Today is the first ever South Dakota Day of Giving, a fundraising effort by around 400 of the non-profit organizations in the state which coincides with the national event known as Giving Tuesday.
The Better Business Bureau says people are more apt to give during the holiday season than any other time of the year and has some tips to be sure your donation is actually going to the organization or cause you want to receive it.
The BBB has released the Give.org Donor Trust Report, correcting some public misconceptions.
1. Don’t assume that charity size and regional scope signal trustworthiness. Sixty-seven percent of survey respondents said they trust local charities more than national and 62 percent trust small organizations more than large ones. In BBB’s Give.org experience, however, charities of all sizes and scope can demonstrate good and bad accountability practices.
2. Don’t assume verifying trust is easy. The Give.org Donor Trust Report shows younger generations are more likely than older donors to believe verifying trust is easy and can be accomplished by examining the charity’s appeal alone. Donors are encouraged to check out charities at Give.org to verify if they meet the 20 BBB Standards for Charity Accountability which address charity governance, finances, results reporting and solicitation practices.
3. Don’t rely on stories and passion alone in assessing trust. The survey results also indicate 46 percent of Generation Z (ages 18 and 19) and 32 percent of Millennials (ages 20-36) tend to attribute trust to those organizations that demonstrate more apparent passion and sincerity in the appeal. In BBB’s Give.org view, such indicators are not a reliable means to verify trust and could leave younger donors vulnerable to questionable solicitations.
4. Don’t focus excessively on financial ratios. While financial ratios are an important part of a charity’s overall picture, excessive focus on low overhead spending can be misguided and potentially harmful to an organization’s capacity for service. Consider a more comprehensive view of a charity’s activities in order to make a wise giving decision.
This Give.org Donor Trust Report involved an online panel survey of 2,100 adults (18 and above) across the United States.