Which Charitable Organizations Are Legitimate?
Charitable organizations can do great things for people in need, and often depend in large part on contributions from people generous enough to donate money. Unfortunately, there are some people and groups that accept donations under false pretenses or do not give as much of the donation to the worthy cause as promised or implied. If you have any doubt about the veracity of a charity, a little investigation can put your mind at ease.
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Instant Charities
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A charity that is in existence almost immediately to help deal with a tragedy---such as the 9/11 attacks or Hurricane Katrina---may not be a good bet. The charity's hasty setup could signal a scam and even if the group is legitimate, it may not have the time and connections needed to effectively funnel money to victims.
Charity Information---and Watchdog Groups
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If you are considering donating to a charity---particularly one that's new to you---seek as much information as possible. This can include what the charity seeks to accomplish, where the money will go, and an address or website for the charity. Many charities have sophisticated websites that provide financial and other information. Most important, there are several highly reputable "watchdog" organizations that monitor nonprofit groups. The American Institute of Philanthropy, the Better Business Bureau, Charity Navigator and GuideStar are all groups that keep a close eye on charities.
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State Information
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Investigate the charity by contacting the appropriate state government office or by visiting its website. Not only can this help you determine whether a charity is legitimate, but you may also be privy to other information on charity expenses and how much money actually goes to help needy people. State attorneys general offices can also tell you if there are any charges against the charity such as fraud or dubious fundraising methods that have brought citizen complaints.
The Name Game
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The names of recognized charities and organizations are sometimes mimicked by other charities hoping to collect donations. Some are legitimate, some not. If there is any question as to which charity is which, a simple call to the charity---or better yet, a check on one of the "watchdog" websites listed below in "Resources"---should clarify the issue.
How Best to Give?
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Personal checks make for good records of the transaction for both the organization and the person donating the money. However, online giving is increasingly popular and safe. If you choose to make a donation via a group's website, be certain of the site's security and ask for an email receipt. Most groups will also send one by mail.
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