You reach for your checkbook, wallet, or credit card. First, sit down, take a deep breath, and think about what you're doing. A savvy consumer knows how to ask the right questions and do a little homework. The same precautions are essential before making donations. If you are unfamiliar with the charity, get its full name, address, and telephone number.
Many organizations have names that are very similar to well-known charities.
Ask whether the organization is listed as a tax exempt public charity by the IRS and whether your donation will be tax deductible. A dramatic, heart-rending description of general need may get your attention, but you should know more before you give. Find out the substance of the appeal and the planned use of your money. If the organization's goal is public education, ask about their program in detail. Some direct mail educational campaigns achieve very good results and may be an appropriate use of your money.