Posts Tagged: ‘charity’

Veterans’ Charity Scams

March 20, 2019 Posted by Pamela M

Scammers play on partiotism

Scammers have no shame when it comes to stealing your hard-earned money. They will tell you anything you want to hear. If they think you may be partial to a specific cause, they will exploit that to get cash or valuable credit card or bank information. Veterans’ charities are especially fruitful since the average person wants to support the men and women that gave them freedom. However, scammers take your well-meaning donations and use them for their own gain. People often donate money, property, cars, boats and other items to support veterans. The Federal Trade Commission recently enacted a total of 100 law enforcement actions against fake veterans’ charities. They enlisted the help of state officials and released a Public service announcement to warn people about the scams.

How to Protect Yourself

The FTC publishes a list of things you can do to protect yourself from the scammers. They may use multiple methods to gain your information from phishing to using social media profiles. Experts recommend that you do the following:

Use a Scam Call Blocker

Many telemarketers and fake charities use automatic dialing systems to reach potential targets. The “robocalls” cycle through lists of donors and are relentless. Apps like RoboKiller track phone numbers most used by scammers as well as numbers used by legitimate charities. The apps will blacklist numbers that are commonly used. If you receive a suspicious call, you can also do a reverse phone search to look up the number. You can compare the number to the one listed on the charities website to make sure they match.

Follow the FTC

The FTC offers valuable tools to the public via press releases and up-to-date information on their website, such as FTC and States Combat Fraudulent Charities That Falsely Claim to Help Veterans and Servicemembers.

Research the Charity

People may become confused by the number of requests they receive from various charities. You can easily use a search engine to learn more about the charity, including reviews, official address and phone and their 501(c)(3) nonprofit number. If the charity is unable to supply their 501(c)(3) number, it may be a scam.

You can also look up a charity’s rating and reports on websites such as give.org, charitynavigator.org, charitywatch.org, guidestar.org.

Track Your Payment

You should make donations to charities using a check or credit card. A legitimate charity will not ask you to pay by wire transfer or gift card. You should also request proof of the donation for tax purposes.

Ask Questions

Scammers don’t like to answer questions. If the caller cannot answer the following questions, be cautious:

What’s the charity’s website, address, and mission?

How are donations allocated?

How much of the donation will be used for administrative fees?

Red Flags

Finally, look out for charities that refuse to provide receipts, information about their mission and costs, and how the donation will be used. Scammers may also thank you for making a pledge you didn’t make. They may try to force you into donating immediately. If these things happen, contact the FTC and local authorities.

 

Cancer Scams on the Rise

November 28, 2018 Posted by Pamela M

Watch out for cancer charity scams

 

Cancer is one of the leading causes of death worldwide. The American Cancer Society estimates that in 2018, there will be 1,735,350 people diagnosed with cancer; at the same time, 609,640 cancer-related deaths in the United States. The statistics suggest the most people know someone affected by cancer. Sadly, scammers take advantage of this fact and try to bilk unsuspecting people out of money in the name of cancer research or a related charity.

There are many reputable and honorable charities. However, scammers aren’t in that prestigious group. Rather, the scammers take the money you have given in good faith to use for their own purposes.

The “Good Guys?”

Regardless of popular belief, scams aren’t only perpetrated by individuals hiding in dark basements or Nigerian prisons. So-called legitimate companies often take part in aggressive telemarketing campaigns to collects funds. On the surface, these charities seem to be honest. If you dig deeper, you’ll find that it’s a front. In 2015, the Federal Trade Commission filed charges against four charities claiming to collect money to combat cancer. The representatives lied to potential donors to gain sympathy, and then they walked away with almost $200 million in donations. As a matter of fact, the CEOs use the money to buy luxury vacations and pay salaries to family members.

Detecting a Charity Phone Scam

It may be difficult to identify a false charity asking for money or an organization, although it is not impossible. Scammers often use fake identities and use a spoofed caller ID to hide their real phone numbers. There are five steps to  avoid becoming a victim of a charity phone scam:

  1. Ask for more information

Question the caller about the charity. Ask the representative for information about the organization. The caller should supply his full name, the charity’s legal name and address, and how donations are allocated. Scammers may be unable to give an appropriate answer, get defensive or hang up. Use an app for unknown number look ups to identify the phone number.

  1. Ensure the charity is legitimate

Do not donate at the time of the call. Research the organization online to verify its existence and credentials. Legitimate charities are registered with the state, and national organizations can be verified through the Better Business Bureau’s Wise Giving Alliance. If you have determined that the charity is legitimate you can call back or donate via their website. If you donate, be sure to get a receipt.

  1. Keep your information private

Never give out personal or financial information. Be suspicious if the caller asks you to issue a wire transfer, purchase a pre-loaded debit card or a similar means of payment.

  1. Don’t get emotional

Scammers will often play on your emotions. They may use guilt to get you to donate. Whenever a caller asks for a certain dollar amount, hang up.

  1. Refuse unsolicited requests

The best protection is to avoid answering unknown calls. If you think a call is a scam, call the FTC immediately.