London fintech startup launches platform to “save charities billions”
A new London fintech with ambitions to “revolutionise the payment system for charities and fundraising platforms” has launched this month.
London-based payments startup Banked has created a system which aims to save charities money that is normally spent on processing fees.
The fintech firm has developed automated technology that allows them to charge a 0.1 per cent payment processing fee for every donation given, compared with upwards of 2 per cent charged by mainstream charity fundraising platforms.
Brad Goodall, Banked CEO, explained: “When we donate to our favourite charity, or support a friend or family member fundraising for a cause, we only think about the £10 we’re ‘giving to charity’ and rarely consider the percentage lost to card processing fees.
“On a small scale, it doesn’t seem like much, but when you consider that the UK donates £10 bn to charity every year, the value of donations lost is huge.”
“Charity platforms play an important role and do amazing work above and beyond just taking the payment. They need to be supported with a modern payment network that removes the inefficiencies that cause large fees.
“At Banked, we want to revolutionise the payment system for charities and fundraising platforms by virtually eliminating processing fees, so that far more money can go to the actual causes. We are immensely proud to have already partnered with HEROES, which is doing amazing work to support the NHS at this difficult time.”
Dr Dominic Pimenta, HEROES co-founder, added: “At HEROES we are constantly humbled and inspired by the generosity of individuals and organisations during this national health crisis.
“We couldn’t operate as we are today without the support of Banked, who have enabled us to take real-time payments, and removed the transaction fee (which can be close to 2.9 per cent) meaning we can get more critical funds to the frontline NHS, and fast.”
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