Cancellations of charity direct-debit donations soar

LONDON - Cancellations of direct-debit payments to charities has rocketed, according to a report by payment processor firm Rapidata.

Cancellations of charity direct-debit donations soar

The company's Charity Direct Debit Tracking Report 2009 shows that the number of people cancelling their direct debits each month has substantially increased as the recession has deepened.

In December there were 67% more cancellations of direct debits than for the average pre-recession December.

The financial year 2008-2009 also saw monthly cancellation rates exceed 5% on four separate occasions; July, September, October and January.

Scott Gray, managing director of Rapidata, says that in these troubled times charities need to shift away from an emphasis on acquiring new donors to looking after current donors.

The report also offered recommendations to win back cancelled donors, including offering alternatives to cancellation, such as giving at a lower level or taking a payment holiday. It also suggested charities ensure that donors can reactivate their payment easily and securely through their website.

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