After a series of recent tragic events, lots of people have been giving money to others, either through charities or individual donation pages, such as GoFundMes.

Using crowdsourcing platforms like GoFundMe can be a great way to give back to others, if you have enough money to do so. It’s important to make sure the funds end up in the right place though, such as with victims or their families. Here are a few ways you can check.

If you need support, you can contact:

• 13YARN 24/7 crisis support for Aboriginal people – 13 92 76
• Brother to Brother 24 Hour Crisis line for Aboriginal men – 1800 435 799
• Lifeline 24/7 crisis support – 13 11 14
• BeyondBlue – 1300 224 636

Making sure crowdfunding pages are trustworthy

A few things to check include:  

1. How is the person organising the fundraiser related to the recipient

Sometimes friends and family members collect money on behalf of others when the reci

pient isn’t able to do so themselves. Clarifying how the organiser knows the recipient and how they plan to give them the money is sometimes a good start.

2.  Does the page say how the money will be used?

Before donating, it’s often good to check how your money will be used. For example, it may be used for medical treatment, to start a business or to help pay for funeral costs. If the page doesn’t say this, you can ask further questions to the fundraising organiser.

3. How will the money get to the recipient?

Sometimes, the recipient’s bank details are linked to the GoFundMe, so that donations go directly into their account. Other times, a friend or family member collects them on their behalf. If you’re unsure of how the money will reach the recipient, this could be another question to ask.

4. Are family members and close friends making donations?

If several family members and close friends are making donations to the page, it can be a sign the fundraiser is legitimate – especially if the amounts are high. However, scammers can still pose as family members and friends, so if in doubt, it’s worth asking some more questions.

Like every article on this website, this is not personal financial advice.