SPRINGFIELD, Mass. (WWLP) – “Crowdfunding” is an increasingly popular way of using the Internet to give financial support to projects or individuals. But the Federal Trade Commission has urged people to be absolutely certain they know where the money they are donating is going.
Kelly Richards of Agawam told 22News that she made many inquiries before she was satisfied to join the crowdfunding effort for the renovations at the Agawam Cinemas.
“I had local friends in Agawam that were contributing to it, It’s a great thing, so I like donated $100, then $50 dollars, I get like a ticket for a year, I had a little film strip, but you have to make sure. It’s on Facebook all the time,” Richards said.
The Federal Trade Commission urges everyone to use this kind of approach to crowdfunding, as there are dishonest people out there. One man recently raised more than $120,000 through the Kickstarter website, and kept the money.