Sickness beneficiary Sheena Bell (26), of Dunedin, said her 6-year-old mastiff-cross Demon was trapped inside a Cromwell house when it caught fire in 2011.
The fire started when a puppy called Sultan chewed through a charging cellphone and set a couch on fire, she said.
A friend saw the fire and kicked open a door, calling the dogs' names, and Demon ran out on fire.
Demon was doused with water from a garden hose and then taken to a vet with severe burns to his ears, face and back.
Miss Bell said the vets gave Demon three days to prove he should not be euthanised.
''By day two, he was eating and wagging his tail. He just wanted to keep going.''
Demon was determined and had a strong spirit. He had 14 weeks' treatment by the vets before returning home.
The community had given about $4500 for the initial treatment and Miss Bell estimated she had spent about $20,000 on treatment for Demon since the fire.
Under veterinary instruction, she applied a manuka honey ointment to a skin infection on the dog daily, but she wanted to find a more effective treatment.
Demon allowed Miss Bell to apply the honey and had allowed vets to cut dead skin off his body, without being sedated.
''He knows that you are there to help, so he lets you.''
The bond between her and Demon had become stronger since she had her own health problems in the past 18 months, including hospitalisation for Crohn's disease.
She wanted Demon to be as comfortable as possible and was collecting donations for ongoing vet care, medications and, if enough was raised, a possible visit to a skin specialist.
Although many people had supported her dog's recovery, many others believed Demon should have been euthanised, she said.
''The reason I haven't put him down is the vets have told me to keep going and he's so fit, healthy and happy - it makes you want to keep going.''
Donations can be made at www.givealittle.co.nz/member/Demon13.
