📅 2026 Update: Recent Changes in Fraud Law and Reporting

Since the original article on charity scams was published, there have been important updates to U.S. fraud law and reporting practices. These changes aim to protect consumers better and streamline the reporting process for various types of fraud. The earlier article continues further down the page.

📈 Enhanced Penalties for Mail Fraud

In 2024, penalties for mail fraud convictions increased. This change reflects a stronger stance against fraudulent activities. Mail fraud is now punishable by up to 20 years in prison and fines of up to $250,000 for individuals.

Organizations can face fines up to $500,000.

📜 New Regulations on Liquidation Sales

As of January 2026, the Department of Justice has implemented stricter regulations on liquidation and going-out-of-business sales. These rules require clear disclosures about the sales, helping to prevent consumer deception. This change is significant for shoppers who may encounter scams during such sales.

🚨 Online Reporting for Credit Card Fraud

In 2025, the Consumer Financial Protection Bureau launched an online portal specifically for reporting credit card fraud. This service makes it easier for consumers to report incidents quickly. There's no charge for reporting fraud, encouraging more people to take action.

🕒 Processing Times for Fraud Investigations

The Consumer Financial Protection Bureau aims to acknowledge reports of credit card fraud within 15 business days. For mail fraud, the U.S. Postal Inspection Service generally starts investigations within 30 days.

This quicker response time can help victims start the recovery process sooner.

📌 Key Points Summary

  • Mail fraud penalties increased to up to 20 years in prison.
  • New regulations for liquidation sales require clear disclosures.
  • Reporting credit card fraud is now easier with an online portal.
  • Investigation responses for credit card fraud occur within 15 days.
  • Reporting fraud is free through government channels.

💡 Tips for Reporting Fraud

Review your situation and consult with an attorney for personalized guidance.

📞 Report Credit Card Fraud Immediately

If you experience unauthorized charges, contact your credit card issuer right away. You can also report the fraud through the Consumer Financial Protection Bureau's online portal.

📬 File Mail Fraud Complaints

If you suspect mail fraud, you can file a complaint with the U.S. Postal Inspection Service. Completing their online complaint form is quick and free.

📈 Securities Fraud Tips

Anyone with information about potential securities fraud can submit a tip to the SEC. This can be done anonymously through their online tip form.

⏳ Report Promptly to Reduce Liability

To limit your financial liability for credit card fraud, report unauthorized transactions as soon as possible. If you report within 60 days, your maximum liability is only $50.

🆓 Use Available Resources

Make use of free resources offered by the Consumer Financial Protection Bureau and the U.S. Postal Inspection Service. These agencies provide support and information for victims of fraud.

🏆 Services Ranked by User Reviews (2026)

This section covers services related to credit monitoring and identity theft protection, which are relevant for those concerned about charity scams and other frauds. The rankings are based on Trustpilot reviews as of October 2026. Keep in mind that scores can change, and dissatisfied customers often leave more reviews.

🥇 1. Experian

Experian has been rated 4.1. It is known for offering credit monitoring and identity theft protection services. Reviewers highlight its comprehensive features but note that customer service responsiveness can be an issue.

🥈 2. Assurant

Assurant holds a Trustpilot score of 3.7. It is recognized for its insurance services and consumer protection offerings. However, some users mention that claims processing times can be slower than expected.

🆓 Free Government Assistance

Various government agencies offer free assistance for victims of fraud. The Consumer Financial Protection Bureau provides resources for credit card fraud victims, while the U.S. Postal Inspection Service offers support for mail fraud incidents.

Additionally, the SEC's Office of Investor Education and Advocacy assists investors affected by securities fraud.

🔎 What to Compare When Choosing Services

  • 📊 Trustpilot ratings to gauge user satisfaction.
  • 💼 Types of fraud protection offered by the service.
  • ⏳ Response times for investigations and claims.
  • 🆓 Availability of free resources for victims.
  • 📞 Customer service quality based on user reviews.

❓ Frequently Asked Questions

❔ What should I do if I fall victim to a charity scam?

If you suspect you’ve been scammed, report the incident to the FTC and your state attorney general's office. This can help authorities track fraudulent activities.

🛡️ How can I protect myself from identity theft?

Monitor your financial accounts regularly and use strong passwords. Consider using identity theft protection services to help safeguard your information.

🕵️ How long does it take to investigate credit card fraud?

The Consumer Financial Protection Bureau aims to acknowledge reports within 15 business days. However, the overall investigation timeline can vary.

📑 Can I report securities fraud anonymously?

Yes, you can submit tips about securities fraud anonymously through the SEC's online tip form. This allows you to provide information without revealing your identity.

🚫 Are there penalties for fraudulent charity activities?

Yes, fraudulent charity activities can lead to severe penalties, including prison time and hefty fines. These penalties reflect the seriousness of such offenses.

⚠️ What should I know about liquidation sales?

New regulations require businesses to clearly disclose the nature of liquidation sales. This helps prevent deceptive practices that can mislead consumers.

⚖️ Recent Cases Involving Fraud

Recent court rulings have addressed various types of fraud, including mail and securities fraud. These cases highlight the importance of consumer protection and the legal consequences of fraudulent activities.

Explore more rulings on the news page.

End of October 2026 Update






Donating money to a recognizable organization gives people something to feel good about. Giving money to help the sick, homeless or less fortunate allows those who give to feel a sense of pride. However, there are people out there who take advantage of this feeling. Fake charities and organizations are set up to earn profits. These are quick money schemes that capitalize on the misfortune and good will of others. 



 



 

What You Need to Know About Charity Scams


Scammers can easily start a fake charity that looks legitimate by creating a website, brochure, or even copying a real organization's name but changing one word to trick people (National Cancer Society vs American Cancer Society-Real) 



 



 



These fake organizations and scams are usually established around national or global turmoil such as 9/11, earthquakes, tsunamis and hurricanes. Emotions run high after these events and the scammers feel people can be taken advantage of easier.



 



 



Another target for these make money schemes are the elderly. They are targeted because of their compassion and sympathy. Elderly people are more willing to give money to the children or disabled. Their experience with fraud is also very limited, so they are not as aware they could be scammed. 



 



 



To be aware and thoughtful of scams from fake charities keep these few things in mind:



 



 



         Never give payment information (credit card, bank numbers, etc.) when receiving phone calls or e-mails asking for donations. Real charities do not go looking for contributions. 



 



 



         Check the namesof the charities. As mentioned before, some scams will play with the words in organizations names to trick people. Do your research before donating. 



 



 



         Ask for printed material to be sent through standard mail. Legitimate organizations have mass amounts of information and are more than willing to send it.



 



 



         Look for how the donation money is distributed and used within a charity. Numbers and percentages are readily available upon request if not found during research.



 



 



         Do not fall to pressure when asked to donate. Legitimate charities are not pushy and are happy when donations are made, but they do not hunt down potential contributors.



 



 



         Check the payment options. It is common for these scams to set up fake PayPal accounts or other anonymous PO Boxes. Never send cash to an anonymous PO Box.



 



 



         Real charities and organizations will have real addresses and phone numbers for payments and questions to be sent too. 



 



 



With the high volume of scams that arose after 9/11, Hurricane Katrina and the tsunami in the Indian Ocean, along with other global and national disasters, people are becoming more cautious of donating to charities. With the knowledge and awareness to check out and research the organizations and charities, people will be able to make educated decisions about being philanthropic. 



 



 



Making the necessary phone calls and research will help individuals from donating money to charity scams and get quick money schemes. Legitimate organizations will be more than willing to answer questions and send out useful information to help a person make a decision on where to donate their money.