Merchant Account for a Nonprofit
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Nonprofits take donations and event payments by card, and providers treat fundraising differently from ordinary sales. This page summarizes what Visa, Stripe and Square publish. It does not promise approval, and it is not legal advice.
Nothing on this page is an approval or a guarantee. Each provider decides on its own whether to open an account and on what terms, and it can change its policies at any time.
What Visa calls this business
Visa assigns each merchant a four-digit category code. This is Visa’s own wording, from its Merchant Data Standards Manual (April 2026).
MCC 8398: Charitable Social Service Organizations
Merchants classified with this MCC are non-political fund-raising organizations engaged in soliciting charitable donations/contributions on behalf of organizations engaged in social welfare services, or social service organizations engaged in social welfare services. This MCC also includes crowd funding Merchants that accept donations on behalf of individuals raising money for various causes without receiving any perceived or actual financial benefit for doing so.
Source: PDF page 109.
MCC 8661: Religious Organizations
Merchants classified with this MCC are religious organizations that provide worship services, religious training or study, or religious activities.
Source: PDF page 109.
Search all merchant category codes
What Stripe publishes
Stripe's restricted-business list names fundraising specifically.
Stripe lists organizations fundraising for a charitable purpose as supported in Australia, Canada, the United Kingdom and the United States, and lists charity sweepstakes and raffles as supported in the United States and several other countries.
Stripe: Prohibited and Restricted Businesses (updated 2026-09-22)· Checked 2026-10-15
Stripe says businesses in its restricted categories need extra due diligence, such as proof of licenses or more detail on the business model, and that even then Stripe might not approve the business and can modify or revoke approval at any time.
Stripe: Prohibited and Restricted Businesses (updated 2026-09-22)· Checked 2026-10-15
What Square publishes
Square's payment terms list taking donations as unsupported for certain non-profits.
Square’s payment terms list businesses it does not support, including direct marketing or subscription offers or services, internet, mail order or telephone order sales of age-restricted products such as tobacco, and taking donations if you are a non-profit that regularly does business in California or holds property for charitable purposes there. They also say you may not use Square if you are connected to a business that sells illegal goods, giving cannabis as an example.
Square Payment Terms (section 3, unsupported industries)· Checked 2026-10-15
Disputes on donations
The CFPB tells cardholders to contact the seller first, then ask the card company about a dispute (sometimes called a chargeback), and to send a billing error notice within 60 days of the charge appearing on the statement.
CFPB: How can I get a refund on a product or service I purchased with my credit card?· Checked 2026-10-15
Visa says cardholders must be able to recognize your name on their statements, and tells merchants to check with their acquirer that the doing-business-as name, city and state are correct.
Visa: Dispute Management Guidelines for Visa Merchants (June 2024)· Checked 2026-10-15
Questions to ask a provider before you apply
These are questions, not claims about any provider. Get the answers in writing.
- Does the provider support charitable fundraising in your state, and does it have its own rate for nonprofits? Check its pricing page; we do not state a nonprofit rate for any provider.
- Are recurring donations supported, and how are cancellations handled?
- What documents do you need, such as your IRS determination letter or state registration?
- Does the provider restrict raffles or sweepstakes you run for fundraising?
- What is the dispute process if a donor challenges a gift?
Frequently asked questions
Can a nonprofit get a merchant account?
Many providers serve nonprofits, but each decides on its own and may restrict some fundraising activities. Square’s payment terms, for example, list taking donations as unsupported for non-profits that regularly do business in California or hold property for charitable purposes there.
What are the Visa codes for nonprofits?
Visa lists MCC 8398 for charitable and social service organizations and MCC 8661 for religious organizations.
Do nonprofits get lower processing rates?
Some providers advertise nonprofit pricing, but we have not verified a published nonprofit rate for the providers we compare, so we do not state one.
Sources for this page
- Stripe: Prohibited and Restricted Businesses (updated 2026-09-22) (Checked 2026-10-15)
- Square Payment Terms (section 3, unsupported industries) (Checked 2026-10-15)
- CFPB: How can I get a refund on a product or service I purchased with my credit card? (Checked 2026-10-15)
- Visa: Dispute Management Guidelines for Visa Merchants (June 2024) (Checked 2026-10-15)
- Visa Merchant Data Standards Manual (April 2026), Section 2: Merchant Category Code Listing (Checked 2026-10-15)