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CharityWatch Offers Tips for How to Avoid Charity Scams During the Holiday Season

   Dec 27, 2023

Holidays are an important time of year for many charities, but not all charities are built the same. It is imperative for donors to be proactive in researching charities before donating to ensure their donations will be put to good use. CharityWatch CEO and Executive Director, Laurie Styron, speaks with ABC 7 Chicago. 



“It's really tough because there’s almost 2 million nonprofits in the United States, so the number one rule of thumb is to be proactive. Because the reason that most people donate to charity is because they’re asked, they’re reacting to a prompt online, on social media, to a direct mail letter, to a telemarketing call. And when you’re reacting you make mistakes, so it's really important to be proactive. Think about what are the handful of causes that are really important to me, do a little research. Think of that time you spend doing research as part of your gift, part of your donation and part of the process. And then once you identify those efficient charities then give as generously as you can, but don’t react to every prompt that you get for a donation.”

“It’s absolutely okay to take the materials or take down the name of the charity, but never give impulsively, never give before you have time to research the organization. Another big mistake people make is they conflate, they confuse, the cause with the specific charity raising money for it. So, if someone approaches you and they inspire you to want to donate to cancer research, or to you know, the food bank, that’s great that they’ve inspired you, but now don’t assume that that particular charity that’s raising money is the best one to donate to. Use that inspiration and then go home do a little research and find a really good one and then donate that way.”

“You absolutely should never take that at face value because there aren’t a lot of rules governing how charities are allowed to market what they’re doing. So, we’ve seen instances at CharityWatch where charities will say ‘100% of what you give goes to the programs and really it’s a lot of marketing language and semantics. There’s no such thing as no overhead. So, you can’t just assume that when you see sad photos or pie charts or, you know, emotionally evocative language that what you see is what you get. Sometimes the finances reveal something very different from what the charity is telling you.”