GoFundMe Sets Up Millions of Unauthorized Nonprofit Donation Pages

After the Friends of the San Bruno Public Library discovered a GoFundMe page that it didn’t set up, other charities also began discovering that they, too, had GoFundMe pages – none of which the organizations had authorized. An initial statement by GoFundMe’s Non-Profit Communications Senior Director disclosed that GoFundMe had created “nonprofit pages” for about 1.4 million 501(c)(3) organizations using IRA data and other information from “trusted partners.” According to the for-profit GoFundMe, the purpose of the project was to help individuals easily find and donate to “nonprofit organizations” – after GoFundMe deducts its platform fees from any donations. GoFundMe’s understandable effort to provide donors with information on such a large number of organizations led to a great deal of confusion and uncertainty about the actual missions of some charities.

After a few days of backlash, GoFundMe promptly started backpedaling. Ultimately, GoFundMe made the following changes:

• Removed the “optional tips” function from charities’ pages for direct donations until the charities have claimed their pages and given consent;
• Removed organizational logos from unclaimed pages, which allows the charities to manage their own branding and assets after claiming their pages; and
• Improved transparency and communication, including the pages’ visibility in searches. Nonprofits received the ability to toggle off SEO after claiming their page or contact GoFundMe directly.

Notwithstanding the initial response, the backlash from the philanthropic sector continued, raising questions about brand control, communication, the relationship between charities and donors, and the misappropriation of intellectual property by using charities’ trademarks. The nature of the unauthorized pages might also confuse donors as to whether they were donating directly to a charity or through a third-party intermediary. GoFundMe later deactivated the default transaction fees and the tipping function, both of which reduced donation transparency and diverted dollars from charities to the for-profit platform.

Furthermore, other concerns that charities raised concerned the following:

• The unauthorized pages presented search engine optimization (SEO) competition for the charities’ official websites, potentially diverting donors from their official pages to the fee-laden GoFundMe sites.
• Charities receive no donor data on GoFundMe sites, hindering the development of long-term donor relationships.
• With the holiday season, a prime time for fundraising, approaching, the process of removing the unauthorized pages was onerous at best and could take several months.
• The terms and conditions applicable to the unauthorized sites seemed unclear as to whether GoFundMe was required to turn over the donations to the charitable organizations.
• The increased use of AI may lead to donations made through unauthorized GoFundMe sites rather than the charities’ official pages.

Ultimately, GoFundMe took the following steps:

• Apologized broadly to the philanthropic community for overstepping its bounds and creating “confusion, concern, and distraction” from the missions of the charities it intended to support.
• Made the “nonprofit” pages “opt in” only.
• Removed those pages for organizations that are not claimed or verified and de-indexed them so that they no longer appear in search results.

Frequently Asked Questions (FAQ)

How can a charity find out if GoFundMe created a page for them?

Charities can search GoFundMe’s platform using their organization’s name to check if a page exists. If a page appears and the organization did not create or authorize it, it may be an automatically generated profile. Organizations can also contact GoFundMe directly at the following link: Claiming and managing your U.S. nonprofit – Help Center. Charities can use this link to verify the status of any page and initiate the process to claim or remove it.

What risks do unauthorized fundraising pages pose to donor trust?

Unauthorized pages can create confusion about where donations are going and whether they’re reaching the intended charity. Without clear communication or donor data sharing, charities may struggle to build relationships with supporters. Additionally, platform fees and lack of transparency can erode donor confidence, especially if donors believe they’re giving directly to the charity.

What steps should charities take if they discover an unclaimed GoFundMe page?

Organizations should promptly reach out to GoFundMe to either claim the page or request its removal. In the meantime, charities may want to alert their donor base through newsletters, social media, or their website to clarify which fundraising channels are officially endorsed. Consulting an experienced attorney for charitable organizations may also help address intellectual property concerns and ensure compliance with fundraising regulations.

Connect with the California Center for Nonprofit Law

Navigating the legal landscape surrounding charitable organizations—especially when it comes to unauthorized fundraising campaigns—can be complex and overwhelming. At the California Center for Nonprofit Law, we stay ahead of evolving regulations to help your organization remain compliant and protected. If you suspect an unauthorized GoFundMe page or need guidance on nonprofit legal matters, reach out to our experienced attorneys today. Call us at (949) 892-1221, email info@NPOlawyers.com, or contact us online to get the support you need.