Before you donate – what you need to know
Before you open your heart and your wallet to a charity, there are things you need to know.
It is in every human being’s DNA to give to the less fortunate and most of us choose to donate to charities, but sometimes one’s giving heart is taken advantage of by fake charities.
The News spoke to the Southern Africa Institute of Fundraising (SAIF) to find out how we can protect ourselves from fraudsters who pose as representatives of fake charities.
“A recognised charity or non-profit organisation (NPO) will have an NPO number that should appear on all documents. It can be verified with the Department of Social Development, who issued the number,” said Bronwen Jones from SAIF.
She encourages givers to ask what their funds are going to be used for or ask for identification details such as a website or an address. “However, if they are doing general collections for funding to cover running costs as opposed to a project, they may tell you this, but it would be really difficult for them to show a registered compliant NPO report of funding or a copy of their annual report, which is submitted to the Department of Social Development,” she told the News.
There are many fraudsters out there who scheme their way in to people’s wallets, posing as charities. Protect yourself by keeping your wallet closed if the organisation you want to donate to is not an NPO, even though there is no law that prevents people from fundraising without an NPO number or as an individual.
Bronwen says that there are many causes, such as medical fees, that would not qualify to be registered as an NPO, as the collection is for a specific purpose or person, yet the fundraising is legitimate.
“For example, if a person has cancer and is raising funds for medical treatment, this is specifically for an individual. By contrast, the NPO Cansa raises funds for a number of initiatives and campaigns or projects associated with the disease. As Cansa is doing work on a much larger scale and adding value to many lives as well as employing staff and having overheads, it is registered as an NPO, but individuals raising funds for themselves would not qualify to register as an NPO.”
Many individuals and organisations raise funds for their own needs, including schools, churches and disabled people, and they should not be discredited just because they are not NPOs, but it is important that before you give, you use your head and not your heart, to avoid being scammed.
“If people ask for funding in the street or at a mall and they say they are raising funds for a specific organisation, get the details of the establishment and call them to verify that the fundraiser is legitimate.”
There are fake charity organisations, as well as people who use the names of reputable organisations to solicit funding for their own gain without the knowledge of the organisation. A quick Google search can solve any issues you may have with the fund-raiser – within minutes you will know whether the organisation exists and which methods it uses to raise funds.
Bronwen advises people to ask for the website or physical address of the organisation before donating. However, all those fraudsters should not prevent you from helping people who really need it, and there are many homes for the elderly, orphanages and animal charities that could benefit from your help.
“When all is said and done, there are many legitimate organisations that do face-to-face fundraising; however, they will have the credentials to prove this and will usually ask you to complete a debit order rather than accepting cash, because of the risks associated with carrying large sums of money in public,” Bronwen concluded.
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