Giving to Charities: Safety Tips for Avoiding Scams

By Otto T. Handwerk, Crime Victim Volunteer

One of the frequent questions I am asked as I speak before groups of older adults concerns telephone soliciting for charities, particularly those representing police and fire fighters. I always urge people to never give an unknown caller a credit card number or financial information. Ask the solicitor to mail you information about the organization and how the donated money will be used. You probably will not receive the requested information, but if you do and you want support the charity, always make the payment to the organization and not to the solicitor. Some solicitors keep 85 percent of the money they collect.

Charities are an exception to the “No Call Lists,” so you cannot stop their calls. With the holiday season just a couple months away, it is a good time to support worthy charities to help children, elderly, homeless, and disaster victims. Unfortunately there are predators who will take advantage of our desire to help others. You need to check the names of organizations soliciting aid. You should ask for financial statements. This will provide you information as to how much of your donation will actually go to those you want to help. Ask if the organization is registered with your state’s Secretary of State. This is the minimal qualification for a bona fide fundraiser or charitable organization that solicits funds.

Some charities send unsolicited merchandise along with their request for a donation. For instance, under Kansas law, these are deemed unconditional gifts to the recipients and you are under no obligation to pay for or return unordered merchandise. You may also want to contact your local Better Business Bureau for information on specific charities. While not all of the charities have been reviewed by the BBB, the relief effort of many groups is outlined and contact information for each group is given.

Charity scams against those who give cannot succeed if donors paid by check directly to the charitable organization. Remember, do not give money to a charity if you do not know what it is. Request a copy of an organization’s annual report which shows where money goes. Ask how the contributions will be spent. Ask what percent of the gift is earmarked for administrative costs. Ask the caller if he works for a professional fundraiser. The law requires this disclosure. If it is a telephone solicitor, ask for his/her name and the name of the company or organization represented. Do not give to a charity that will not answer your questions or will not send you a report on how the donation will be spent. Do not consider giving to hard-sell solicitors and be careful of door-to-door solicitors; do not let them in your home. Charity sweepstakes that require a donation to claim a winning are unlawful. Most are a poor choice, only designating a few cents of your donation to charity.

Otto T. Handwerk is a Crime Victim Volunteer for the Johnson County District Attorney’s Office. Distributed by Kansas Senior Press Service.

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