Avoid Hurricane Sandy Charity Fraud

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We know far too well: wherever the headlines are - scammers will strike.

Washington residents should do due diligence before giving to anyone soliciting donations on behalf of hurricane victims. Solicitations can originate as emails, websites, door-to-door collections, mailings, telephone calls, and other similar methods.

Protect Yourself When Donating to Charities
If you are asked to make a charitable donation to help people in disaster-affected areas, consider these tips from the Federal Trade Commission on giving wisely:

• Donate to charities you know and trust. Be alert for charities that seem to have sprung up overnight. You can verify the a charity is registered to do business in Washington by checking with the Secretary of State website at www.sos.wa.gov/charities/search.aspx  
• Ask if the caller is a paid fundraiser, who they work for, and what percentage of your donation goes to the charity and to the fundraiser. If you don’t get a clear answer — or if you don’t like the answer you get — consider donating to a different organization.
• Do not give out personal or financial information. Do not give out your personal information such as your credit card or bank account number – unless you know the charity is reputable.
• Check out a charity before you donate. Contact the Better Business Bureau’s Wise Giving Alliance at www.give.org.  

Investors: Beware of Hurricane Sandy Investment Pitches
The North American Securities Administrators Association (NASAA) is also warning investors to beware of Hurricane Sandy investment pitches.

Investors should beware of cold-calling telephone salespeople, advertisements, and Internet postings that promote investment pools or bonds to help storm victims, or tout water-removal or purification technologies, electricity-generating devices and distressed real estate remediation programs should be a red flag for investors.

For more information about Hurricane Sandy related investment fraud, visit www.nasaa.org/17185/nasaa-warns-investors-to-watch-for-sandy-scams/

Report Fraud
Suspected fraudulent activity pertaining to relief efforts associated with Hurricane Sandy should be reported to the toll-free National Center for Disaster Fraud hotline at 866-720-5721. The hotline is staffed by a live operator 24 hours a day, seven days a week, for the purpose of reporting suspected scams being perpetrated by criminals in the aftermath of disasters.