These scams try to take advantage of your generosity and kindness. They all involve a scammer collecting money by pretending to be a real charity. Not only do these scams cost people money, they also divert much needed donations away from legitimate charities and causes.
Often, the scammer will exploit a recent natural disaster or famine that has been in the news. Other scammers play on people’s emotions by pretending to be from charities that help children who are ill.
Luckily these types of scams are not that common. However you should always be on your guard against fake charities. The scammers can approach you in the street, by coming to your door, over the phone or on the internet.
The person who claims to be collecting donations on behalf of the charity approaches you face-to-face and does not have any identification. Remember that even if they do have identification, it could be forged or meaningless.
The person tries to put pressure on you by making you feel guilty or selfish if you don’t want to give them money.
The person asking for money cannot or will not give you details about the charity, such as its full name, address or phone number.
The person gets defensive if you ask any questions about what the charity does and how much of the donation gets taken up by costs.
The person asks for a cash donation and they don’t want to accept a cheque. Or, they want the cheque to be made out to them rather than to the charity.
The person doesn’t want to give you a receipt. Or, they give you a receipt that does not have the charity’s details on it.
If someone comes to your door, ask to see their identification. You do not have to let them in, and they must leave if you ask them to.
ALWAYS get independent advice if an offer involves significant money, time or commitment.
Do not agree to offers or deals straight away: tell the person that you are not interested or that you want to get some independent advice before making a decision.
NEVER send money, or give credit card or online account details to anyone you do not know and trust.
Do not give out your personal, credit card or online account details over the phone unless you made the call and the phone number came from a trusted source.
Do not open suspicious or unsolicited emails (spam): delete them.
As well as following these specific tips, find out how to protect yourself from all sorts of other scams.
If you have any doubts at all about the person asking for money, DO NOT give them any cash, credit card or bank account details at all. If you want to make a donation to a worthy cause you should do this in your own time and not in response to a phone call, email or visit.
Legitimate charities are registered at the state or territory level. Call your local fair trading agency to check that the charity that has approached you is genuine. If the charity is genuine and you want to make a donation, get the charity’s contact details from the phone book or a trusted web site. Don’t rely on any phone number or website address given by the person who first called, visited or emailed you because they could be impersonating a legitimate charity. When you contact the charity, check to see if they have any fundraising campaigns taking place in your area.
You should also find out if any donation you make is tax deductible. You can contact the Australian Taxation Office to check.
If the charity is selling raffle tickets, vouchers or other goods make sure you are happy with all the terms and conditions before agreeing.
If you do not want to donate any money, or you are happy with how much you may have donated to charities already, simply ignore the email or letter, hang up the phone or say no to the person at your door. You do not have to give any money at all.
If you come across a charity or cause that you think is worthwhile, you should do your homework before making any decision. Make sure that the person is who they say they are and that the charity is genuine.
If you think you have been approached by someone impersonating a legitimate charity, or by a fake charity, you can report a scam through the SCAMwatch website.
You should also be sure to warn your friends, family, colleagues and neighbours about the scammer.
Psychic scammers claim that you are in danger or predict trouble and offer a solution, such as ‘winning’ lottery numbers or a lucky charm – for a hefty fee.
There are many types of scams that aim to steal your credit card details, either by taking the card itself or by tricking you into giving them the card’s details.