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> Nothing forces Patreon to take a cut for each and every donation, let alone such a hefty fee. Payment processors do. Donorbox [0], which the author switched
by Sebb767 4y ago
> Nothing forces Patreon to take a cut for each and every donation, let alone such a hefty fee.
Payment processors do. Donorbox [0], which the author switched to, states their pricing. For 1$, you'll pay ~32p (Stripe)/ ~51p (PayPal) for the payment processor, so 32%-51%. For 5$, you'll pay ~40p (Stripe) or 59p (PayPal), so still 8%-12%.
This is without Patreon/Donorbox having made a single dollar yet, but they do need to pay people to set up payment, their platform and support. Also, they want to make profit, since they're not a charity, after all.
[0] https://donorbox.org/pricing https://donorbox.org/pricing
- Dylan16807 4y agoPaypal lets you do micropayment charges for 5 cents plus 5%, and I've seen other services claim to have similar numbers.
- mgkimsal 4y agoYears ago I ran a service with multiple charge points, and had 2 PayPal accounts. When the payment was under... ~$5, I'd use the micropayment account, and fallback to the 'regular' account for prices over that. I realized I was in some violation of terms with PP, but was never caught. I wasn't doing quite enough transactions to probably hit their radar, and my chargebacks were non-existent, so I was probably lucky.