December 1, 2023
Giving makes us feel good. Being tricked out of money by scammers, however, is a growing concern. Internet communities have normalized online giving, but each year criminals become more innovative in ways to convince us that their holiday scams are legitimate. Money that could have done real good in the world ends up lining the pockets of thieves.
You can make a difference. Before you give to anyone — online or in person—check out these tips on how to spot the red flags and avoid this year’s holiday charity scams:
1. Be Careful with Your Clicks
Being bombarded with solicitations and advertisements is nothing unusual over the holiday giving season. Many of our favorite retailers conveniently make the “shop now” buttons on their online alerts a straight path to their store websites. Scammers want to make it easy for you too. One click on a “give now” button may take you straight to a charity donation page that looks authentic but is a holiday scam set up to steal your personal and financial information. Clicking may also launch malware or signal to the senders that you’re a likely target for a future, more sophisticated online scam.
2. Watch for Recorded Conversations
Charity-style scammers still use phone calls to reach potential targets. They spoof an authentic number, making the legitimate owner of the number’s name appear as their caller identification. They may leave a voicemail asking you to call back to “confirm your donation” or “update your information.” They may even give you options to unsubscribe or be removed from their calling list. Experts recommend not pressing anything, not saying anything and hanging up. Any interaction puts you at risk for revealing personal information and receiving more calls. If the charity identified is one that you would actually want to give to, skip the risky solicitation call and reach out to the charity’s official website points of contact.
3. Check the Details
If you’re thinking that a message or email is legitimate, look closely. You may be able to spot things that seem off. The scammers may misspell a word or use words that we simply don’t use in the United States in that context. Look at the name of the organization carefully. Scammers may alter one letter in an organization’s name, switch the order of words, or simply delete or add something as simple as an “s.” All are clues that something isn’t quite right. Finally, ask yourself whether this sender would ever contact you in this way to ask for a donation.
4. Research the Charity You Want to Help
Before you give, do your due diligence. A simple search with the charity’s name followed by the word “scam” can be enlightening. Check the charity’s official website by finding it yourself, and see what the organization has been doing. Do they post regularly and transparently on their website as well as social media? Check their location, address and other contact information carefully. If their page is a donation page with nothing more, that should raise some questions. If you’re donating through a crowdfunding campaign, can you be sure that your money will reach the cause you want to support? You can check to see if the charity is recognized and how it’s rated through a host of watchdog sites like Give.org, GuideStar.org, CharityNavigator.org, CharityWatch.org or ProPublica.org. You can also verify the organization’s approved tax-exempt 501(c)3 nonprofit status by checking with the Internal Revenue Service.
5. Don’t Reveal Personal Information
This is frequently given advice, but it’s meaningless unless you understand what defines “personal information” and how valuable even the smallest piece of it can be to scammers. The U.S. Department of Labor defines personal identifiable information as “any representation of information that permits the identity of an individual to be reasonably inferred by either direct or indirect means.” That includes your name, address, phone number, Social Security number, email address, gender, birth date and geographic indicators. Personal information also covers unique identifiers that other organizations or companies have assigned to you, like account numbers, PINs or access codes, passwords and other details associated with your identity within the organization. Holiday scams often use emotional appeal to get you to drop your guard and a tiny bit of information.
6. Don’t Donate with Odd Forms of Payment or Cash
When a supposed representative of a charitable organization requests donations in gift cards, cryptocurrency or wire transfers, that should alert you that something isn’t right. Those are forms of payment that can be difficult or impossible to track. The same goes for cash and cash apps like Venmo or Cash App, for example. Once money leaves your account, it’s gone, and you may have just given a scam organization direct access to your bank account. Instead, stick to credit cards. That way, you can track the donation you made and have the ability to block any additional unapproved charges placed on the account. Note that some legitimate organizations post Amazon wish lists for supplies, for example, that you can purchase and have shipped to them. Likewise, local charities may have accounts with retail suppliers or service providers that you can contribute to in order to benefit the charity.
7. Contact the Charity Directly
If you want to donate to a charity, contact them directly. Legitimate organizations will happily confirm or deny their association with any donation campaign outreach programs. If the message or email that you received isn’t theirs, making them aware of it gives them a chance to alert their supporters and possibly shut down the scam. It also lets them direct you to the most secure way to donate. Donors are essential to nonprofits’ missions, so organization members are usually eager to speak about their latest undertakings and help verify they are legit.
8. Ensure that You’re Donating Securely
“Donate securely” is more advice that’s frequently given, but how do you know that your donation and financial information will be protected? First, the donation page should not be the only page on an organization’s website. Second, always check the line near the top of the webpage that displays where you are through a web address. You should see the letters “https” and a closed lock icon indicating that the transaction is encrypted and will be transmitted securely. Unfortunately, some scammers have learned to do this as well, so you still need to do all of the other steps to ensure that the organization you’re donating to is legitimate.
9. Do Update Electronic Devices and Software
Ultimately, you are responsible for ensuring that your devices are up to the task of keeping your cyber presence safe. Run the current software updates, and ensure that the programs and browsers that you’re relying on still support your devices — especially if hardware is older.
Don’t let charity scams ruin your holiday giving. You can still give to worthy causes and feel good about it. At La Capitol Federal Credit Union, we’re committed to helping you make the best financial choices possible. Visit our Fraud Prevention Center for valuable tips that can be useful any time of the year.
If you find yourself in need of financial services and a nonprofit organization you can trust, explore our website, or reach out to the local financial professionals at the nearest La Capitol location. We can help you celebrate the holidays and start your new year off right.