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Would you donate to a cause if the fundraiser lied about how the money would be spent? Probably not. But that’s what the FTC says Kars-R-Us.com, Inc. (“Kars”) did when it collected vehicle donations on behalf of a supposed breast cancer charity.

In a settlement announced today, the FTC says Kars raked in millions of dollars soliciting donations through TV, radio, and online ads, in English and Spanish. It claimed proceeds would go to United Breast Cancer Foundation (UBCF) to “save lives” by offering free or low-cost breast cancer screenings. But of the $45.5 million Kars raised for UBCF between 2017 and 2022, UBCF spent less than 1% to pay for breast cancer screenings.

Spot an ad for a charity you want to donate to? Here’s how to find out whether it’s legit and will support programs you care about:

  • Do some research. Search the charity’s name plus “complaint,” “review,” “rating,” or “scam.” Use these organizations to research charities. And if you’re looking to donate through a crowdfunding page, learn the signs of a scam before you give.
  • Pay by check or credit card, which are safer. And if a charity insists you pay by wiring money, with cryptocurrency, a payment app, or a gift card, that’s a scam.
  • Check out the charity’s website. Find out how much of your donation will go directly to support the programs you care about. If you can’t find detailed information about a charity’s mission and programs, walk away.

Spotted a charity scam? Tell the FTC at ReportFraud.ftc.gov. 

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