Even in the best of times, scammers exploit generosity. But during the holidays, when giving is high and emotions run even higher, they become especially aggressive.
A few years back, a massive telefunding scam was uncovered after authorities revealed that the perpetrators had made 1.3 billion deceptive donation calls and stolen over $110 million from unsuspecting donors. (Federal Trade Commission)
Meanwhile, researchers at Cornell University found more than 800 social media accounts running donation scams, tricking users into contributing to fake fundraisers on platforms like Facebook, X and Instagram.
For Salt Lake City businesses, falling for a fraudulent charity doesn’t just mean losing money – it could tie your brand to fraud, damage your reputation and weaken the trust you’ve built with clients, partners and the local community.
Here’s how to stay protected this season with smart vetting, scam awareness and reliable IT support for Salt Lake City businesses.
How To Vet A Fundraiser Before You Donate
A legitimate fundraiser should answer the following:
Who is organizing this, and what’s their relationship to the recipient?
How exactly will the money be used, and over what time frame?
Who controls withdrawals? Is there a clear, direct path to the recipient?
Do friends or family of the recipient publicly endorse the campaign?
If any of these are unclear, request more information. If you get silence or vague answers, that’s a red flag.
Red Flags That Often Signal Scams
If you spot these, it’s time to stop and investigate:
False or misleading information on the donation page
Delayed or misused funds
Stolen identities or copied stories from other fundraisers
Overly emotional or manipulative stories with no verification
See multiple red flags? Report the fundraiser and do not donate.
Vetting Charities (Not Just Crowdfunds)
Even registered nonprofits can have shady practices. Be sure to look for:
Detailed program descriptions, clear financial breakdowns and annual reports
Transparency around how donations are spent (programs vs. overhead)
Charity names associated with search results like “fraud,” “scam” or “complaints”
If you find negative reviews or a lack of details, proceed with caution.
Common Tactics Charity Scammers Use
Keep an eye out for these tactics:
Asking for donations through gift cards, wire transfers or cryptocurrency – reputable organizations accept credit cards or checks.
No HTTPS in the website URL – if it’s missing the "s," your data isn’t secure.
High-pressure tactics to donate immediately
Messages claiming you already pledged when you didn’t – always verify.
Scammers are clever. Even polished websites and heartfelt language can hide malicious intent.
Why This Is Important For Salt Lake City Businesses
When your business gives to charity – whether publicly or behind the scenes – that generosity reflects on your brand. A donation to a fraudulent cause, or even an employee giving under your company’s name, can put your business in a negative spotlight.
What’s more, scammers use the same tactics in these donation scams as they do in phishing, wire fraud, and business-targeted cyberattacks. Teaching your staff to spot fake fundraisers is part of broader IT services for Salt Lake City businesses aiming to boost overall cybersecurity.
How To Protect Your Business (And Your Generosity)
Follow these steps to protect your donations and reputation:
Donation Policy: Clearly define how, where and when your company donates. Set approval levels.
Employee Awareness: Educate staff about fake fundraisers and encourage verification before donating under your business name.
Trusted Channels Only: Always donate via official charity websites, not through links sent by email or social media.
Verify Public Giving: If your company promotes its giving publicly, triple-check the charity’s legitimacy.
Follow-Up: After donating, monitor how funds are used. Reputable charities publish reports.
Keep Your Holidays Generous – Not Risky
The holidays should be about giving, not second-guessing. Smart vetting and policies help you give with confidence and protect your brand.
Want to ensure your team knows how to avoid scams – from fake fundraisers to phishing emails?
Book your free discovery call here
Because the best gift you can give your Salt Lake City business and community is a foundation of trust and security, powered by dependable IT support for Salt Lake City businesses.
