ON-LINE GIVINGOVERVIEWJuly 2013

Overview: On-Line Giving• Provides convenient electronic giving options for

more than 10,000 religious and non-profit organizations

• Allows members to have their one-time or recurring gifts transferred electronically from a checking/savings account or credit/debit card to the church’s bank account

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Vanco Services, LLC• This is the vendor selected to provide the services to

the church• Provides electronic payment and donation solutions

for over 17,000 organizations in a variety of markets nationwide

• Delivers secure and reliable processing for both recurring and one-time transactions

• Has 20+ years of experience in Automated Clearing House (ACH) processing, cash management and risk management

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Overview: How It Works• Members register on-line through the organization’s

web-site indicating the donation type (i.e. tithe, building fund, etc.), duration (i.e. weekly, monthly, etc.) and amount

• Each time a donation is scheduled, Vanco executes the transaction as instructed and sends the fulfillment request to Wells Fargo

• Wells Fargo completes the order, transferring the money from the member’s acct to FMBC’s bank acct

• The church receives a confirmation that the giving occurred, as well as access to giving reports

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Overview: On-Line Giving Benefits+ Provides churches with more financial stability via

consistent giving patterns (reduces seasonal variations)

+ Helps members manage their giving more efficiently

+ Reduce time spent tallying donations and preparing deposits

+ Reduce handling of checks and cash in the office

+ Appeals to a range of congregation members

+ Improved reporting and auditing (for church and members)

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The PilotPurpose:

• Assess actual experience with Vanco On-Line Services (e.g. convenience, security, customer service, etc.)

• Confirm benefits as promoted• Determine operational and financial integration

requirements assuming we expand to the entire congregation

Parameters:• Small group of volunteer members• Track pilot for 3-4 months• Budget ~$300 (cover participants’ costs)

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The Pilot (cont.)

• Began: August 2012

• Number of members participating: 12

• Participants: Trustees, deacons, etc.

• Giving frequency: Varied (one-time, weekly, etc.)

• Giving amounts: Varied

• Total Funds received since inception: $15,560

• Total Cost to operate Pilot: $255

Pilot Feedback

“The feature I like best is the ease of

signing up”

“Best part is the frequency in which

the deposits can be set up”

“I will be glad to continue….assuming

this continues”

“I love the online giving capability!”

“Takes the hassle out of tithing”

“It takes the thinking out of giving -- no need to worry about

envelopes, checks, cash, etc.”

Pilot Lessons Learned

1. Easy to register and setup as a user if you are relatively tech savvy….

2. ….but need to ensure setup assistance is available for members that are not tech savvy

3. Various types of training is required for users

4. Levels of support are required to deal with requests, issues, etc.

5. Vanco website works as it should -- easily accessible to make any changes

Income and Cost Analysis

Supporting the congregation

Assumptions –•Appx. 550 families attend FMBC•Average contribution per family: $30/week•Giving method split between Credit Cards (20%) and Automate Clearing House (80%)

Num (%) of Participating

Families

AnticipatedIncome(annual)

Associated Fees

(annual)

100 (18%) $156,000 $2,850

200 (36%) $312,000 $4,860

275 (50%) $429,000 $6,995

Summary• Pilot successful - realized the benefits

as promoted

• Feedback validates the user experience

• Financial case is very compelling

• BOT voted to extend the On-Line services to the entire congregation and cover the costs of the services

• Shared pilot results and BOT decision with the Joint Board

Next Steps• Rollout program to the entire

congregation• Target the July timeframe for the

church-wide launch

THANK YOU !

APPENDIX

Customer Experience Notes• Progressive Missionary Baptist Church

• Customer of Vanco for 2 ½ years• Very satisfied with their experience; reported no problems• Achieved consistent giving patterns (reduce seasonal donation

slumps)• Audit and reporting benefits were valuable• Easy to setup and use• Member participation rate is 20 - 30%

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Integrating with Standard Giving

How On-Line giving is integrated with standard giving?

1. Daily, weekly, monthly reports obtained from Vanco

2. Review Vanco reports

3. Review Trustee counting record

4. Merge giving of sources and add to weekly spreadsheet by

giving category

5. Enter envelops and Vanco giving details in Power Church

Security & Risks Compliance• SAS 70 Audit (standards developed by the American

Institute of Certified Accountants )• Completed an in-depth audit of their control activities

• Payment Card Industry (PCI) Data Security Assessment• Level 1 Compliant Service Provider (highest level)• Conducts quarterly external penetration test of its systems

• Includes: servers, firewalls, applications, routers, encryption, privilege management, protecting stored data, tracking system access, etc.

• Has the necessary methods, procedures, personnel and technologies in place

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Security & Risks Compliance (cont)

• Disaster Recovery• Conducted by Vanco’s IT department on a quarterly basis at their

redundant data centers (Minnetonka and St. Paul)

• System Security• Maintains an Information Security Policy and a Computer Security

Incident Response Plan

• Data Encryption• Uses encryption techniques (128-bit) such as Secure Sockets

Layer (SSL), Point-to-Point Tunneling Protocol (PPTP), and Internet Protocol Security (IPSEC) to safeguard data during transmission

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Security & Risks Compliance (cont)

• Risk Management• Hold meetings to analyze threats and vulnerability to systems • Implements appropriate countermeasures

• Hold annual Risk Assessment meeting to discuss the organizations’ Risk Management Plan for the upcoming year

• Employee Security Requirements• Sign Confidentiality & Non-Disclosure Agreement• Attend quarterly compliance meetings that include a review of the

Employee Information Security Policy and Confidentiality & Non-Disclosure Agreement

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