The Covid-19 pandemic has increased the urgency of ensuring Gift Aid donations can be more accessible via cashless payments.
Two financial technology (FinTech) firms have linked up with the aim of making it easier for charities to receive Gift Aid via contactless donations.
Currently those making a donation using Gift Aid are required to fill out a form. It is estimated that charities lose around £560m a year due to unclaimed Gift Aid.
Automating Gift Aid via cashless donations is also especially important during the Covid-19 pandemic, to avoid handling cash.
Through the partnership, once a consumer has used one of Thyngs contactless donations points they are asked to link their card using Fidel’s secure software. They can give consent for all transactions made with that card to be monitored. Then when a transaction is made that qualifies for Gift Aid the consumer is automatically notified and they can choose to approve the donation.
“The current pandemic has amplified the urgency to reach out with our immediate and sustainable fundraising solutions,” said Thyngs Chief Executive Officer Dr Neil Garner.
“Partnering with Fidel to pilot this hands-free solution could ease the burden, and help consumers to continue to support the causes they care about from home.”
Fidel Chief Executive Officer Dev Subrata added: “This partnership will provide another tangible solution to charities that will really help to do some good. Increasing Gift Aid donations by even a few per cent will result in a huge increase in revenue right when charities are struggling with donations.
“This is exactly the type of value we want to create in the Fintech ecosystem and we’re delighted to partner with Thyngs to make it happen.”
Earlier this month Thyngs announced a partnership with payroll and donation management organisation the Charities Trust to boost smartphone giving.