Donor FAQ
Honest answers for thoughtful donors
If you have ever donated on a crowdfunding platform and wondered how much actually reached the family, why you were charged again next month, or where your 80G receipt went — this page is for you. We answer plainly, cite our sources so you can verify everything yourself, and show you exactly how MadadSetu is built differently.
MadadSetu doesn’t run donation “campaigns.” Your donation becomes a named health insurance policy for a verified low-income family — issued in their own name, before an emergency, not after it.
Fees: how much of my donation actually reaches the cause?
Does MadadSetu take a cut of my donation like other crowdfunding platforms?
No. 100% of your donation reaches MadadSetu’s charitable trust — the 3% platform fee is charged separately by our technology partner and never comes out of your donation. The trust then deploys those funds toward families’ health insurance and emergency medical needs under fully audited, government-compliant rules. By contrast, Indian crowdfunding platforms advertise a “0% platform fee,”67 yet funds raised are still reduced by payment-gateway charges, GST and other operational costs — and donors have publicly reported total deductions as high as ~26.6% of the amount raised.5 You can verify both claims at the sources below.
Why do crowdfunding platforms say “0% platform fee” but donors still see money missing?
Because “platform fee” and “total deductions” are not the same thing. The 0% headline6 refers only to the platform’s own commission. Separate charges — payment processing, GST, and in some cases advertising and operational costs — are still applied to the funds a campaign raises.57MadadSetu removes this confusion entirely: there is no campaign pool to skim from. Your money buys one thing — a policy in a family’s name.
What is MadadSetu's 3% fee, then?
It is a technology/processing fee charged directly by our tech partner through a separate payment gateway, so it never touches the charitable trust or your donation. This dual-gateway split is also why the trust carries no TDS liability on platform fees. Your ₹500 is your share of a family’s ₹15,000 annual cover.
Monthly giving: will I get trapped in an auto-debit “SIP”?
Do I have to start a monthly SIP or auto-debit to donate?
No. MadadSetu does not run auto-debit subscriptions, and we will not cold-call you to start a monthly plan. Your contribution is a single, one-time act that funds a full year of cover for a family. Several crowdfunding donors report the opposite experience — repeated calls after donating, pressuring them to begin a monthly SIP.34
I was charged by a crowdfunding platform without remembering subscribing — how do I stop it?
This is common enough that one major platform’s own help centre documents the case of a card “charged without permission” for a plan the donor doesn’t remember starting,1 and publishes separate instructions for cancelling a subscription or requesting a refund.2 If you are trying to stop a recurring donation, log in to that platform, open My Donations, and cancel the SIP there.2 With MadadSetu there is nothing to cancel — there is no recurring debit in the first place.
Is one-time giving really better than a monthly SIP?
For you, it means full control and no surprise charges. For the family, a one-time donation already buys a full yearof health cover — so recurring debits aren’t needed to deliver protection. You give once; a family is protected for twelve months.
Trust: where does my money actually go?
We get it — why do people feel regular crowdfunding platforms aren't reliable?
Because as an ordinary person, the one thing you can do is give — and when you watch part of your gift get eaten by fees and deductions before it reaches anyone, it stings. That’s the trust gap. MadadSetu closes it: 100% of your donation reaches the charitable trust and becomes a named health insurance policy for a real family. And that matters because when a medical emergency hits an uninsured family, they pour in a lifetime of savings, sell what little they own, or fall into debt that follows them for years. A policy in their own name absorbs that blow instead— so your one contribution doesn’t just help for a moment, it protects everything they’ve built.
How do I know my donation reached a real person?
Because it becomes a policy with a person’s name on it. Your money follows a logged, audited trail: you → MadadSetu’s registered public charitable trust → Samavesh (an IRDAI-registered insurance broker) → a family-floater policy in the beneficiary’s own name. Every step is recorded and published in our annual transparency report. No cash ever changes hands. Crowdfunding, by design, ends in a campaign payout you cannot personally verify — a gap industry observers have called the sector’s core “trust test.”10
Are crowdfunding platforms genuine? Should I stop trusting them?
