Visa/MC merchant location/code for charity contribution via PayPal

Garrry
New Community Member

I want to make a few charitable contributions before year end to smaller charities that take PayPal.  I'm wondering how PayPal will classify the merchant code of the contributions when posting the transaction to a credit card company.  I am looking to take advantage of the 5% cash back for charitable contributions offered thru the CHASE Freedom card.

 

Does anyone know how if PayPal codes gifts to charitable and social service organizations as such?  Or would it be depend on the non-profit or 50c3 to which the donation is made?

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1 REPLY 1

PayPal_Frank
Administrator
Administrator

Hi Garrry,

 

Welcome to the community! 🙂

 

We do use merchant category codes so any certified 501c3 nonprofit using PayPal will be reported under the appropriate code.

 

There is a possibility that an organization using PayPal may not properly identify themselves as a nonprofit.  For example, if they identified themselves as a T-shirt seller when all their T-shirt sales go to charity, it's possible that the code wouldn't reflect them as a non profit but as a T-shirt merchant.  I would expect this situation to be rare.

 

I can assure you that any organization listed in our Nonprofit directory will have the correct classification and merchant code.  See https://www.paypal-donations.com/  for our Nonprofit directory.

 

Your charitable contributions are greatly appreciated! 🙂  Thanks for using PayPal!

 

- Frank

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