BBB applauds the recent announcement by the Federal Trade Commission (FTC) and state government agencies regarding concerns about solicitations made by police, firefighter and veterans’ organizations. The BBB Wise Giving Alliance and BBBs nationwide receive over 130,000 inquiries annually from donors who want to know how a police, firefighter or veterans’ charity stacks up to BBB Standards for Charity Accountability.
“For many years, BBBs across the U.S. have received numerous reports about the questionable practices of unscrupulous operators seeking to take advantage of American generosity and concern for police officers, firefighters and veterans in their communities,” said BBB president and CEO Jim Hegarty.
Some of BBB’s major concerns with police, firefighter and veterans’ organizations include:
• High fund raising costs with little remaining to assist the named cause
• Excessive pressure in telephone fund raising appeals
• Lack of clarity about what programs donations will be assisting
A consumer booklet by the BBB Wise Giving Alliance, “Donating to Police and Firefighter Organizations” is available online for free at www.bbb.org/us/Police-Firefighter-Charities and offers giving advice for vetting solicitations. Also available online at www.bbb.org/us/WGA-Senate is the BBB Wise Giving Alliance testimony on Assessing Veterans’ Organizations given to the U.S. House of Representatives Committee on Oversight and Government Reform in December 2007. The testimony includes additional BBB guidance about veterans’ groups.
“Certainly, police, firefighter and veterans’ charities fill an important need in society for current and former members of the armed services, police, firefighters and their families,” said Hegarty, “and we are pleased that a number of these charities meet our standards. However, we also have some concerns.”
BBB offers the following tips to help donors make wise pre-donation decisions when considering police, firefighter, or veterans’ charities:
• Check with Outside Sources Before Giving
Visit the BBB Wise Giving Alliance online at www.bbb.org/charity to access detailed charity reports and giving advice. Donors can also check out charities with their state government’s charity registration agency, usually a division under the Attorney General.
• Mistaken Identity
Just because the organization includes the words “police” or “firefighter” in the name, it does not mean that any member of the local force is involved. Also, many veterans’ charities include virtually the same words in different order or slightly different form.
• Telemarketing Cautions
Telemarketing can be a costly method of fund raising unless carefully managed. If called, don’t hesitate to ask for written information on the charity’s programs and finances.
• On-the-Spot Donation Decisions
Be wary of excessive pressure in fund raising. Don’t be pressured to make an immediate on-the-spot donation. Charities should welcome gifts whenever provided.
• Donating Cars
Find out how much of the auction price for donated cars actually goes to the charity. Sometimes the charity receives only a small portion of the resale price. Also be mindful of the latest IRS rules on deductibility of such gifts.
• Clear Program Descriptions
Look for a clear program description of the organization’s activities in its appeals and Web site. For example, if it says it is helping veterans, does it explain how (e.g., financial, housing, and/or counseling, etc.) and where it is doing so?