Established platforms are legally operating with verification processes, and many genuine causes are funded through them. But genuineness of the platform is not the same as certainty about an individual campaign — which is exactly why donors keep asking “is this real?” on public forums.45 Questions also arise about what happens to funds in edge cases, such as when a patient dies before treatment.11 MadadSetu removes the per-campaign guesswork: the outcome of your gift is a verifiable insurance policy, not a fundraising target.
Is MadadSetu itself legally registered and safe?
Yes. MadadSetu is a public charitable trust registered under the Indian Trusts Act, 1882, with a board of trustees, fully audited accounts and 80G certification. Insurance is placed only through an IRDAI-registered broker, no cash is ever disbursed, and beneficiary data is encrypted and stored within India in line with the DPDP Act.
80G & tax: will I actually get my receipt?
Will I get an 80G tax receipt, and how long does it take?
Yes — automatically. Every MadadSetu donation generates a valid 80G receipt, filed with the Income Tax Department through Form 10BD. You don’t have to chase it. On crowdfunding platforms, donors frequently don’t receive an 80G receipt: it is only available if the campaign shows a tax-benefit banner, and only if you submit PAN and address details in time;8 some platforms note receipts can take around 30 days,8 and others explain donors may receive a receipt from the platform’s own foundation rather than the NGO they chose.9
Why didn't I get an 80G receipt for my last crowdfunding donation?
Most likely the campaign wasn’t 80G-eligible (no tax-benefit banner), or PAN/address wasn’t submitted within the platform’s deadline.8 Under Section 80G, only donations to qualifying registered entities are deductible, and the receipt must carry the correct details.12 MadadSetu is structured so that an eligible, correctly-filed 80G receipt is issued for every donation by default.
Can NRIs donate and claim tax benefits?
Yes, NRIs can donate. 80G benefits apply against tax payable in India, so if you have Indian taxable income you can claim the deduction using your auto-issued receipt.12 (Confirm foreign-contribution/FCRA applicability with the trust’s compliance advisor before relying on this for overseas funds.)
MadadSetu vs typical crowdfunding — the honest comparison
They are donation campaign platforms; MadadSetu is donation-funded insurance.
| What matters to you | Typical crowdfunding platform | MadadSetu |
|---|---|---|
| What your money becomes | A contribution to a campaign target | A named health insurance policy for a family |
| Deductions from your gift | 0% “platform fee,” but gateway, GST & other costs apply | 0% from your donation; 3% tech fee charged separately |
| Recurring charges | Monthly SIP / auto-debit promoted; cancellation needed | None — one-time giving, no auto-debit |
| Proof it reached someone | Campaign payout you can't personally verify | Policy number in the beneficiary's own name |
| 80G receipt | Conditional; can be delayed ~30 days | Auto-issued via Form 10BD |
| Timing of help | After the emergency, when funds are raised | Before the emergency — cover already in place |
Crowdfunding platforms are legitimate, widely-used services; the points above are sourced and reflect a different model, not an accusation of wrongdoing.
Sources — verify everything yourself
- 1.Platform help centre — “card charged without permission for a plan I don’t remember subscribing to.” View source ↗
- 2.Platform support — “cancelling or requesting a refund.” View source ↗
- 3.Donor reviews — Trustpilot. View source ↗
- 4.Donor discussion — “is this platform genuine?” (Quora). View source ↗
- 5.Donor discussion — credibility & total deductions (DesiDime). View source ↗
- 6.“Platforms waive off platform fee; introduce 0% fundraising fee.” — Madhyamam. View source ↗
- 7.Platform — plans & pricing. View source ↗
- 8.Platform FAQ — “is my donation eligible for 80G tax exemption?” (tax-benefit banner; ~30-day receipt). View source ↗
- 9.Platform help centre — “why did I receive an 80G receipt from the platform’s foundation instead of the NGO I chose?” View source ↗
- 10.“India’s online crowdfunding startups face a trust test.” — Inc42. View source ↗
- 11.“Crowdfunding: what happens to the money when a patient dies?” — Business Standard. View source ↗
- 12.“Section 80G and 80GGA deductions.” — ClearTax. View source ↗
Turn one donation into a year of protection.
Your ₹500 is your share of a family’s ₹15,000 annual health cover — in their name, with an 80G receipt issued automatically.
Donate now →