Consumer Charitable Giving Guide for the Holidays for the Holiday Season

Tis’ the season for giving and there are many ways you can give back to your community this holiday season. Whether you’re donating money, gifts, or your time, the BBB Wise Giving Alliance has guidance to help make sure your contributions have the most benefit for those in need this holiday season.

According to the Giving USA Foundation, donations totaled $295 billion in 2006; individuals accounted for 83.3 percent of this amount. In addition to donations, more than 61 million Americans volunteered their time for charitable and national service organizations.

If you plan on being one of the millions of Americans to donate time or money this holiday season, the BBB Wise Giving Alliance offers the following advice:

When in doubt, check it out. When an unfamiliar organization asks you for a donation, don’t give without gathering details about the charity, the nature of its programs and its use of funds. Also contact the BBB Wise Giving Alliance or go to www.bbb.org/charity for a BBB Wise Giving Report on the charity.

• Think before you give. If you are solicited at the mall or on the street, take a minute or two to “think.” Ask for the charity’s name and address. Get full identification from the solicitor and review it carefully. Ask to see written information on the charity’s programs and finances.


• Giving later might be better. Never feel pressured to give on the spot. Legitimate charities will welcome your money tomorrow. If the solicitor pressures you with intimidation or harassing phone calls, don’t hesitate to file a complaint with BBB.


• Watch out for cases of mistaken identity. With more than one million charities in the U.S., it’s not surprising that some charity names sound alike. Be careful that the one soliciting you is the one you have in mind.


• Don’t accept vague claims. If something is being sold to benefit a charity, be wary of vague statements such as “all proceeds go to charity” or “your purchase will benefit a charity.” Look for a disclosure that indicates the actual or estimated amount of the purchase price that the charity will receive to fund its programs.


• Unordered merchandise is free. If a charity sends you greeting cards, address labels or other merchandise with an appeal for donations, you are not obligated to make a donation or pay for the items.


• Watch out for charity fraud. Legitimate charities do not demand donations; they willingly provide written information about their programs, finances or how donations are used; and they never insist you provide your credit card number, bank account number or any other personal information.


• Donate toys, food or services. Consider donating food, toys, clothing or other items needed during the holidays. Volunteering your time is another useful and much appreciated option.


• Remember, not all soliciting groups are charities. If you want to take a charitable deduction for federal income tax purposes, make sure to verify the organization’s tax-exempt status first. You can check out a charity’s tax-exempt status at http://apps.rs.gov/app/pub78.

For more trustworthy information and advice from the BBB Wise Giving Alliance on how to make informed donor decisions this holiday season go to www.bbb.org/charity.

Consumers Encouraged to Avoid Debt “Hangovers”

BBB Offers Tips to Use Credit Cards Responsibly

Ridgeland, Miss. November 5, 2007 – With holiday shopping in full swing, credit card charges are surging. Consumers appreciate the convenience and safety of credit card transactions. The “buy today, pay later” philosophy has become a holiday tradition.

“Credit cards are useful tools when used responsibly," said Bill Moak, President/CEO of the Better Business Bureau (BBB) of Mississippi. "The challenge is to remember the ‘pay later’ part of your credit card agreement. The BBB encourages consumers to carefully review credit card options in order to avoid a post-holiday credit ‘hangover’.”

This is particularly important if you are considering applying for a new credit card. US households receive an average of six card solicitations per month which can be tempting this time of year, the BBB advised.

“Our BBBTips™ on Credit Cards is designed to help guide consumers to make credit card decisions that are right for their particular financial circumstances,” said Moak. The BBB system's new educational resource is available online at www.bbb.org/tips/clearpoint. BBBTips™ on Credit Cards is intended to assist experienced cardholders as well as those seeking to qualify for their first credit card.

Topics include:

• Various types of credit cards, reward programs and other enhancements;
• The pros and cons of credit cards;
• Credit terms and definitions;
• Understanding credit card solicitations and applications;
• Deciding which credit card is right for your situation;
• Evaluating balance transfer offers;
• Steps to take if you cannot make a payment.

“Consumers need to carefully examine all credit card offers before deciding what suits their budget and spending patterns. We join with the BBB to provide practical information about credit cards to help consumers be credit ‘wise’ and creditworthy," said Dan Oelrich, President and CEO of ClearPoint.

The BBBTips™ program supplements other helpful information provided by Better Business Bureaus to promote an ethical marketplace. In 2006, BBBs in the United States and Canada provided more than 90 million instances of service to consumers and businesses. At the Mississippi headquarters, more than 400,000 information requests and 2,700 complaints were handled during the past 12 months.

For assistance from the BBB of Mississippi, visit http://www.ms.bbb.org/ or call 800.987.8280.
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