How to Verify Legitimate Charitable Solicitations

Quick overview

Donating to charity is meaningful, but it also creates opportunities for scammers. This guide gives a step-by-step verification workflow you can use before donating in person, on the phone, by text, or online. It outlines where to check legal status, what financial documents to read, the red flags that matter, and what to do if you suspect fraud. (Sources: IRS, Federal Trade Commission, Consumer Financial Protection Bureau.)

Why verification matters

• Scammers exploit urgency after disasters and during high-profile events.
• Giving to an unregistered or misleading organization may mean your donation goes to overhead, a different cause, or criminals.
• Only gifts to IRS-recognized 501(c)(3) organizations are typically tax-deductible (check IRS guidance before assuming deductibility).

(Author note: In my practice advising donors and fiduciaries, a short verification routine prevents nearly all common mistakes and protects both money and goodwill.)

Step-by-step verification workflow

1. Ask for the organization’s full legal name and EIN. Do not rely on a trade name or a shortened title. The EIN (Employer Identification Number) is the single most reliable identifier.
2. Confirm tax-exempt status on the IRS Tax Exempt Organization Search (TEOS). Search the organization’s name or EIN to confirm 501(c)(3) status and whether the charity’s deduction claim is valid. (IRS Charities & Nonprofits: https://www.irs.gov/charities-non-profits)
3. Pull the most recent Form 990. This IRS filing shows revenue, program vs. administrative expenses, and key officers. Look for: program service revenue, fundraising costs, and net assets. If the organization won’t or can’t provide a recent 990, treat that as a red flag.
4. Check state charity registration. Many states require charities to register with the attorney general or a consumer protection office before fundraising. Search your state AG site or call their consumer division.
5. Use independent evaluators. Cross-check ratings and transparency profiles on reputable sites such as Charity Navigator, Candid (GuideStar), and the BBB Wise Giving Alliance. These platforms summarize financial health and accountability.
6. Verify the website and payment method. Confirm the URL is correct, uses HTTPS, and that online payments go to an account in the charity’s name. Prefer credit-card donations (gives dispute options) or checks payable directly to the charity. Avoid wiring money, prepaid gift cards, or requests for cryptocurrency unless the recipient is an established organization with documented crypto policies.
7. Get a written receipt and donor acknowledgement. For tax purposes, a written acknowledgement is required for cash gifts of $250 or more—keep the charity’s documentation.

What to read on Form 990 (practical checklist)

• Executive compensation: very high pay for very small charities can be a red flag.
• Program service expenses: these should represent a meaningful share of overall spending.
• Fundraising expenses: compare fundraising cost to funds raised—excessive fundraising cost is a concern.
• Related-party transactions: watch for payments to businesses owned by board members.

Note: ratios vary by mission and size; context matters. Use the 990 as a conversation starter with the organization if anything looks unclear.

Clear red flags that suggest a solicitation is not legitimate

• Pressure to donate immediately or a refusal to provide written information.
• Requests for payment by gift card, wire transfer, cryptocurrency, or peer-to-peer apps.
• No EIN or refusal to provide it.
• Website typos, recently registered domain, or URLs that mimic an established charity’s name.
• Donor lists or testimonials that can’t be verified.
• Inconsistent telephone numbers, or calls from unfamiliar area codes asking for urgent gifts after disasters.

If you see one or more red flags, pause, and verify before giving.

Sample script to use when you’re unsure

• “Can you provide your organization’s legal name and EIN so I can verify your tax status?”
• “Do you have a recent Form 990 or an annual report I can review?”
• “Can I donate by credit card through an official page on your website? Please spell the URL for me.”

A legitimate charity will provide that information willingly and clearly.

Special cases and nuance

• Disaster appeals: watch for copycat names and new groups claiming to help victims. Consider donating to long-established disaster relief organizations or national intermediaries that vet local partners.
• Text-to-give programs: confirm the text number and that proceeds go to the named charity. Scam texts can clone short codes—verify on the charity’s official website before replying.
• In-person volunteers/door-to-door fundraisers: ask for ID and the fundraiser’s organization paperwork; you can request a return visit with written materials.

Tax and recordkeeping reminders

• Keep receipts and written acknowledgements for tax records. The IRS requires a contemporaneous written acknowledgement for cash gifts of $250 or more if you intend to claim a deduction. (See IRS guidance on charitable organizations.)
• Noncash donations have separate documentation rules; for guidance, see our related article on documenting noncash gifts: How to Document Charitable Noncash Donations for Taxes.

If you think you were scammed

1. Contact your bank or credit-card company immediately to dispute the transaction.
2. Report the solicitation to the Federal Trade Commission at https://reportfraud.ftc.gov/ and to your state attorney general’s consumer protection office. (FTC guidance: https://www.ftc.gov)
3. Notify the charity named in the solicitation if the scam used their name or logo—established charities often track impersonation.
4. Consider filing a complaint with the IRS if a group falsely claims tax-exempt status; see the IRS charities page for reporting options.

Practical donor protections (best practices)

• Give to organizations you can verify through multiple sources.
• Prefer checks made out to the organization or credit-card transactions that can be disputed.
• For large gifts, ask for a written funding plan and measurable objectives—responsible charities will provide impact reporting.
• Use donor-advised funds or established community foundations if you want professional vetting for charitable grants.

Where to learn more and related resources

• IRS Charities & Nonprofits (tax-exempt status and Form 990 guidance). (IRS)
• Federal Trade Commission: reports and tips on charity scams. (FTC)
• Consumer Financial Protection Bureau: avoid charity scams. (CFPB: https://www.consumerfinance.gov/about-us/blog/avoid-charity-scams/)
• Charity Navigator and Candid (GuideStar) for independent ratings and 990 access.

For deeper reading on vetting nonprofits, see our guide “Charity Due Diligence: Vetting Nonprofits Before You Give“, which offers a checklist and sample questions for stewardship calls. If you’re planning noncash gifts, review “How to Document Charitable Noncash Donations for Taxes” for recordkeeping and valuation notes.

Final takeaways

A five-minute verification routine—confirm EIN, check the IRS TEOS, skim the latest Form 990, and validate the payment method—stops most scams and ensures your generosity reaches the intended cause. If you’re advising family or clients, print this checklist and keep it with your giving plan.

Professional disclaimer: This article is educational and not individualized financial, tax, or legal advice. For decisions about large gifts, tax planning, or estate-charitable strategies, consult a qualified financial advisor or tax professional. (Sources: IRS, FTC, CFPB, Charity Navigator, Candid.)