SANTA FE, N.M. (KRQE) – Attorney General Hector Balderas and 27 other attorney generals around the country are asking GoFundMe to be more transparent with its policies and be accountable when their users are scammed. “They’re creating that expectation that they’re going to have legitimate charities on their website,” said Balderas.
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According to Balderas, GoFundMe tells people scammed on their site they can’t do anything about it and to find the fraudsters on their own. State AGs say they have limited jurisdiction to go after these scammers especially if they are out of state or country, so they want GoFundMe to do more.
He says when GoFundMe does find out certain campaigns on their site aren’t legit they don’t have a policy on what they do with the money collected or requiring they report the fraud to law enforcement. Donors don’t always get their money back and there are no protections for them on a federal level.
“We regulate hunting licenses and driver’s licenses much more than some of these technology giants. so that’s why it’s important that when we see an uptick in complaints that we engage these companies as quickly as possible,” Balderas said.
GoFundMe claims they are just a conduit for donations and are not responsible for safeguarding the funds. But Balderas says the company is charging a fee and making money off the service so they should stand behind it.