Federal Trade Commission | consumer.ftc.gov

Before Giving to a 

Charity

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I

f you’re considering a request for a donation to a 

charity, do some research before you give. By finding 

out as much as you can about the charity, you can avoid 

fraudsters who try to take advantage of your generosity. 

Here are tips to help make sure your charitable 

contributions are put to good use. For more information, 

visit ftc.gov/charityfraud.

Signs of a Charity Scam

These days, charities and fundraisers (groups that solicit 

funds on behalf of organizations) use the phone, faceto-face contact, email, the internet (including social 

networking sites), and mobile devices to solicit and obtain 

donations. Naturally, scammers use these same methods to 

take advantage of your goodwill. Regardless of how they 

reach you, avoid any charity or fundraiser that:

● Refuses to provide detailed information about its 

identity, mission, costs, and how the donation will 

be used. 

● Won’t provide proof that a contribution is tax 

deductible. 

● Uses a name that closely resembles that of a betterknown, reputable organization. 

● Thanks you for a pledge you don’t remember 

making. 

● Uses high-pressure tactics like trying to get you 

to donate immediately, without giving you time to 

think about it and do your research. 
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● Asks for donations in cash or asks you to wire 

money. 

● Offers to send a courier or overnight delivery 

service to collect the donation immediately. 

● Guarantees sweepstakes winnings in exchange for 

a contribution. By law, you never have to give a 

donation to be eligible to win a sweepstakes. 

Charity Checklist

Take the following precautions to make sure your 

donation benefits the people and organizations you want to 

help.

● Ask for detailed information about the charity, 

including name, address, and telephone number. 

● Get the exact name of the organization and do some 

research. Searching the name of the organization 

online — especially with the word “complaint(s)” or 

“scam”— is one way to learn about its reputation. 

● Call the charity. Find out if the organization is 

aware of the solicitation and has authorized the use 

of its name. The organization’s development staff 

should be able to help you. 

● Find out if the charity or fundraiser must 

be registered in your state by contacting the 

National Association of State Charity Officials 

(www.nasconet.org).
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● Check if the charity is trustworthy by contacting 

the Better Business Bureau’s (BBB) Wise Giving 

Alliance (www.bbb.org/us/charity), Charity 

Navigator (www.charitynavigator.org), Charity 

Watch (charitywatch.org), or GuideStar 

(www.guidestar.org). 

● Ask if the caller is a paid fundraiser. If so, ask: 

– The name of the charity they represent 

– The percentage of your donation that will go to 

the charity 

– How much will go to the actual cause to which 

you’re donating 

– How much will go to the fundraiser 

● Keep a record of your donations. 

● Make an annual donation plan. That way, you can 

decide which causes to support and which reputable 

charities should receive your donations. 

● Visit the Internal Revenue Service (IRS) webpage 

at http://apps.irs.gov/app/eos/ to find out which 

organizations are eligible to receive tax deductible 

contributions. 

● Know the difference between “tax exempt” and 

“tax deductible.” Tax exempt means 

the organization doesn’t have to pay 

taxes. Tax deductible means you can 

deduct your contribution on your 

federal income tax return. 
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● Never send cash donations. For security and tax 

purposes, it’s best to pay by check — made payable 

to the charity — or by credit card. 

● Never wire money to someone claiming to be a 

charity. Scammers often request donations to be 

wired because wiring money is like sending cash: 

once you send it, you can’t get it back. 

● Do not provide your credit or check card number, 

bank account number or any personal information 

until you’ve thoroughly researched the charity. 

● Be wary of charities that spring up too suddenly 

in response to current events and natural disasters. 

Even if they are legitimate, they probably don’t have 

the infrastructure to get the donations to the affected 

area or people. 

● If a donation request comes from a group claiming 

to help your local community (for example, local 

police or firefighters), ask the local agency if they 

have heard of the group and are getting financial 

support. 

● What about texting? If you text to donate, the charge 

will show up on your mobile phone bill. If you’ve 

asked your mobile phone provider to block premium 

text messages — texts that cost extra — then you 

won’t be able to donate this way. 
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Charities and the Do Not Call Registry

The National Do Not Call Registry (www.donotcall.gov) 

gives you a way to reduce telemarketing calls, but it 

exempts charities and political groups. However, if a 

fundraiser is calling on behalf of a charity, you may 

ask not to get any more calls from, or on behalf of, that 

specific charity. If those calls continue, the fundraiser may 

be subject to a fine.

Report Charity Scams

If you think you’ve been the victim of a charity scam 

or if a fundraiser has violated Do Not Call rules, file a 

complaint with the Federal Trade Commission. Your 

complaints can help detect patterns of wrong-doing and 

lead to investigations and prosecutions.

For More Information

The FTC works to prevent fraudulent, deceptive and 

unfair business practices in the marketplace and to 

provide information to help consumers spot, stop and 

avoid them. To file a complaint or get free information 

on consumer issues, visit consumer.ftc.gov or call 

toll-free, 1-877-FTC-HELP (1-877-382-4357); TTY: 

1-866-653-4261. 

Watch a video, How to File a Complaint, at 

consumer.ftc.gov/media to learn more. The FTC 

enters consumer complaints into the Consumer Sentinel 

Network, a secure online database and investigative tool 

used by hundreds of civil and criminal law enforcement 

agencies in the U.S. and abroad. 
Federal Trade Commission

consumer.ftc.gov

June 2012