Fundraising: A fundraiser that uses the Internet for order or sales of product where PTA will receive a percentage of the sales needs the same approvals that all fundraisers require. See Standards for Fundraising.
Online payment collection systems designed for business use (i.e., PayPal, Square, merchant account) are an approved method of collecting revenue. Authorized expenses may be paid from this type of account as long as all PTA financial policies and procedures as followed. A separate bank account (with account signers as listed in the minutes) is recommended but not required to restrict Internet access into the general checking account. Use of this account should be limited to online payment collections and online payment of expenses. An “Authorization to Transfer Funds Between Accounts” form must be used to transfer funds from the online/Internet account into the general checking account. An Authorization for Payment Via EFT/ACH/Bank Bill Pay Services signed by two authorized check signers must be completed for all payments. All revenue must be accounted for and reported in the monthly treasurer’s reports. Online payment collection system accounts require separate financial reviews if they do not automatically deposit to the main checking account.
Raffles may be advertised on your website but you may not collect payment for tickets online. The Attorney General requires that raffle tickets be only sold in person.
Cyber Liability Insurance Coverage is recommended to protect against possible losses due to the use of online payment collection systems.
Person-to-person payment apps are not designed for business use and are not protected by FDIC insurance and bank-level security features and therefore should not be used by PTAs. Banking apps that can be connected directly to a PTA bank account with no personal account used as a guarantor or pass through service are acceptable alternatives.
