What is this about?
Many Americans generously donate money to assist charities or people who have fallen on hard times due to unforeseen circumstances, such as a medical emergency or a sudden change in employment. Often, these donations are made to fundraisers on platforms provided by for-profit companies such as GoFundMe.
Unfortunately, according to recent allegations, GoFundMe automatically adds charges at the end of the checkout process that are presented as “tips”—often in the amount of 15% to 18%—increasing the cost of each donation. In reality, these “tips” act as fees that go directly to GoFundMe rather than the intended donee.
According to complaints, many consumers had no intention of paying added fees to the GoFundMe platform, given that it already receives more than 2 percent of the donation as a transaction fee and an additional 30-cent per-donation charge. As the “tips” were pre-populated by GoFundMe, only the most astute consumers may have noticed and taken steps to remove the automatically added charge before it was processed. It is alleged that many others only noticed the added charge after it was too late and the checkout was completed, or not at all.
What can I do?
If you donated funds through GoFundMe and unintentionally had a “tip” added to the final amount at checkout, you may have claim for compensation.
Zimmerman Reed will seek to vindicate the rights of consumers who gave money in good faith to support causes they care deeply about, only to have additional funds diverted to GoFundMe through these practices.
What am I signing up for by filling out the form?
Many companies’ online Terms of Service require that legal claims be resolved through individual arbitration rather than in court. Arbitration is a way to settle disputes outside of court, which means we will not be filing a traditional lawsuit. In arbitration, a neutral third party, called an arbitrator, determines how the legal claim should be resolved, much like a judge would do in court. It’s also possible that your claim may resolve before starting the arbitration process. We anticipate representing other people with similar claims at the same time.
Will this cost money?
You will not be responsible for any fees or costs unless we obtain compensation for you. If we are not successful, you owe nothing.
Why choose us?
Zimmerman Reed LLP represents consumers nationwide in complex litigation and arbitration. Our firm has recovered hundreds of millions of dollars on behalf of individuals harmed by deceptive financial practices.
What if I have questions?
Still not sure if this applies to you? Use the contact form and someone from our team will follow up shortly.
