Cases & Investigations
GoFundMe Deceptive Tip Investigation
Type: Investigations
Defendant(s): GoFundMe
Product(s): GoFundMe Donations
Wolf Popper LLP is investigating whether GoFundMe uses deceptive practices by preselecting a “tip” for itself when consumers make donations through the platform.
GoFundMe allows people to create and contribute to fundraisers for a wide range of causes, including medical expenses, emergencies, personal needs, and charitable causes. According to allegations in recently filed lawsuits, when a person chooses an amount to donate, GoFundMe may automatically add a percentage-based “tip” to the donation.
The tip is allegedly preselected during the checkout process and presented separately from the amount the donor chose to give. According to the allegations, the checkout screen does not clearly tell donors that the tip is optional or explain how to remove it. As a result, a donor may complete the transaction without realizing that a tip has been added, without understanding how to remove it, or without realizing that the tip goes to GoFundMe rather than the fundraiser.
The investigation further alleges that the “tip” is paid to GoFundMe rather than to the fundraiser or cause the donor intended to support. This may be confusing to consumers because a “tip” is commonly understood to be an optional payment given to a person or business in connection with a service, rather than an additional amount taken by a fundraising platform from money intended for a particular cause.
The investigation alleges that GoFundMe's use of preselected tips may violate state consumer protection laws by charging consumers an additional amount without obtaining their clear and affirmative consent.
Join our GoFundMe Deceptive Tip investigation.
If you made a donation through GoFundMe and paid a preselected “tip” that you did not intend to pay to GoFundMe, you may be entitled to compensation. Wolf Popper LLP is seeking to speak with affected donors. Contact us for a free case evaluation.
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