I strongly recommend against using the donation service that DreamHost suggests.
I used it for close to two years and it was fine - covered all my costs and I had $200 credit balance pre-paid.
But one donor whom I don't know apparently did a paypal charge-back of his $20 donation.
I received a very nasty message from DreamHost, saying they were deducting the $20 and charging me an additional $50 fee. They also said: "If your account is not settled in one week your account will be disabled on the basis of fraudulent charges and non-payment."
When I asked why I was being accused of fraud when I did nothing wrong, and non-payment with a $200 credit balance (or how I could "settle it"), it took a week for them to respond.
They finally admitted that it was probably a donor who did the chargeback and I had done nothing wrong. Three days later, my account was disabled.
It took them a full day to respond to my frantic requests for information on why it had been disabled. Then all they would say was it was due to that charge-back from the donor, and they were going to restore my account, but they required me to promise that I wouldn't use their donor system any more.
One charge-back from an unknown donor using the system that DreamHost promotes and suddenly DreamHost customer service staff starts calling good customers nasty names for no reason and messes up their account.
I've been happy with DreamHost for two years, but this experience was appalling.
If all it takes is one donor you don't know to dispute their credit card charges, I don't know if the donation system is worth it.