Donating to Charity? 7 Signs You're Actually Dealing With a Scam

The season of giving might be over, but scammers never take a rest.

December is the most popular month for charitable donations, but you can give all year round. It can be a great way to support worthy causes in your community and it can earn you a tax break as well. But before you hand over any cash, it's important to make sure you're dealing with a legitimate organization. Otherwise, you might just be flushing money down the toilet.

Here are seven signs that the generous charity courting your wallet is really just a scammer trying to line their own pockets.

1. Your donation isn't tax-deductible

Legitimate charities are tax-exempt organizations, and contributions you make to them can earn you a tax deduction. But if the organization you're speaking to says that you can't get a tax break or if they're vague about whether you will or you won't, that could be a sign that it's not what it claims to be.

The IRS maintains a Tax Exempt Organization Search tool that you can use to verify the legitimacy of any charity. If you don't find an entry for them here, that's a strong sign that they don't deserve your money.

2. The contact information doesn't match what you find online

Some scammers choose to impersonate members of well-known charities that they're not actually affiliated with at all. They might reach out via phone, email, or by mail and provide you with instructions on where to send your donation.

It's always a good idea to double-check this information against the charity's actual website. Don't use any websites that the person provided you with in case they're fake. Use a trusted search engine and research the charity. Then, compare the information you received against the information on its website.

3. They want your personal information

There's no reason a legitimate charity would need to inquire about your bank account number, your Social Security number, or other private information. If someone asks you to give out this information, you should definitely be suspicious. They may be trying to steal your identity.

Instead, try to get as much information from the scammer as possible, including their name (or whatever they say their name is), their phone number, and any information about where they wanted the money sent. Then, file a complaint with the Federal Communications Commission (FCC). If you believe the person behind the scam is operating in your area, reach out to your local law enforcement as well.

4. They're really pushy

Scammers don't want to give you time to think or do research into their fake charity, so they might try to push you to donate money immediately. They might highlight the importance of their supposed cause or try to make you feel bad for being suspicious of them. But go with your gut.

A legitimate charity doesn't need you to donate to them on a specific day. They should be happy to answer any questions you have about their mission and provide materials to you as needed.

5. They're specific about the payment forms they'll accept

Scammers usually like to be paid via wire transfer, gift card, or possibly cryptocurrency. It's much more difficult for you to recover funds you've given away this way, which increases the likelihood that the scammer gets off totally free.

No legitimate charity will insist that you pay this way, and they should be happy to accept cash, checks, or credit cards. If the person you're speaking to doesn't want to accept these forms of payments, move on and find another charity.

6. They're vague about what the charity does

Anyone soliciting charitable donations should be pretty well versed in the charity's mission and how the organization will use that money. If the person you're speaking to can't provide you with a good understanding of how it'll use your funds, that should make you a little suspicious.

Don't be afraid to ask questions about anything you're unclear on. And if you get a sense that the person isn't being truthful with you, don't give them any of your money.

7. They make a lot of spelling mistakes

Anyone can make an occasional typo, and this in and of itself doesn't prove that a charity is a fake. But real organizations generally take the time to ensure that their documents, especially those that will be disseminated to the public, are as polished as possible.

Scammers, on the other hand, don't always pay attention to these small details. So if the materials they give you look less than professional, it's at least worth doing some digging to see what else you can find out about the company.

None of this is intended to make you suspicious of charities. But I think we'd all like to know that the money we give to good causes is actually going to those causes and not to someone else's bank account. So it doesn't hurt to take your time and review the above information, especially when you're considering giving to a charity you've never heard of before.