Charity Scams

We are approaching that time of year again when people crack open their hearts and wallets a little wider than usual to donate to charities and organizations. Giving is a large part of life for many Americans. Last year, our nation’s citizens gave away almost $500 billion in charitable dollars. Benevolence is honored and encouraged by societies and governments. The U.S. tax code is written to reward those who make monetary contributions to aid organizations.

There are numerous reasons to be altruistic. Helping others is useful and creates a kinder, more compassionate society. Giving is not only beneficial for the recipient, but it is good for the donor as well. The truth is when people are unselfish, it improves the quality of life for all involved.

Sadly, despite all the good that comes from the hearts of kind and compassionate people, overall giving has been decreasing. There are many reasons for the decline in philanthropic behavior. One explanation is a concern due to fraudulent activities. It is unfortunate that deceptive people have taken advantage of the goodwill many of us aim to impart. It is even worse when charitable giving goes down because people worry their donations are being misappropriated or stolen.

Several associations oversee the practices of charities for legitimacy. They help everyday folk make wise decisions for their giving. They also help people avoid deceptive ploys. With the help of these organizations to vet the charities around us, we can worry less that our donations are being put to good use.

Charity Watchdog Organizations

• Charity Navigator (www.charitynavigator.org/)
• Charity Watch (www.charitywatch.org/)
• Better Business Bureau Wise Giving Alliance (www.give.org)
• Give Well (www.givewell.org)

Be Vigilant 

It is great to have the trusted help of the above organizations, but do not rely solely on them to do all your work and research. Ultimately, when you donate money, you are responsible for the money getting to the cause you would like to support. If you have uncertainties about an organization, find another place to contribute where you feel confident. Fraudulent groups are out there; some may be slick enough to go unnoticed.

Tips To Avoid Fraudulent Charities

1. Research Carefully: Before donating, research the charity. Verify its authenticity, evaluate its track record, and validate its tax-exempt status.
2. Don’t Be Pressured: Look out for high-pressure tactics. Fraudsters use aggressive behavior to hurry targets into making quick decisions. Lawful charities do notrush donors’ decision-making.
3. Ask questions: Request detailed information about the mission, programs, and how funds are allocated. Honest organizations readily provide transparency about their operations.
4. Confirm Contact Information: Ensure that the charity provides clear and accurate contact information, a physical address, and a working phone number. Be cautious of vague responses.
5. Avoid Cash Transactions: Choose secure payment methods like credit cards or checks. Avoid making cash donations, as they are harder to track and verify.
6. Watch for Similar Names (Imposters): Fraudulent fundraisers often use names that closely resemble well-known charities. Double-check the spelling and verify the legitimacy.
7. Don’t Share Personal Details: Guard sensitive personal information like Social Security numbers, checking account details, or credit card numbers. Legitimate charities rarely request such information.
8. Assess Official Documentation: Request written materials, such as brochures, pamphlets, or financial statements. Authentic charities are usually clear about their activities.
9. Spread Awareness: Share any found information with friends and family to oppose fraudsters. An attentive community is less likely to fall victim to scams.

Don’t be shy about using techniques to avoid becoming a target. A genuine charity will appreciate your cautious approach, as it ensures your support reaches those who truly need it. Also, any dollars not going to a fraudulent faction will likely do well at an authentic organization.

Reporting Actions

Vigilance is vital to fighting fraud. If you suspect fraud or have become a target, it is essential to report it as soon as possible.

• Report to any of the watchdog organizations listed earlier.
• Make a statement to the Florida Attorney General’s price gouging hotline at 866-9NO-SCAM.
• Floridians can report a scam via the No Scam App or by visiting Fraud Free Florida.
• Report fraud to the Federal Trade Commission.
• Also, contact your local authorities if you have become a victim of fraud.