N.J. Attorney General Davenport demands answers from GoFundMe over alleged plagiarized charity pages and hidden fees
TRENTON, N.J. — New Jersey Attorney General Jennifer Davenport and a coalition of state attorneys general and charitable regulators are demanding proof that GoFundMe has removed allegedly plagiarized charity donation pages and stopped using default “tip” settings that critics say obscure platform fees.
In a letter sent Tuesday, Davenport joined officials from 21 states in calling for immediate action following public reports that the fundraising platform created donation pages for more than 1.4 million charities without authorization.
The coalition said the pages may have misled donors and potentially violated state consumer protection and charitable solicitation laws.
“Nonprofits and charities work hard to earn credibility with donors and the public. That credibility is needlessly undermined when a donation platform engages in misconduct and deceives the public,” Davenport said in a statement. “A trusted platform that claims to support donors should be transparent and up front about its product. Using default settings that push donors to pay hefty fees in the form of ‘tips’ undermines the spirit of giving that GoFundMe claims to support.”
According to the letter, the donation pages sometimes contained inaccurate information about charities and where contributions would ultimately be directed. Regulators also raised concerns that GoFundMe used search engine optimization techniques that could cause the platform’s donation pages to appear above official charity websites and fundraising campaigns in search results.
Officials said that practice could divert donations away from the charities themselves or confuse individuals seeking charitable services.
The coalition also questioned GoFundMe’s use of a default “tip” setting — reportedly around 16.5% — that donors were prompted to pay during transactions. The tip is paid directly to GoFundMe rather than the charity unless the donor manually opts out or changes the amount.
Regulators said requiring donors to opt out of a preselected tip, rather than allowing them to opt in to a clearly disclosed fee, could result in hidden or misunderstood charges.
The attorneys general have given GoFundMe 14 days to respond and take corrective steps. Among other actions, the coalition is asking the company to provide proof that all unauthorized charity donation pages have been removed and to disclose how donations were directed when those pages were used.
They also requested an explanation of how the company ensured its pages did not outrank official charity websites in search results and whether tips or similar charges collected by the platform should be redirected to the charities involved.
Joining Davenport in the letter were attorneys general and charitable regulators from California, Delaware, Illinois, Kentucky, Maryland, Massachusetts, Michigan, Minnesota, New Hampshire, New Mexico, New York, North Carolina, Oklahoma, Oregon, Pennsylvania, South Carolina, Tennessee, Vermont, Washington and Wisconsin.
