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AG: Telemarketers taking big bite of charity donations
That telemarketer asking for your money to give to a worthy cause may be getting a bigger slice of your dollar than the charity, Attorney General Eric Schneiderman said in a report Friday.
Schneiderman found that fundraisers were paid an average of 61.5 cents for every dollar raised on behalf of New York charities in 2011. The charities were left with 38.5 cents. Schneiderman said he has issued more than a dozen subpoenas in an investigation into whether fundraisers broke any laws.
“New Yorkers expect that their hard-earned dollars will make a difference and not line the pockets of for-profit fundraisers at the expense of charity,” Schneiderman said in a news release.
In 602 fundraising campaigns examined by Schneiderman’s office, only 135 passed along 50 percent or more of the funds raised to the charities. In about 12 percent of the campaigns the charities ended up owing money to the fundraisers.
The report, "Pennies for Charity," and more information on charities can be found on a website set up by Schneiderman.
Pictured above: NY Attorney General Eric Schneiderman