COLUMBUS -- During this season of giving, the Ohio Department of Commerce's Division of Financial Institutions is urging Ohioans to be cautious of holiday scams, particularly those involving fraudulent charitable organizations.
Fraudsters often use this time of year to exploit the trust and generosity of well-intentioned individuals. Last year alone, Americans donated $374 billion to charities; however, according to a survey conducted by AARP regarding holiday donations, 6 in 10 Americans surveyed said they don't always research an organization before contributing. In 2023, the Federal Trade Commission (FTC) reported that consumers lost more than $10 billion to fraud in general, which marked an all-time high.
"It is unfortunate that during a season meant for good will and generosity, there are those who seek to take advantage of unsuspecting individuals," said DFI Superintendent Kevin Allard. "We want to remind everyone to make sure they conduct due diligence before making a financial gift to ensure their contributions support legitimate causes and they don't line the pockets of criminals."
Holiday scams come in various forms, including unsolicited calls, texts, fake advertisements, and emails. Fake charity scams are prevalent, as scammers create deceptive phone calls and websites to steal money and personal information from unsuspecting individuals. Scammers often attempt to closely imitate legitimate charities' phone numbers and contact information, adding another layer of deception.
Ohioans should be particularly wary of unsolicited calls and text messages. The FTC has previously warned of fake shipping notifications via email and text messages. When a link contained in those messages is clicked, malware can be installed on your device, allowing scammers to potentially steal your data or gain unauthorized access to systems or information. Remember, the U.S. Postal Service does not send unsolicited messages or emails containing links.
Tips to Avoid Fake Charity Scams
If you encounter a suspicious charity, you are encouraged to consult the FBI's resources on Charity and Disaster Fraud.