How to Avoid Becoming a Victim of Charity Fraud on Vacation – Hazleton Standard Speaker

Since many people donate to charity during the holiday season, state officials offer tips to help you ensure your donations go to reputable charities and causes.

“The holidays bring out the spirit of giving, and Pennsylvanians have always done their part,” Secretary of the Commonwealth Al Schmidt said in a news release Monday. “Unfortunately, every year criminals attempt to take advantage of generous people by tricking them into donating to a group or individual that is not a legitimate, registered charity.”

Here are some warning signs of possible charity scams:

• Similar-sounding name: Scammers often use names that sound like legitimate charities to intentionally cause confusion.

• High-pressure advertising: Scammers try to force a hasty decision by increasing the pressure. They may cold call you, identifying you as a previous contributor and asking for your support again or to update your credit card information. These attempts are based on surprising consumers to obtain financial information.

• 100% Guarantee: Most people want to ensure that their donations go toward legitimate program expenses. Every organization incurs some level of administrative costs, which may include postal and printing costs, rent and utilities, staffing, or fundraising. An organization that promises that 100% of your funds will go directly to people in need may require additional scrutiny.

• Ask to donate by bank transfer: Reputable charities will not ask you to make a payment by postal order or bank transfer. If you are asked for a donation this way, hang up immediately.

• Request a gift card donation: A charity may request donations of gift cards, such as from a grocery store, to distribute to those in need. However, you should never read a gift card’s information out loud over the phone or share it via email. After verifying the charity’s legitimacy, bring any physical gift card donation directly to the charity’s location and request documentation of your donation.

“The State Department offers useful tips on charitable giving to protect people from exploitation,” Schmidt said. “I urge all donors to read the following tips and recommendations before giving this year.”

Officials urge you to do your homework before donating.

• Visit the U.S. Department of State’s online charity database to verify whether an organization is registered to solicit in Pennsylvania and to view its basic financial information about expenditures for program services, fundraising and management.

• Check the Department’s Enforcement and Disciplinary Actions page to see whether corrective action has been taken by the U.S. Department of State’s Bureau of Corporations and Charitable Organizations.

• Verify that an organization is registered with the Internal Revenue Service as a tax-exempt organization. Groups like the BBB Wise Giving Alliance, Charity Navigator, and CharityWatch provide information and reviews about charities.

• Don’t feel pressured to donate right away. Do your research before handing over your money or information.

• Check websites carefully. Charity fraud can be a means of identity theft by directing victims to fake websites where personal and financial information can be stolen.

• Forward your payment to the charity. Never write a check to an individual. Write the check to the verified organization.

If you believe you have been the victim of charity fraud, contact the Department of State’s Charitable Investigations/Audits Division at [email protected] or use the online complaint form. You should also file a report with the Federal Trade Commission at ReportFraud.ftc.gov and contact local law enforcement through non-emergency channels.

Originally published: December 2, 2024 at 1:03 pm EST