Our payment service provider, Stripe, charges an industry-standard card processing fee of 2.9% + $0.30 on each transaction.
As an example, if you win two items with $100 bids, this is what the organization will receive after all fees have been taken into account:
| Line item | Amount |
|---|---|
| Winning bid on item 1 | $100.00 |
| Winning bid on item 2 | $100.00 |
| Subtotal | $200.00 |
| Stripe fee | $6.10 |
| Total received | $193.90 |
For each auction, we give you an opportunity on the bidding page to opt in to covering the cost of this fee so that the organization will receive the full value of your winning bids.
To do this, we calculate the donation amount that would result in the organization receiving 100% of your bid value. The formula for calculating this amount is outlined here. If you opt in, we will charge your card for a donation in this amount when the auction ends and payment is collected.
Applying this to the example above:
| Line item | Amount |
|---|---|
| Winning bid on item 1 | $100.00 |
| Winning bid on item 2 | $100.00 |
| Fee offset donation | $6.28 |
| Subtotal | $206.28 |
| Stripe fee | $6.28 |
| Total received | $200.00 |
A note on how we group payments
When an auction ends, we create one charge per credit card. If you placed all your winning bids on the same card, only one charge will be created. If you placed some winning bids on one card and others on another card, two charges will be created: one per card. This helps us reduce the Stripe fee.