The boom of immediate transactions through mobile platforms continues. From 2019 to the present, transfers and mobile payments remain the most used tools when settling a debt. The rise of smartphone payment versions is expected to continue for the rest of the years.
In advancing times, churches are also looking to join online payment services to receive tithes, donations, and gifts from their parishioners. Among all the payment options available, Venmo is among the favorites, thanks to the fact that it is secure, reliable, and used within the United States.
What are the advantages and disadvantages of using Venmo for your church transactions?
Venmo is a P2P application that allows users to send or receive money from mobile payments. Similar to Paypal or Cash App, this platform facilitates all banking processes and sends money immediately. This main idea makes the app a favorite for churches that want to start digitizing their economy.
As Venmo is one of the most requested apps, we list the advantages and disadvantages you should know before using Venmo.
Advantages
Some of the most notable advantages are:
- It’s a popular platform: Venmo is the fourth most downloaded and used P2P application in the United States and the seventh most downloaded globally. Many of your friends and family members likely have the platform.
- It’s free: Downloading and using the application is free.
- It’s secure: Venmo is committed to the security of its customers. All user data is protected and encrypted.
Disadvantages
Some of the disadvantages of Venmo are as follows:
- High fees: If a person donates using a credit card, the church loses 3% of the donation. It is considered to have high costs for its use
- No recurring donations: Venmo does not have the option of regular contributions, as PayPal does, whose function is to configure the application to donate regularly -you set the deadline- to certain non-profit organizations. This way, you don’t forget to donate. But it does it automatically. By not having this alternative, interested parties must do the whole process manually
- It does not work with other platforms: Venmo is not compatible with other platforms
Can I use Venmo for churches?
After knowing all the advantages and disadvantages of Venmo, it is valid to ask how to use Venmo for churches? Or if it is the right application to digitize a church’s finances. The answer is no. Unlike PayPal, which does have an option to be a platform that supports donations among its payment methods, created Venmo for non-profit organizations.
By not having a “recurring donations” option and donor reports, the app is not suited to function under this system. Venmo functions more like a personal wallet. One of the ways to collaborate with the church and its members is for the pastor to create an account and receive donations that parishioners wish to give.