DonorDrive, an EngageSmart solution and creator of an advanced enterprise digital fundraising solution, has announced a collaboration with Chariot, the creator of Donor Advised Fund (DAF) payments solution DAFpay️. This collaboration will allow DonorDrive clients to accept DAF payments online through their existing DonorDrive donation forms. The new feature is expected to be available in the DonorDrive platform at the end of January 2024.
According to Giving USA, individual giving experienced a 6.4% year-over-year decline in 2022. However, the National Philanthropic Trust found that Donor Advised Fund giving grew 9.1% in their 2023 DAF Report. This, coupled with the fact that the average DAF gift is $4,798, makes Donor Advised Funds a key focus for fundraising teams. The 2023 DAF report also revealed that in 2022, donors gave $52 billion from DAFs, yet $229 billion is still held in these charitable savings accounts waiting to be donated to qualified 501(c)(3) organizations. Accepting DAF gifts directly in online giving forms offers nonprofit organizations an opportunity to reach a wider demographic of highly generous donors and make giving as convenient as possible for them.
Many DonorDrive clients already accept DAF gifts, but processing these donations is tedious and time-consuming for both internal staff and donors. With DAFpay️ by Chariot, donors can grant directly from their DAF account to a nonprofit’s DonorDrive fundraising campaign or event. The benefiting organization will receive immediate access to details including the gift amount, donation status, and the donor’s contact information in the DonorDrive platform. This simplifies the process for nonprofits and helps drive donor retention. Additionally, the organization will receive all these DAF gifts electronically, saving meaningful staff time while reducing the risk of lost or stolen checks.
DAFpay️ will be an available payment option for all DonorDrive donation experiences, including DonorDrive’s newly released Embedded Donation Forms. In addition to DAFpay️, DonorDrive offers a variety of donor payment options, including all major credit cards, multi-currency, ACH, and digital wallet options like PayPal, Apple Pay, and Venmo.
Kasey Cuppoletti, Senior Vice President, Product at DonorDrive, stated, “Across the philanthropy industry, nonprofits are searching for expanded and creative ways to increase funds raised as individual giving declines significantly. At DonorDrive, we’re constantly looking for innovative ways to help our clients combat those trends and acquire more donors. Through our collaboration with Chariot, Donor Advised Funds provide a great opportunity for our clients to increase revenue, reduce friction in the donation process, and improve efficiency for their internal teams.”