Are you thinking about donating to a charity? Consider the following precautions to ensure that your donation dollars benefit the people and organizations you want to help. They’re good practices whether you’re contacted by an organization’s employees, volunteers or professional fund-raisers, soliciting donations by phone, mail or in person.

• Be wary of appeals that tug at your heart strings, especially pleas involving patriotism and current events. Although the Department of Defense does not endorse any specific war related charity, you can visit their Web site at www.army.mil/operations/oif/FAQ.html to find out about military relief societies that provide assistance to U.S. Servicemembers and their families.
• Ask for written information about the charity, including name, address and telephone number. A legitimate charity or fund-raiser will give you information about the charity’s mission, how your donation will be used and proof that your contribution is tax deductible.
• Check out the charity’s financial information. For many organizations, this information can be found online atwww.guidestar.org or at GuideStar, 427 Scotland Street, Williamsburg, VA 23185; 757-229-4631.
• Ask for identification. The Telemarketing Sales Rule requires for-profit fund-raisers to disclose the name of the charity requesting the donation. Many states require paid fund-raisers to identify themselves as such and to name the charity for which they’re soliciting. If the solicitor refuses to tell you, hang up and report it to law enforcement officials.
• Call the charity. Find out if the organization is aware of the solicitation and has authorized the use of its name. If not, you may be dealing with a scam artist.
• Check with local recipients. If giving to local organizations is important to you, make sure they will benefit from your generosity. If a charity tells you that your dollars will support a local organization, such as a fire department, police department or hospital, call the organization to verify the claim.
• Watch out for similar sounding names. Some phony charities use names that closely resemble those of respected, legitimate organizations. If you notice a small difference from the name of the charity you intend to deal with, call the organization you know to check it out.
• Know the difference between “tax exempt” and “tax deductible.” Tax exempt means the organization doesn’t have to pay taxes. Tax deductible means you can deduct your contribution on your federal income tax return. Even if an organization is tax exempt, your contribution may not be tax deductible. If a tax deduction is important to you, ask for a receipt showing the amount of your contribution and stating that it is tax deductible.