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Consumer Reports, charity gift card programs in standoff

Consumer watchdog publication Consumer Reports and issuers of charity gift cards are squaring off over the consumer publication’s report that gift cards should be avoided this holiday season.

Consumer Reports says there are “drawbacks” to the cards, which are issued by organizations such as TisBest Charity Gift Card of Seattle, which was founded by attorney Erik Marks.

Consumer Reports warns: “Avoid charity gift cards. With a charity gift card, you’re not giving directly to a specific group. Instead, you’re paying for a gift card that you then give your friends or loved ones. They in turn select from a list of charities that they’d like to receive the money. It sounds like a great idea, but there are drawbacks.” Consumer Reports writes that some charity gift cards charge as much as $5 in handling fees, and recommends that consumers write a check directly to a charity.

Marks retorts that Consumer Reports “misses the entire point of the charity gift card program.” TisBest charges only a $1.95 handling fee per card, he said.

“Writing a check directly to a charity generally will not make a good gift. The pleasure of choosing a charity that is personally relevant and directing the funds to that organization should belong to the gift recipient, not the gift giver,” Marks said in a statement.

 
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