Floods are happening more and more often. Unfortunately, it means that your chances of being affected by a flood one way or another are getting bigger every year. However, even if the floodwater has not touched your property this season, you still risk falling victim to another related disaster - flood charity scams.
Whether you, your home or business have suffered from water damage directly or you have witnessed the devastating effect of the disaster on others, this traumatizing experience can sometimes force us to let our guards down, making us particularly vulnerable to the predators ready to prey on our fears and sense of insecurity.
In this article, we shall talk about the most common flood charity scams you may have probably heard of already or are likely to face in the nearest couple of months and provide some tips on how to recognize them and protect yourself on time.
What are Charity Scams, and how do they work?
Charity Scams are usually fake fundraisers that claim to help your local community or particularly affected groups such as small businesses, families, or farmers to overcome the destructive outcomes of flooding.
In other words, those are fake fundraisers that use the fact that public generosity (especially of those people who managed to avoid losses and destruction) usually rises greatly after any disaster.
For example, if your house or business remained safe during flooding because you managed to get and install your flood barriers on time, you may naturally feel sorry and even guilty in the face of a neighbor who might have suffered great losses because they didn't manage to protect their property accordingly.
Charity scams prey on this sense of guilt and emphasize it in their pamphlets and messages with phrases like "help the less fortunate," implicating that the fact that you stayed safe is only a result of pure luck, not your hard work and ability to predict and take action on time.
Warning signs of charity scams.
There is no particular place where you are most likely to bump into a charity scam and recognize it easily. Several years ago, the collectors mainly approached people who live or work in affected areas in the streets, homes, and offices. Today they have added e-mail marketing, virus videos on social media, and messengers to their arsenal.
Therefore, it is essential to keep in mind several warning signs that may indicate that you are dealing with a scammer:
- They never give clear information about the charity project aka address or phone numbers, name of the organizations, location of the head office, and registration certificates;
- They will refuse to answer or even become defensive if you ask about the details of the donation distribution or any kind of financial reports;
- They usually ask for cash or transfers through PayPal, etc. Would hardly ever accept checks or bank transfers;
- They never provide receipts for the transfers, and if they do, those are usually pretty vague documents without addresses or any other details of the organization.
How to easily detect and avoid charity scams?
It is getting really hard to detect charity scams today. The development of social media and digital services that allow you to build a professionally-looking website within several hours may make any fundraiser look legit and attractive.
However, there are several ways to understand that you are probably dealing with a charity scam:
- If it has an Instagram profile, you can check its history. Once the profile has been created not so long ago or had an entirely different name and theme before, you are probably dealing with a scam;
- Google the organization's name, address, phone number, and people related to it.
If you are really willing to help people who have been affected by flooding, make sure to research and contact charity organizations yourself. There are definitely some credible local and nationwide fundraisers that work in your area and have a good reputation.
Price gouging
Remember how prices on face masks, hand sanitizers, and other hygiene goods skyrocketed in 2020? It is a classic example of price gouging, which is technically another unfair practice related to natural disasters and emergency situations that can be considered a scam.
When you see that some brand picks up prices for their flood barriers or other supplies right before the flood season or for certain regions, it is classic flood-related price gouging. Supporting such brands, you encourage their unconscious practices.
To avoid such situations, make sure to research the price range, reviews, and reputation of the company where you are planning to get your flood control and after-flood recovery goods.
Remember that price gouging and other unconscious practices may actually be qualified as a scam if reported to local authorities who find them guilty. In this case, a business or private entrepreneur may be fined anywhere from $500,000 up to $10 million, depending on the damage done.
Door-to-door repair services scam
Another scam that is pretty common right after natural disasters like floods is the unlicensed door-to-door repair services. Once your house or business has been damaged by the floodwater badly, you definitely want to fix all the damage as soon as possible and at the same time have too many other things on your plate to research every contractor and repair service, compare prices, etc.
Scammy door-to-door repair services know it, and try to use your stress and insecurity to get the most out of your pocket.
They often represent themselves as charity organizations that do their job for free, while you will only have to pay for the materials used for repairs and clean-up. At the same time, the prices they announce are often so unfairly high that the repairs from those charity scams come out more expensive than any other available option.
It is also worth mentioning that these scammers normally don't have any license or insurance and don't provide any warranty for their work. It means that there is a big chance that you will notice flaws right after they leave your property, but there will be no chance to return your money or make them fix their mistakes.
To avoid such cases, make sure to:
- Check the license, certificates, and other documents that prove that you are dealing with a legit organization or business;
- Research the organization or business, collect reviews, and make sure that the company did not appear just a couple of days ago;
- Don't allow the representatives of such "charities" or contractors pressurize you into making rush decisions;
- Make sure all the documents, invoices, and other information they provide have the same contact names, phone numbers, and other information.
Flood or hurricane seasons are extremely stressful periods when anyone can easily become a target of scammers, unconscious merchants, and phony organizations that seek an opportunity to reach out to your wallet.
However, it is exactly the moment when you don't want to make rush decisions or take opportunities that seem too good to be true. Big chances, they are, and eventually, you will have to carry even bigger losses, and damage than the original disaster has caused you.
Do you want to learn more about flood safety rules and get the most relevant tips on flood control and after-flood repair? Contact Dam Easy today. Our team will be happy to answer all your questions and help you make informed decisions about flood and disaster control for your home or business, flood barriers for homes, or flood gates for all sorts of properties.
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