Telemarketing Firms Make Massive Profits by Peddling Charities

Phone-calling firms that raise money for charities often pocket the overwhelming majority of the cash they take in, according to an investigation by The Worcester (Mass.) Telegram & Gazette.

One of them, Outreach Calling, in Reno, Nev., often keeps as much as 90 percent of what it garners in the name of charities, the report says. “Outreach Calling collected $6,681 on behalf of the Disabled Police and Sheriffs Foundation from Massachusetts residents last year and turned over $668 to the charity, according to state records,” the article states.

Martha Coakley, the Massachusetts attorney general, recently released a report warning potential donors that some fundraising companies donate only a small amount of what they take in to charities.

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