BBB: Beware charity, travel, email phishing scams during the holidays

CHICAGO (WLS) -- People often give back during the holiday season. But the Better Business Bureau said they should do their research before making a donation. The BBB also said to watch for travel scams and email phishing scams during the holidays.

PRESS RELEASE

Better Business Bureau Data Shows Lack of Understanding, Scrutiny Among Donors

Today is Giving Tuesday which is a time for donors to think about supporting causes that matter to them. The Better Business Bureau shares the following information from their recent study showing what donors consider when verifying their trust in a charity and what other factors they should be include when making giving decisions.

This study on how Americans donate to charities pinpoints a lack of donor understanding and the need for simple tools to help donors give wisely. The recent study through the Better Business Bureau Wise Giving Alliance reveals that Americans consider finances to be the most important indicator of trust, which is a misguided review of a nonprofit organization according to the Better Business Bureau.

According to the study, Americans would verify their trust in a charity by looking at:

46 percent said finances;

20 percent cite ethics;

14 percent use name recognition of the charity;

11 percent said results.

In fact, no single measure can signal if a charity is trustworthy or not. Judging a charity by its overhead ratio or impact as sole barometers cannot accurately portray the overall performance and health of an organization.

"Donors basing giving decisions on only financial information may have a false sense of confidence," says Steve J. Bernas, president & CEO of the Better Business Bureau serving Chicago and northern Illinois. "They should holistically review a charity before donating. Better Business Bureau online reviews make it easy for donors to ensure they are giving their time and money to a trustworthy charity."

The most important action a donor can take before donating is to check the trustworthiness of the charity. The Better Business Bureau evaluates charitable organizations on 20 standards for charitable accountability covering governance, effectiveness reporting, finances, appeal accuracy and other issues to assist donors in making informed giving decisions.

Better Business Bureau Charity Reviews

The Better Business Bureau verifies the trustworthiness of charities by completing rigorous evaluations based on 20 standards for charitable accountability that address charity governance, effectiveness reporting, finances, fund raising, appeal accuracy and other issues. There is no charge to charities for the evaluation, and resulting reports are available at www.bbb.org.

For information on charity reviews or to begin a review for your charity, contact Nina Castle at ncastle@chicago.bbb.org or call 312-245-2516.

PRESS RELEASE

Don't Let Your Travel Plans Become "The Nightmare Before Christmas"

During this year's holiday season, lower gas prices are expected to fuel greater travel both on land and in the air, but the Better Business Bureau (BBB) warns that consumers need to be on the lookout for travel scams.

Using email, text messages, robo calls, Craigslist and published ads, scammers send great offers for flights, hotels or condos rentals offering luxury accommodations at bargain prices.

"The first thing that should come to mind is that if it sounds too good to be true, look out," says Steve J. Bernas, president and CEO of the Better Business Bureau serving Chicago and Northern Illinois. "Being a bargain hunter is wise but when there may be thousands of dollars on the line, being careful is smarter."

In cases where the offer is for accommodations, travelers may arrive at their destination only to find that if the hotel exists, it doesn't live up to what it's advertised to be. At best, the luxury hotel turns out to be a dump and amenities promised aren't provided or aren't worth the "bargain" price paid. At worst, the hotel reservation never existed. In condo rentals, the traveler arrives to find the condo they paid for either doesn't exist or doesn't belong to the scammer who rented it.

Travel scams also include flights at incredibility low prices. A red flag is that a payment needs to be made upfront via credit card, Green Dot Card, or money transfer. After the payment is made, no tickets arrive.

During the holidays, for many reasons, travel plans are made last minute. But there are signs to warn you're dealing with a scammer:

You get a cold call, cold-text, or email out of the blue.

Your contact doesn't or won't give you any specifics about the offer.

The contact is made via a robocall.

The BBB offers these tips as protection against vacation scams:

Check for full company details in any ads and on websites. Find the company's name and address then check that they actually exist.

Keep an eye out for bad spelling and grammar.

If the company has been recently set-up or changed hands, be suspicious.

Beware if you are encouraged to pay in cash because they are not accepting credit cards due to high fees.

Don't be tempted by price.

Book directly with an established hotel or reputable travel agent.

Establish that you are dealing with the property owner or manager.

Confirm everything offered in writing before payment is made.

Pay only by credit card.

Get refund policies in writing.

PRESS RELEASE

Consumer Alert: Email Phishing Scams Escalate

Between now and Christmas Eve consumers will make millions of online transactions. This traffic has cyber-criminals prepped and ready to pounce. For each legitimate confirmation email that will be sent by online retailers, there will be just as many that are fraudulent. The Better Business Bureau (BBB) is issuing an alert to consumers warning of "phishing" scam emails that may hit their inboxes.

"The scammers target individuals posing as major online sellers like Amazon, eBay and airlines," says Steve J. Bernas, president and CEO of the Better Business Bureau serving Chicago and Northern Illinois. "Because consumers are anxious to receive confirmation of their purchases, they more easily fall into the trap of opening phishing and other malicious emails."

The criminals are out to get personal and financial information to use for identity theft and other illegal activities. As an example the Amazon phishing emails have a subject of "Your order on Amazon.com" and return address of "amazon.com" and use actual Amazon graphics making them appear real. The email also has an attachment that when opened, installs a Trojan virus that creates a process that will harvest banking information, email logins and social media accounts.

Bernas also suggests employers warn their employees not to open attachments from major retail sites. "Trying to stay ahead of their Christmas shopping employees try to get some purchases done during the work day. However, doing so can put your company at risk for a security breach. Because it's difficult to monitor this kind of activity it's important to make sure you company's computers have reliable email filters that will prevent spam, protect inboxes and check for suspicious content."

Here are some tips you can use to avoid becoming a victim of a cyber-crime:

If you are expecting a confirmation receipt, log into your account and check for confirmation there.

Be cautious of emails that contain attached files.

Don't respond to unsolicited emails.

Don't click on links in unsolicited emails.

Avoid filling out forms contained in email messages asking for personal information.

Make sure that all links in an email match.

If you are requested to act quickly or are told that there is an emergency it may be a scam.

Install anti-virus software and keep it up to date.

Install a personal firewall and keep it up to date.

If you might have been tricked by a phishing email:

File a report with the Federal Trade Commission at www.ftc.gov/complaint.

Visit the FTC's Identity Theft website. Victims of phishing could become victims of identity theft; there are steps you can take to minimize your risk.

Forward phishing emails to spam@uce.gov - and to the company, bank, or organization impersonated in the email.

For more information on scams, visit www.bbb.org, like us on Facebook or follow us on Twitter.