Australians are warned to be very cautious when donating to charities this festive season, after a series of massive data leaks and scams.
The Australian Charities and Not-for-profits Commission (ACNC) said on Tuesday that fake charities are on the rise.
ACNC acting commissioner Deborah Jenkins said “hundreds of thousands of dollars” have been lost to fake charity scams this year.
Millions of Australians have also been affected by data hacks, such as Medibank and Optus, which leave people more vulnerable to scams.
“With cost-of-living pressures and the impacts of floods in many parts of the country, we all know many people need our support right now,” Ms Jenkins said.
“We are generous and we turn to charities to provide help to people who are most in need.”
However, scammers take advantage of the giving season and prey on generosity and goodwill. They bombard people with texts, emails or phone calls, and use social media.
“They pull at our heartstrings, asking us to dig deep, wanting a snap decision,” Ms Jenkins said.
“But it is important to stop and ask yourself: Who are you giving your money to? Who are you giving your data to?”
Tweet from @ACNC_gov_au
How to avoid being scammed
There are about 60,000 registered charities in Australia and they do “extraordinary” work within the community, Ms Jenkins said.
There is a simple tool people can use to ensure their donations are going to a genuinely good cause.
The Australian Charities and Not-for-profits Commission has a Charity Register that people can use to check whether an organisation is a registered charity.
“It instantly shows you details such as an organisation’s ABN, or if it is up to date with required reporting,” Ms Jenkins said.
“These are basic signs that a charity follows the rules – that it is accountable and transparent.”
It is also better to actually go to a charity’s website, instead of clicking on a link you have been sent, she said.
Australians lost $92 million to scams in 2021 (the latest figures), according to the Australian Competition and Consumer Commission (ACCC). That was up a whopping amount from the 2020 figure of $49 million. The ACCC wants more done to stop scams.
The top five scams for 2022, according to the Australian Communications and Media Authority, included fake Amazon calls, those impersonating banks, faux NBN calls, followed by Telstra and eBay scams.