Canadian credit card companies should waive fees on Haiti donations

OTTAWA – As a massive relief effort gets underway in earthquake-ravaged Haiti, Canadians across the country are opening their wallets and donating what they can to relief organizations through their websites and crisis hotlines.

What these generous citizens may not realize is that only 97 per cent of these donations will actually make it to organizations like the Canadian Red Cross or Oxfam - the other 3 percent will be skimmed off by banks and credit card companies to cover their “transaction costs.”

“It is completely disgusting that banks and credit card companies are making huge profits off of people’s charitable donations,” said New Democrat consumer protection Critic Glenn Thibeault (Sudbury). “The fact that they may take in millions more in times of crisis is downright deplorable.”

Capital One is the sole credit card provider which, through its “No Hassle Giving Site,” waives all transaction costs for holders of its Visa or MasterCard cards. Every cent of each donation goes to the cardholder’s chosen charity.

“Canadian credit card companies should follow Capital One's lead,” said Thibeault. “No one should profit from those who are suffering through a natural disaster.”