Your Facebook feed will soon be flooded with people asking for money

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Your Facebook feed will soon be flooded with people asking for money
Image Credit: Facebook
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If you’re tired of reading about people’s problems on Facebook, brace yourself…

The social media giant just announced a new feature called Personal Fundraisers — a tool that allows users to raise money through the platform for a specific, personal cause.

Facebook first got into the fundraising game in 2016, when it gave pages the ability to feature a “Donate” button during a Facebook Live even that allows users to donate money directly through the platform to a verified non-profit organization. The site has also added several other “help” tools to better connect users around the globe — including a safety check-in function that allows people in areas hit by disasters or other emergency situations to notify loved ones that they’re safe.

Facebook launches Personal Fundraiser feature for individual users

With more than 1 billion users, Facebook has a unique power to connect the world in ways in which no other company or website could ever compete.

So as personal fundraising sites have become a more widely accepted and increasingly popular way for individuals to raise money, Facebook is jumping in.

Over the next few weeks, the new personal fundraiser feature will first roll out in the U.S., with six “critical financial need” categories available to people age 18 and older. During the initial testing period, each fundraiser will require a 24-hour review process, which the company says it hopes to automate in the future.

By starting with only six specific categories, Facebook hopes to avoid potential problems with fraud that tend to occur on other crowdfunding platforms.

“As we learn more, we hope to expand our categories and automate more of the review process,” Naomi Gleit, Facebook’s VP of Social Good, said in a statement.

How the fundraiser tool will work

According to Facebook, “personal fundraisers will have a 6.9% + $.30 fee, that will go to payment processing fees, fundraiser vetting, security and fraud protection.”

The company says its goal is “to create a platform for good that’s sustainable over the long-term, and not to make a profit from our charitable giving tools,” Gleit said.

Any individual 18 or older can start a personal fundraiser — as long as the goal is to collect money that will cover costs related to one of these six categories:

  • Education: such as tuition, books or classroom supplies.
  • Medical: such as medical procedures, treatments or injuries.
  • Pet Medical: such as veterinary procedures, treatments or injuries.
  • Crisis Relief: such as public crises or natural disasters.
  • Personal Emergency: such as a house fire, theft or car accident.
  • Funeral and Loss: such as burial expenses or living costs after losing a loved one.

When it comes to any new feature, there’s one thing Facebook always has in mind — keeping users on Facebook — with the company’s latest tool being no exception.

Over the past few years, the social media giant has rolled out a variety of innovative features within the platform — aimed at keeping people in the platform — including a recently added job posting/search tool, as well as a Craigslist-like marketplace feature that allows users to buy and sell items in their local area.

Here’s a look at how the new fundraiser feature will work.

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Alex Thomas Sadler About the author:
Alex Thomas Sadler is the Managing Editor of Clark.com and Clark Howard Digital Products. Alex is also the host of Common Cents, a new Clark.com series that makes money simple, so you can better understand and take control of your own financial life. Alex graduated from the University of Georgia with bachelor's degrees in ...Read more
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