Don’t fall for phone charity scams

October 01, 2008 11:49 am

— Before you write that check or charge your credit card for that charitable donation, a little homework and investigation can ensure your generosity benefits a legitimate cause.
According to the Independent Bankers Association of Texas (IBAT) and the IBAT Education Foundation, it would be advisable not to donate to a charitable cause over the phone.
Request that the caller mail you literature about the charity so that you can read and investigate the organization before giving money.
Many times these calls come from telemarketers who keep most of the donation while sending only pennies to the actual charity, said Mae Beth Palone of the IBAT.
Give only to those charities you know to be reputable, she said. If you receive a charitable solicitation by mail, make sure it includes specific details on exactly how the money will be used and what percent of donations actually go to the charity. You can also go to www.charitywatch.org, which rates more than 500 charities, to help you make an informed giving decision.

Checklist for giving:
• Reputable charities don't send unsolicited e-mails via SPAM.
• A reputable charity has a street address and a phone number.
• Reputable charities don't use PayPal and always provide an e-mail address that is part of their Web site. For example: donations@name of charity.com.
• Beware of scam artists who don't want your contribution, but want your personal and confidential information such as your name, address and credit card number.
• If the telemarketer pressures you to give immediately, be suspicious. A legitimate charity will give you all the information you request and all the time you need to make sure it is legitimate.
• Don't give cash. A legitimate charity will take a check.
Some charities hire professional fundraisers rather than use their own staff or volunteers. These people are in business to make money and are entitled to keep a portion of the proceeds they collect. If you are approached by a professional fundraiser, you may want to ask what percentage of the donation they will keep.