How Does Give Now, Pay Later Work?
If you’ve been shopping online recently, you’ve seen the option to pay only part of the cost of your goods up front and split the payment into four, interest free, portions. Klarna, Afterpay, Affirm, Apple’s Pay Later – buy now pay later (BNPL) is everywhere. Luckily for donors and the values and causes they’d like to support through philanthropy, Givzey, the first AI-enabled financial technology company, offers a revolutionary Give Now Pay Later solution.
What is Give Now, Pay Later?
Give Now, Pay Later (GNPL) is as simple as it sounds. Rather than a donor feeling the wallet hit of their full donation today, it is spread out over four equal payments, without interest. However, the nonprofit receives the gift in-full and immediately, through the first of its kind fintech solution, Givzey.
Why is GNPL Important?
As a whole, online giving shot up more than 12% since the COVID pandemic, largely using online payment technology that’s been around for 30 years. And, 28% of donors plan to make their gifts online in the future. Especially as new generations of donors like Zoomers and millennials, who grew up in the wake of the financial crisis, are cautious of credit cards, and keep a close eye on the actual cash they have in the bank, people seek payment and giving options that fit with their reality of the economy.
If we look to what’s happening in online retail, these consumers have latched onto GNPL solutions as the “the only way they can afford their purchases,” according to the Federal Reserve Bank. BNPL transactions will grow 77.3% this year alone and surpass $100 billion before 2025. In fact, a recent industry survey revealed that the majority of donors are willing to give more, and give more often, if they can make their gift in installments.
Donors with similar flexible giving options as consumers will be empowered to put their money where their values are.
Is GNPL Safe?
There’s a big difference between Give Now Pay Later and Buy Now Pay Later. Unlike, BNPL solutions, which take from merchants, Givzey, the first GNPL for donors does not take a percentage of a gift/transaction from a nonprofit. Rather, nonprofits purchase a low-cost Givzey subscription, similar to how they buy other software.
How does Give Now Pay Later Look for Donors?
Similar to any other online checkout, Givzey’s Give Now Pay Later solution offers donors a simple, flexible, and transparent option to make an immediate and major impact to their favorite causes and nonprofit organizations. A donor’s payment is split into four equal and interest-free installments, and the nonprofit receives the full gift immediately, courtesy of Givzey.
Learn more about Givzey, the first Give Now, Pay Later solution that gives your donors a smarter way to make their gifts.