CROMWELL, Conn. (WTIC Radio) - In recognition of Giving Tuesday, many are showing their generosity by supporting charities, but state and federal officials are urging people to show caution when offering donations.
It's crucial to research a nonprofit organization before donating to avoid any potential charity scams, Jackie MacKnight, a Vice President with the Better Business Bureau (BBB) serving Connecticut, said.
The Internal Revenue Service (IRS) and Security Summit recommend asking the fundraiser for the charity's exact name, website and mailing address so the donor can confirm that the charity is legitimate.
Some scammers use names that sound similar to well-known organizations to confuse people, the IRS and MacKnight warn.
MacKnight also warns donors that scammers can easily make fake websites for their fake charity, so there are a few key components to look for when reviewing a website.
"[The website] should have its mission and programs. It should have measurable goals of the organization and it should also concrete criteria that describe its achievements... It should have concrete examples of what it does. You should be able to also find information on their finances," MacKnight said.
When walking down the streets, people should not feel pressured to donate right on the spot, she said. A legitimate organization will be happy for a donation no matter when it's made, so if you're approached, she recommends telling a charity representative that you will donate tomorrow.
The IRS asks donors to be careful with charities who ask for donations through gift cards or wiring money, since that is, more often than not, a scam. It's safest to pay by credit card or check after researching the charity, IRS officials said.
For additional resources on checking the credibility of a charity, MacKnight recommends checking with the BBB's Wise Giving Alliance at give.org or the Attorney General's Office. The IRS also recommends using the IRS Tax Exempt Organization Tool.