Holiday Scams in Disguise: How Nonprofits Can Give Generously — Without Becoming a Target

The holiday season brings out the best in people — and, unfortunately, the worst in cybercriminals.

When emotions run high and generosity flows, scammers see opportunity. A few years ago, a massive telefunding operation made 1.3 billion deceptive donation calls, collecting over $110 million from well-meaning donors. (Federal Trade Commission)

Meanwhile, researchers at Cornell University found more than 800 fake donation accounts running scams on social media platforms like Facebook, X, and Instagram.

For nonprofits and small organizations, one mistaken click or unverified donation doesn’t just waste money — it can attach your good name to fraud and weaken the trust that fuels your mission.

Here’s how to protect your generosity — and your reputation — this giving season.

How To Vet a Fundraiser Before You Donate

Before supporting any campaign, make sure it answers these questions clearly:

  • Who is organizing the fundraiser, and what’s their connection to the recipient?
  • How exactly will the funds be used — and when?
  • Who controls withdrawals? Is there a clear, auditable path for the money to reach its target?
  • Are family members, colleagues, or community partners publicly supporting the campaign?

If any of these details are vague or avoided, pause before donating. Transparency is a form of accountability — silence is a red flag.

Red Flags That Signal a Scam

Watch for:
🚨 Misleading or false information on the fundraiser page
🚨 No visible results or progress updates
🚨 Copycat stories or impersonation of real people
🚨 Emotional manipulation that feels too perfect to be true

When you spot more than one of these warning signs, it’s time to step away and report the campaign.

Vetting Established Charities

Even recognized organizations can fall short of expectations. Before donating:

  • Review financial transparency and annual reports.
  • Look for detailed breakdowns of how funds are allocated (programs vs. administration).
  • Search the charity’s name with keywords like “fraud,” “complaints,” or “scam.”
  • Avoid organizations with limited details or poor third-party reviews.

Due diligence protects your mission — and your donors’ confidence in your stewardship.

Common Tactics Charity Scammers Use

🎁 Pressure and Urgency: “Donate now — lives depend on it!” Scammers push emotional urgency to short-circuit logic.
💳 Untraceable Payments: Requests for gift cards, wire transfers, or cryptocurrency — legitimate charities accept secure payments like credit cards or checks.
🔗 Insecure Sites: Missing the “https” in a URL means unencrypted data. Always verify before entering payment info.
📬 Familiar Faces: Fake messages or profiles pretending to represent real people or organizations.

If something feels off, it usually is. Slow down and verify before you give.

Why This Matters for Nonprofits

Generosity is part of every nonprofit’s DNA — but so is responsibility.
When your organization donates, promotes fundraisers, or partners with other charities, your name becomes part of that story.

A single misstep — or an employee donating through your organization’s name — can cause reputational damage that outlasts the financial loss.

Worse, the same tactics used in donation scams are also used in cyber liability incidents — phishing, impersonation, and fake payment requests.
Training your staff to spot fraudulent fundraisers is training them to recognize cyber threats everywhere.

Protecting Your Good Name and Goodwill

✅ Create a Donation Policy: Define how, when, and where your organization donates. Require dual approvals for large gifts.
✅ Educate Your Team: Hold a short briefing about fake fundraisers and online donation scams. Awareness prevents mistakes.
✅ Use Trusted Channels: Always donate directly through verified websites — never from links in emails or social posts.
✅ Be Transparent: Publicly verify the charities you support. Accountability builds trust.
✅ Follow Up: Confirm that your donations are used as promised. Responsible stewardship doesn’t end at checkout.

Keep Your Holidays Generous — and Safe

The holidays are a time to celebrate your mission, not recover from fraud. Smart giving protects more than money — it protects trust, reputation, and the integrity of your work.

The best defense is awareness — and a culture of care that values both generosity and caution.

🛡️ Schedule Your Complimentary Cyber Risk Assessment

Before the new year, make sure your systems, staff, and giving policies are prepared for today’s digital threats.

Our 26-minute credential-free Cyber Risk Assessment helps you understand your cyber liability exposure — without sharing a single password or login.

👉 Schedule your Cyber Risk Assessment today.

Because the best gift you can give your mission this holiday season is trust that can’t be taken.