FTC Warns of Charity Scams in Wake of Oklahoma Tornado

WASHINGTON (AP) -- The Federal Trade Commission is warning consumers who want to help the victims of this week's Oklahoma tornado that they need to be wary of scams and make sure that their donations are going to a reputable organization.

In the wake of major disasters, legitimate charities often face competition from scammers who either collect for fake charities or aren't truthful about how their group will use donations, the FTC said.

The FTC recommends that consumers donate to charities that they know and trust, and be wary of groups that appear to have sprung up overnight in connection with a specific disaster.

Consumers should also ask fundraisers whether they are being paid, who they work for, and what percentage of donations actually goes to the charity. If the answer is unclear or doesn't meet expectations, consider donating to another group, the FTC said.

The FTC also warned against giving out personal or financial information unless it's clear that the charity is legitimate. In addition, consumers should never send cash, because there isn't a way to be sure that the charity actually received the money and there won't be a record of the donation for tax purposes.

Consumers can check out charities through organizations such as the Better Business Bureau's Wise Giving Alliance, Charity Navigator, Charity Watch, and GuideStar.

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2452402, ~/Articles/ArticleHandler.aspx, 9/26/2016 8:53:32 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 2 days ago Sponsored by:
DOW 18,261.45 -131.01 0.00%
S&P 500 2,164.69 -12.49 0.00%
NASD 5,305.75 -33.78 0.00%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes