sign-up to Direct Debit could increase levels of giving, but it also makes it cheaper and more efficient for charities to process these payments, so it really is win-win.
“The potential for increasing these benefits across the sector is significant and we can provide support to organisations in offering Direct Debit as a preferred payment option”.
Photo: direct debit by Eelnosiva on Shutterstock.com
About Howard Lake
Howard Lake is consultant editor of UK Fundraising. He founded the site in 1994 and successfully sold it in 2022. As director of Giving X Ltd he is exploring growing giving on a massive scale.
He is the founder of Fundraising Camp and co-founder of GoodJobs.