The preferred method to bulk delete/remove contacts from Luminate Online and LCRM is to use the data loader in Salesforce/LCRM to perform two operations. The first operation is to set the active checkbox on the constituent records in LCRM to unchecked. This makes an API call out to LO, and performs the removal/inactivation on the LO side. Then, after removing the records in LO using the first data load, you can make a second data load to delete the records in LCRM.

Please note that any contact records that have donations under them will need to have the donations deleted before the contact record can be deleted. You can also do bulk deletions of donation records using the data loader. One method to identify the donations that need deleted in order to perform the bulk deletion of contact records would be using a custom field on the contact records which need deleted to help find the donations associated with them.

You can add a custom checkbox field to the contact record layout in LCRM, and name it something like "records to be deleted." After creating the checkbox on the contact record you could then use the data loader to check that checkbox on the contacts you wish to delete. Then you can create a donations report in LCRM with a filter looking for contacts with the "records to be deleted" checkbox marked. This will allow you to find all of the donations that would need to be deleted before you can successfully delete the contact records in LCRM.

To setup your data load for un-marking the active checkbox, at a minimum you will need columns in your .csv file for the contact ID you are updating and the field you are updating. Here is an example:
 
Contact IDActive
0030000000ABcDeFalse

How to use the data loader

How to delete records using the data loader

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The Data Loader is a Salesforce.com tool, and as such, they are the best resource for any questions you may have on using their tool. Salesforce can be reached via web or phone using the information provided below:

Web: https://help.salesforce.com/HTUnauthContactSupport
Phone: 1- 415-901-7010