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FTC Warns Consumers: Charity and Home Repair Scams May Appear After a Disaster

News release: “In the wake of Hurricane Sandy, the Federal Trade Commission reminds consumers that scams often follow disasters. The nation’s consumer protection agency warns people about urgent appeals for charitable donations, and cautions residents in stricken areas about fraudulent home repair offers. If you are asked to make a charitable donation to help people in disaster-affected areas, consider these tips to giving wisely:

  • Donate to charities you know and trust. Be alert for charities that seem to have sprung up overnight.

  • Ask if the caller is a paid fundraiser, who they work for, and what percentage of your donation goes to the charity and to the fundraiser. If you don’t get a clear answer — or if you don’t like the answer you get — consider donating to a different organization.
  • Do not give out personal or financial information – including your credit card or bank account number – unless you know the charity is reputable.
  • Never send cash: you can’t be sure the organization will receive your donation, and you won’t have a record for tax purposes.
  • Check out a charity before you donate. Contact the Better Business Bureau’s Wise Giving Alliance at www.give.org.
  • For more information, see Disaster Recovery, Charity Fraud, Charity Checklist, and Charitable Donations: Give or Take?

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