With the recent earthquake in Haiti, many people are looking for ways that they can help. Charitable organizations around the world are mobilizing to provide food, water, shelter, medical supplies and emergency care for the victims of the catastrophic 7.0 earthquake. However, just like with any crisis, there are organizations and individuals who are seeking to profit from the well-meaning efforts of others. That being said, how can you recognize a legitimate charity from a fraudulent organization? Here are some tips to help you avoid being a victim of charity fraud.
Charity Fraud Tip 1: Check A Charity’s Domain
Be wary of domains that have only been registered in response to recent events. For example, the following domains were registered shortly after the earthquake in Haiti.
- haitiearthquakefund.org
- haitiearthquakerelief2010.org
- haitianearthquakefund.org
While some of them may be the basis of legitimate aid websites, it’s still best if you use extreme caution when dealing with a recently established organization. To check the age of a specific domain (as well as some other basic information), you can use this website:
Charity Fraud Tip 2: Never Donate By Phone
If you are contacted by a charitable organization by phone, it is essential that you do not donate to them over the phone. Many fraudulent organizations take advantage of the anonymity of a phone call, using it to try to solicit money from you. However, this does not necessarily mean that you should be rude when contacted by phone. Take down the name, location and website of the organization that is contacting you. Politely decline to donate, and then do your own research about the charity at a later time. A quick search on the internet will usually provide you with enough information to evaluate if the organization that contacted you is legitimate. If you wish, you can make a donation to them over the internet, or by mailing a check.
Charity Fraud Tip 3: Avoid Solicitation Emails
Some fraudulent charities may send out emails asking for donations, or so-called “personal” emails from a person that claims that their family has been victim of the earthquake. As Hurricane Katrina taught us, most of these requests are fake. Never donate directly to an individual who claims to be the victim of a disaster. Instead, make your donation to a reputable charity that is working towards improving the quality of life in that specific area.
How to Donate Safely
Since there are so many fraudulent charities, how is it possible to ensure that you are donating to a reputable charitable organization? Here are three ways that you can donate safely to a charity, and ensure that your money will go towards helping those in need.
Charity Fraud Tip 4: Do Your Research.
Only donate to a charity that has an established presence. While supporting smaller charities can be a great way to help them expand, smaller charities usually have a higher “overhead cost”, which means that less of each dollar you donate will be given directly to the cause. You can view the Forbes List of the 200 largest charities here.Charity Fraud Tip 5: Donate Online.
When you donate to a charity online, you will usually receive an email receipt of your donation. This is not only useful for tax purposes, but can also help you to keep a record of which charities you have donated to. If you see progress from your donation, you can designate that specific charity as a potentially good organization for future donations.Charity Fraud Tip 6: Contact the American Institute of Philanthropy.
The American Institute of Philanthropy is an organization designed to help you choose an effective, highly rated charity. They grade specific charities by using details about how the charity helps those in need. You can view their website by navigating to:
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