Where Do Your Charitable Clothing Donations Really Go?

 You’re looking through your closet and come to the realization that the bulk of your clothes either don’t fit, or are embarrassingly outdated.   It’s time to weed out the unnecessary elements of your wardrobe.   But you don’t feel right about just tossing those old sweaters and perfectly worn-in jeans in the garbage, so you decide to donate them to charity.  

You throw them in a bag and drop them off in a donation bin, feeling good about yourself.   What you don’t know, is rather than helping the poor, you may have just helped make someone rich.  

Many boxes have words like ‘donations’, ‘care’, or ‘charity’ plastered on them, but in fact some companies can make as much as $3 million a year taking advantage of the generosity of others.  

That irks legitimate charities, like the Society for Permanent Recovery.   Dave Mailman, who runs the organization, finds it deceitful and exploitative.

“I don’t think it’s fair to the public that they drop off a bag of clothes in someone’s box and so someone else can get fat,” he said.

“There’s some good work being done, but I guess there’s an equal amount of corruption in the industry.”

For-profit boxes are legal, however, making it difficult if not impossible to curb.   Registered charities are still trying to stem the activity by designing a sticker that would go on the boxes, allowing citizens to differentiate which ones are for profit and which ones are being used to help the needy.

“What we’re going to try to communicate to the public is, if you see the sticker, this is peace of mind for you,” adds Steve Chandler of Ont. Fed. for Cerebral Palsy.

But he may not have to worry for long. As of January 1, 2007, the city of Toronto will require that all bins clearly identify whether they are a legitimate charity or not.

Here are some tips on how to check out a charity before you give them any money or goods.

**Ask for a copy of their annual report and get some written information before sending anything.

**Ensure they give a receipt. Most charitable donations in Canada are tax deductible but require proof you gave.

**If you’re being solicited by phone, ask if they’re calling from a marketing organization. Many charities farm out their fundraising to companies who do the calling, and some of your money may be going to pay them for their trouble. Some legitimate places also take your money to pay for administrative costs as well as helping the needy.

**Don’t give in to high pressure tactics. Reputable charities may play on your sympathy, but they shouldn’t turn the screws to make you give.

**Never send cash or make a cheque out to the person asking for your donation.

**Check to see if physical charities, like clothing donation drop-off boxes, actually give those donations to the needy or resell them for a profit.

**Keep a record of what you’ve already given. Charities often send out multiple appeals throughout the year and you may have forgotten who you’ve already donated to.

**Beware of claims that all proceeds go to charity. Sometimes that means after expenses are covered.

**Get the organization’s registration number, which is required by law. If you want to check on a charity, call Revenue Canada at 1-800-267-2384, or you can search for them online here.