We recently became aware of what appears to be an issue related to the new Online Form Platform Fee introduced July 1, 2026.
When a donor selects a recurring gift and chooses to cover fees, the first recurring donation includes the new one-time Online Form Platform Fee, which is expected. However, it appears the donor's recurring amount may be set based on that higher initial transaction amount, creating an overcollection on future gifts.
Example:
- Donor intends to give: $10 recurring
- Donor elects to cover fees
- First transaction:
- Donation: $10.00
- Fees charged: $0.83 (includes the one-time platform fee)
- Total charged: $10.83
- Subsequent recurring transaction:
- Actual fees: $0.68
- Total still charged: $10.83
- Result: $0.15 more collected than needed
This creates a situation where the donor's original giving intent of $10 plus covered fees is not being honored on future recurring installments. Instead, the recurring charge appears to remain at the elevated amount established during the first transaction, even though the one-time platform fee no longer applies.
Has anyone else experienced this? Can Blackbaud confirm whether this is expected behavior or a defect in the fee-cover calculation for recurring gifts? If expected, how should organizations explain the overcollection to donors, since the additional amount is no longer being used to offset actual processing costs?
We are concerned about donor transparency and ensuring recurring donors are charged only the amount necessary to cover the applicable fees for each transaction.
Thank you.
