View Full Version : JustGiving - not as charitable as it seems???
16th Aug 2012, 19:04
We last year set up a JustGiving Account to raise funds for our local Maternity Hospital in memory of our Daughter who was sadly still-born last May.
Whilst in contact with the Hospital (Mrs TWJ is thankfully once again up-the-duff - Whoop Whoop); we asked how our donations were looking to be spent. We wanted this not inconsiderable sum (over GBP5K) to be spent on the Maternity Bereavement suite.
Amazingly, the Hospital Charity had no visibility of this money; and it wasn't until they visited our JG site that the reason for this was elicited. Apparently, the nominated Charities do not see a penny of the online donations until the campaign is closed....and the online default time period for a campaign to run is 5 Years! My Account is running until 2016 unless I pro-actively close it, so Addenbrookes Rosie Maternity will see nothing until then; and JG will see compounded interest of 10 per cent at the very least over that period.
Whilst I think that the concept of JG without doubt makes charitable donations easier, and perhaps when I set up the Account my mind wasn't in the right place to understand small-print; I have a nagging feeling that this grey area is a bit of a con which needs to be addressed.
Is this the way in which JG works, or am I wrong? They do take a fair percentage of all donated funds to cover their costs; and I can live with that. Holding on to donated funds by default for 5 years is a bit beyond the pale if true.
Hoping you can prove me wrong
16th Aug 2012, 21:03
What percentage do they take ? I have donated via this site before , but thought it was simply an internet "gateway", not a business taking a rake-off.
16th Aug 2012, 21:09
I've been involved with a couple of charities which use JG for donations. Obviously a pound donated is not a pound for the charity, since there are costs to cover, but I've never got a clear answer with regard to the costs as my involvement has not been at that level. I've just accepted that the costs were kept to a minimum.
What twinjetter has outlined, if the facts are as stated (and there is no reason to assume he is wrong) is appalling. This is something that possibly needs to be taken up by a consumer body such as Which?, or the Money Saving Expert.
and JG will see compounded interest of 10 per cent at the very least over that period
Really? I wish I could get that on my UK money!
16th Aug 2012, 21:10
I don't wish to appear unfeeling, but I think the site is right to set a default - if you don't close the appeal, wouldn't it then run forever?
You close it - money goes to the charity. Seems simple
16th Aug 2012, 21:16
JustGiving charges a 5% fee on donations to cover the cost of running the business.
As a for-profit organisation this fee may be used in any way the company deems necessary.
The fee does not include card processing fees, which are deducted additionally.
85% of donations through the site are eligible for Gift Aid tax relief and the fees are deducted only once the claim has been settled by HMRC.
In addition, each charity is charged a £15 monthly membership fee, regardless of whether any donations are made.
In justifying their 5% fee, JustGiving states that profits are reinvested in new tools.
From (and more at):- Justgiving - Wikipedia, the free encyclopedia (http://en.wikipedia.org/wiki/Justgiving#Administration_Fee)
16th Aug 2012, 21:25
JustGiving notwithstanding, and since it hasn't been mentioned yet, I'm sure I can speak for all of us in offering condolences for the loss of your precious daughter.
16th Aug 2012, 21:44
I really don't want to turn this into a general JG Bash - in all honesty without them there's no way we could've got anywhere near £5k relying on word of mouth and posted cheques etc; but I just think that IF true, holding on to all funds until a very distant closure date is a bit sharp.
Mr Chips - I agree a default closure point is valid; I was just under the perhaps misguided assumption that when funds were donated, they filtered straight through to the charity.
Tableview ;) - I'm not too clear on Interest rates; wish I had sufficient savings to be more interested! I was guessing at a 5 year total interest rate being compound 10% on initial investment??
Thanks 11fan - they were bad times (the worst); but we just have to keep on keeping on. We look back with happy memories of how it brought out the best in people (friends, colleagues and strangers - restored our faith in mankind etc). We're being shown around the new Mat Hospital extension next month to see where we'd like to see our £££ spent; hoping to be able to name a room "The Georgina Room" in her memory. Looking forward to a day or two back there in a couple of months there when Mrs TWJ is due to drop:)
17th Aug 2012, 11:53
When i set up a donating page for the charity i am involved in, i did a lot of research of these giving sites and found that you can actually get one through bt.
They do it as part of their community programme and you only pay a small fee (pennies) per transaction and the money is transfered to the charity weekly.
take a look at https://mydonate.bt.com/ it may be helpful in the future
22nd Aug 2012, 11:44
My name is Helen and I work in the community team at JustGiving.
Iím sorry to hear youíve had problems specifying how the money youíve raised is spent and hope I can help resolve the problem.
To clarify, when a donation is made through JustGiving, we pass this on to the charity within days. We then reclaim the Gift Aid from HMRC on the charities behalf and pass this on within weeks. We send donations to the charity as and when theyíre made so the charity receives a regular and steady flow of income, rather than a large lump sum after big fundraising events like the London Marathon. Once the donations have gone into the charityís bank account, itís up to them how and when they administer it to the projects or appeals it is earmarked for. In this case the charity may have chosen to wait until the appeal was complete to administer the funds.
If it would help, I will happily put you in touch with someone at the charity who handles their JustGiving account and will be able to clarify when the money was received in this case. You can email me directly at helen@<hidden>.
Here's some more information if you would like to find out more about how JustGiving works and our fees (http://www.justgiving.com/en/how-justgiving-works).
I hope this helps, If you have any other questions, please donít hesitate to get in touch.