Charitable Contributions: How To Give Wisely

Since charities ask for larger and more frequent donations from the public these days, soliciting by mail, telephone, television, and radio, for example, they should be checked out before you donate money or time. Here are some tips on how to maximize your charity dollar and avoid scams.



Here are some basic, common-sense suggestions for avoiding rip-offs in making charitable contributions:

• Do not contribute cash. All contributions should be in the form of a check or money order made out to the charity never to the individual soliciting the donation.
• Do not be misled by a charity that resembles or mimics the name of a well-known organization--all charities should be checked out.
• Ignore pressure to donate immediately. Wait until you are sure that the charity is legitimate and deserving of a donation.
• When appropriate, ask for written descriptions of the charity's programs and/or finances, especially if the intended contribution is substantial.
• If you have any doubt about the legitimacy of a charity, check it out with the local charity registration office (usually a division of the state attorney's general office) and with the Better Business Bureau (BBB)
  

  Giving Your Time

  Volunteering your time can be personally rewarding, but it is important to consider the following factors before committing yourself:
  
• Make sure you are familiar with the charity's activities. Ask for written information about the charity's programs and finances.
• Be aware that volunteer work may require special training and the devotion of a scheduled number of hours each week to the charity.
• If you are considering assisting with door-to-door fund-raising, be sure to find out whether the charity has financial checks and balances in place to help ensure control over collected funds.

  Mail Solicitations

  Many charities use direct mail to raise funds. While the overwhelming majority of these appeals are accurate and truthful, be aware of the following:
  
• The mailing piece should clearly identify the charity and describe its programs in specifics. If a fund-raising appeal brings tears to your eyes but tells you nothing about the charity's functions, investigate it carefully before responding.
• It is against the law to demand payment for unsolicited merchandise-e.g., address labels, stamps, bumper stickers, greeting cards, calendars, and pens. If such items are sent to you with an appeal letter, you are under no obligation to pay for or return them.
• Appeals that include sweepstakes promotions should disclose that you do not have to contribute to be eligible for the prizes offered. To require a contribution would make the sweepstakes illegal as a lottery operated by mail.
• Beware of fund-raising appeals that are disguised as bills or invoices. It is illegal to mail a bill, invoice or statement of account that is, in fact, an appeal for funds unless it has a clear and noticeable disclaimer stating that it is an appeal and that you are under no obligation to pay unless you accept the offer.