Avoid Charity Scams: How to Safeguard Your Donations During Disaster Relief Efforts
In the aftermath of disasters like Hurricanes Milton and Helene, it’s natural to want to help by donating to charities that provide relief to those affected. Unfortunately, scammers often take advantage of people’s generosity by setting up fake charities to steal both money and personal information. The IRS has warned taxpayers to be cautious when donating to charities during disaster relief efforts to avoid falling victim to these scams.
Fake charity schemes can be sophisticated, using names that sound like legitimate organizations or even mimicking their websites, email addresses, or caller IDs to appear credible. These scammers prey on the urgency and kindness of donors, pressuring them to make immediate payments without verifying the charity’s authenticity.
To protect yourself and ensure that your donations are going to legitimate organizations, it’s crucial to follow these tips:
1. Always Verify the Charity’s Legitimacy
Before donating, use the IRS’s Tax Exempt Organization Search (TEOS) tool on IRS.gov to verify if a charity is legitimate and qualified to receive tax-deductible contributions. Scammers often use names that resemble well-known charities, so it’s important to confirm the exact organization name, website, and mailing address independently.
2. Be Wary of How Donations Are Requested
Scammers may request donations through methods such as wiring money or providing gift card numbers, which are red flags for fraud. Legitimate charities will typically ask for donations via credit card or check. It’s always safest to use secure payment methods after verifying the charity.
3. Don’t Share Sensitive Personal Information
Scammers may also try to extract personal details like your Social Security number, credit card information, or PIN. Remember, legitimate charities won’t require such information to process your donation.
4. Beware of High-Pressure Tactics
While legitimate organizations are grateful for donations at any time, scammers often pressure donors into making immediate contributions. Don’t feel rushed; take your time to research the charity before making any decisions.
If you encounter a suspicious charity, the IRS encourages individuals to report it using the FBI’s resources on Charity and Disaster Fraud.
Donating to a qualified charity not only helps those in need, but also offers you the potential benefit of a tax deduction—if you itemize your deductions and give to an IRS-recognized, tax-exempt organization.
