Four common charity scams and how to avoid them
Christmas is the season of giving, making it a perfect opportunity for scammers looking to take advantage of your generosity.
This time of year is a popular fundraising period for many genuine charities. Sadly, fraudsters know this and are also looking to cash in, usually by pretending to represent real or fake charities to steal people’s money.
Here’s what to look out for to avoid donating your money to a scam, plus ways you can check your cash is going to a good cause.
Sign up for scam alerts
Our emails will alert you to scams doing the rounds, and provide practical advice to keep you one step ahead of fraudsters.
Sign up for scam alerts
Common charity scams and how they work
Action Fraud data shows that charity fraud cases were consistently reported throughout the past year, with a shocking £1.2m lost by individuals between October 2023 and October 2024.
There are a few common types and tactics used in charity scams. Many are online, but fraudulent fundraisers also often target victims in person or by phone.
1. Doorstep fundraising fraud
Door-to-door scammers come to your home asking for donations for charities that don’t exist, or they may lie about fundraising for a real charity. Sometimes they can persuade you to sign up for a direct debit that pays regular donations - similar to a subscription scam.
Scammers can have professional-looking branded leaflets, collection buckets and even a card payment device, which can make them seem legitimate.
One victim told us she was recently visited at home by someone wearing Christmas-themed fancy dress, who claimed to be collecting cash for the ‘local children’s hospice’. They said they were looking for minimum donations of £10 to help keep the hospice running. Knowing that the nearest children’s hospice was 30 miles away, she probed the fundraiser about the name of the hospice and the work it does. But the visitor seemed reluctant to give much more information. When asked for ID, they showed her their driver’s license rather than a charity ID or fundraising permit.
Avoid the scam: Door-to-door fundraisers need a permit from the local authority to collect cash or sign you up for regular donations. The fundraiser must have ID that shows what charity they’re collecting for and provide a phone number to contact the charity directly. Many legitimate charities no longer fundraise door to door because it’s not usually an effective way to raise funds and can be intimidating for some residents. Anyone knocking on your door asking for cash for any reason should be treated with caution.
2. Street collection cons
As Christmas brings hoards of shoppers out to physical stores, charities often set up collections on high streets and in shopping centres to encourage spur-of-the-moment donations.
Fraudsters can easily blend in, claiming to be collecting cash for well-known charities they don’t really represent, or for fake causes.
Avoid the scam: People collecting for charity in public places, such as on the high street, must have a license – with the exception of some charities in Scotland. Street fundraisers also need a permit from the local authority to collect donations in public places. Fundraisers stationed inside supermarkets or other shops or premises do not always need a permit, but they do need permission from the venue to collect money for charity and should ideally be carrying a charity ID.
3. Cold calls and phishing scams
Cold calling is a pressure tactic scammers use to persuade victims into handing over cash to urgent causes. Fraudsters make phone calls and pretend to be from well-known organisations or ‘struggling’ local charities and can make repeated nuisance calls, manipulating victims into feeling guilty for not donating.
Scam emails and messages impersonating charities are also common. Charity phishing often involves a personal plea for help from an individual, but it can be more sophisticated. Some emails are designed to look professional and branded just like the charity they’re impersonating. The emails usually include a link to a fake website designed to look genuine, which includes instructions on how to donate money.
Avoid the scam: Be wary of any unsolicited emails or messages asking for immediate donations. If it’s a cause you’re interested in helping, find out more about the charity and visit its official website to find out how to donate securely.
4. Fake social media appeals
Social media is very effective for spreading the word about worthy causes in need of support. But it also allows fraudsters to easily reach you with fakes, too.
Common themes in social media fundraising scams include poorly pets and children, disadvantaged families and disaster aid. The messaging, photos and video included are usually emotive and encourage you to donate urgently.
Avoid the scam: It can be hard to tell when adverts are scams, but generic causes and a lack of information about the day-to-day work of the charity can be a sign it may not be genuine. If you’re not sure, research the charity further online and contact it directly to ask how you can donate or help.
How to donate to charity safely
Before donating, you should always check if the charity is registered with the Charity Commission (England and Wales), Scottish Charity Regulator, or Charity Commission for Northern Ireland. Also check that it has a registered charity number.
Small charities raising less than £5,000 a year don’t need to register, and not all organisations that support good causes or benefit communities operate as charities, even though their work may be considered charitable. The fundraiser should be able to tell you more about the organisation’s status and how it spends donations.
You can also check if a charity is registered with the Fundraising Regulator. This means it's committed to best practices in its fundraising activities.
If you're supporting individual charity fundraisers, such as marathon runs and cake mornings, donate using platforms such as Enthuse or JustGiving. Money raised is sent directly to charity, and you get to see everyone’s donations adding up.
Always ignore unsolicited phone calls or emails asking for donations for charities or other causes, even if it’s a charity you’ve heard of. Charities are commonly impersonated in phishing emails. Check out the organisation and donate directly through its official website to support it.
When you donate, don't send your donations via bank transfer and never make donations using money-transfer companies or gift vouchers. If someone is asking you to send money to a charity in this way, it’s a scam.
If you've been the victim of a charity scam, call your bank immediately using the number on the back of your bank card and report it to Action Fraud, or call the police on 101 if you’re in Scotland.
