GoFundMe Faces Scrutiny Over Fees During California Wildfire Fundraisers

A Los Angeles official criticized the platform's fee structure, prompting a clarification from GoFundMe about its transaction costs and tipping system.

• Los Angeles County Supervisor Kathryn Barger criticized GoFundMe during a press conference, claiming she was charged $95 in fees for a $500 donation to wildfire victims.
• GoFundMe clarified that its mandatory transaction fee is 2.9% plus $0.30 per donation, which would amount to less than $15 for a $500 contribution.
• The platform also includes an optional tipping system to support its operations, which may have caused confusion about the total cost of donations.
• GoFundMe stated that it relies on voluntary tips to fund its services, as it does not charge platform fees to organizers of personal fundraising campaigns.
• The criticism highlights the financial strain on California residents as wildfires continue to devastate communities, displacing thousands and destroying homes.

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