So Here’s How to Check if a Nonprofit or Fundraiser Is Legit and What to Do if You Donate to a Shady One

From Cosmopolitan

As the Black Lives Matter movement continues to be a force for change, many people have stepped up to donate to nonprofits and bail funds that have proved crucial in the fight for racial equality and ending police brutality. But as social media feeds become flooded with new fundraising links and organizations to donate to, it’s hard to determine which ones are legitimate.

Most recently, there was controversy regarding Campaign Zero’s lack of transparency, use of data, and #8CantWait social media campaign. Color for Change, another widely shared organization, also came under fire for poor financial management and a high turnover rate of its Black staff members. And with a deceptively similar name to the BLM movement, the Black Lives Matter Foundation, an organization determined to “bring the police and the community closer together,” has been receiving donations that are clearly not intended for it.

So before donating, it’s important to do your research to make sure the organization you’re sending your money to isn’t a fraud. Here, Delores Druilhet Morton, CEO of nonprofit Step Up, and Lelani Clark, a communications expert who works with nonprofits, share how to vet an entity and red flags to watch out for.

Vetting Your Org

1. Use sites like Charity Navigator, GuideStar, Charity Watch, and GoFundMe’s Twitter account to see an organization’s rating, how it stacks up to similar causes, and how it uses its money. The sign of a charity spending wisely: if it spends 75 percent or more of its total expenses on programs, not staff salary.

2. Instead of following a link you found on social media, go directly to the official website and verify there is an official phone number and address. Many reputable nonprofits will have an actual seal of approval on their home page from charity evaluation companies like GuideStar and Charity Navigator. Of course, many of the worthy fundraising efforts, like the several just-founded community-led bail funds, may not have extremely detailed websites just yet, but that doesn’t automatically mean they are frauds. Try calling or sending an email with a question about how they handle refunds to see if they respond in a timely manner. If an organization isn’t helpful when it should be earning your trust, it likely won’t be helpful if something goes wrong down the line.

3. Take note of the organization’s mission statement, board of directors, staff, governing body, corporate sponsors, and foundation partners. Knowing who is behind the fundraiser or nonprofit can lend credibility and help you assess a company’s true values. For example, if an organization is dedicated to the Black Lives Matter movement but doesn’t have any Black staffers or executives, that’s a warning sign.

4. Just like you would when trying a new restaurant, read the reviews that donors leave on social media, on the fundraiser page, or on sites like Better Business Bureau. If there are enough scam alerts out there, spend your money elsewhere.

5. Double- and triple-check the URL to ensure you’re not falling victim to a bait-and-switch scam that can result in stolen personal and credit card information. You’ll want to look out for an HTTPS padlock, which appears in front of the URL and indicates that it’s a secure site, and be wary of tiny URL changes, like the use of .net instead of .org.

6. If you’re asked to provide your social security number and/or pay by hard-to-trace cash, wire transfer, or gift card, don’t do it.

Getting a Refund

If an organization is legit but you later discover something about its operations that doesn’t sit well with you, you can start by asking for your money back. It’s a long shot, but some organizations do offer refunds that are evaluated on a case-by-case basis. Share why you’d like a refund, but just know that some orgs may be reluctant to issue one because doing so may cost them additional processing fees.

If an organization is shady, well, you won’t get very far when asking for a refund anyway. Luckily, there are some steps you can take, according to Charityvest, a start-up that encourages individuals to donate to nonprofits through one account. If you donated on a platform like GoFundMe, flag the suspicious activity to the website so it can take action along with public prosecutors. You should also report a fraudulent organization to the Better Business Bureau, your state government, the Federal Trade Commission and your bank, and consider taking the case to small claims court. Unfortunately, if your donation isn’t tax deductible, it’s harder to trace any mismanagement and support your case.

Ultimately, the best thing you can do is take your time and not rush before donating.

Here are guides for how to demand justice right now, how to support Black trans lives, how to find mental health resources if you’re a Black woman, how to talk to your relatives about Black Lives Matter, how to spot a fake protest story, and how to protest safely.

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