Beware of Charity Scams

As a nation, we are compassionate. Millions of people throughout the country rush to help those in need, whether they are our fellow countrymen or abroad. This is especially prevalent during a natural disaster such as the recent tornado in Oklahoma, Hurricane Sandy last year, or even the earthquake in Haiti in 2010. Human nature compels us to help victims of any kind; and yet, human nature also compels some towards dishonesty and deceitfulness.

A natural disaster is the perfect opportunity for scammers. People are looking to give money away left and right, and all a scammer needs to do is pose as a charity representative interested in raising money to help those affected by destruction. This is not only harmful to you, but to those in need of that monetary support because the scammers are stealing contributions away from legitimate charities who badly need those finances in order to offer any help and support.

It is important especially in times of disaster, to offer sustainance to those who require it. But keep in mind that there are people willing to take advantage of your kindness. So before you donate, consider these points below:

• If you're approached by an unfamiliar charity, check it out. Most States require charities to register with them and file annual reports showing how they use donations. Ask your state or local consumer protection agency how to get this information. The Better Business Bureau Wise (BBB) Giving Alliance also offers information about national charities. Call 703-276-0100 or go to Give.org
• Ask for written information. Legitimate charities will be happy to provide details about what they do and will never insist that you act immediately. 
• Beware of sound-alikes. Some crooks try to fool people by using names that are very similar to those of legitimate, well known charities. 
• Ask about the caller's relation to the charity. The caller may be a professional fundraiser, not an employee or a volunteer. Ask what percentage of donations goes to the charity and how much the fundraiser gets. 
• Be wary of requests to support police or firefighters.  Some fraudulent fundraisers claim that donations will benefit police or firefighters, when in fact little or no money goes to them. Contact your local police or fire department to find out if the claims are true and what percentage of donations, if any, they will receive. 
• Be especially cautious after after natural or other disasters. Fraudulent charities take advantage of those situations to trick people who want to aid the victims. If you're not sure whether a charity is legitimate, check it out with your state charities regulator and the BBB before you donate. 

For more information, and to read the full article, please visit Fraud.org - Home