By partnering with My Well Ministry, most nonprofits save up to 50% compared to their current processor.
You work at a nonprofit. You have a mission and a vision to change the world, but that vision takes money. Every time a person makes an online donation, a payment processing company takes a 2.9% cut out of the money intended for your mission. Some say that's the cost of doing business. We understand that mindset, but we believe it can be different.
Industry Standard Pricing Model
Before we get to My Well's pricing, we want to inform you about two of the most popular pricing models in the payments industry.
Interchange Plus Pricing
The first and most widely used fee structure in the payment industry is Interchange Plus Pricing. PushPay and Kindrid are examples of companies that use this model. Interchange is the collection of 400+ base fees set by the primary credit card payment networks: Visa, Mastercard, Discover, and American Express.
Interchange is the base fee, and then companies charge basis points to earn a profit. One basis point equals 1/100 of a percent or .0001. For example, Interchange+100 basis points or Interchange+30 basis points. Let's say that a payment processor is charging you 2.9%. If the average effective interchange rate is 1.75%, then you are paying 1.15% (115 basis points) in addition to the interchange rate.
As your processing volume increases, the number of basis points you pay decreases. Using Interchange Plus Pricing is the only way you can can get the most savings as possible, by negotiating down the number of basis points added to the base interchange rate.
Another option that is gaining popularity due to it's simplicity is aggregate pricing. Stripe and PayPal are two companies that use this model. Rather than worry about the massive number of interchange rates, businesses get charged a single rate on every transaction.
While this is certainly simple and easy to understand, most organizations don't realize they're drastically overpaying for credit card pricing. With aggregate pricing, if your processed volume increases, your rate stays fixed, meaning that your processing fees will always increase proportionately to your processed volume.
My Well's Pricing Model
My Well Ministry's processing partner, Transnational Payments, operates on an Interchange Plus Pricing model.
With My Well Ministry, you will always get Interchange Plus Zero. Put simply, we don't profit on any of the money processed.
The average effective rate we see across all of our organizations is 1.75%. So, if you're currently paying 2.9% for credit card processing with another company, you would instantly save 40% by partnering with My Well Ministry.
It's easy to look at these small percentages and breeze right past, so let's make this more tangible. If you currently process $250,000 annually at 2.9%, you would pay $7,250 each year in fees. With My Well Ministry, $250,000 at 1.75%, you would only pay $4,375 annually in fees. That's nearly $3,000 of savings that goes back into your ministry every single year.
Other processing companies may offer reduced percentage rates, like 2.3% or Interchange Plus Pricing with lower basis points, but no one else has opted to not profit on any of the payments processed.
Note: If you have any specific questions or would like more information about My Well Ministry, please connect with us!