Mobile Giving Update

Mobile donations to nonprofits have been stymied in the United States — hampered by the high fees charged for text message gifts that are then billed to a mobile-phone customer.

When a donor gives to a nonprofit via text, more than half of the contribution goes to the telephone carrier, leaving less than 50 percent to the nonprofit — an unacceptable margin for most charities. Combined with low donation caps — no more than $5 per SMS (text message) with a total of five SMS for a $25 donation — and other charges for short codes and mobile vendors, nonprofits have determined that mobile giving is not worth it.