GoFundMe donations could jeopardize FEMA aid
LOS ANGELES - The devastating California wildfires have forced thousands to seek help through GoFundMe campaigns.
However, if you're considering applying for FEMA assistance, it's crucial to understand how these two funding sources can impact each other.
"If you're using GoFundMe and applying for FEMA, the funds must be for different purposes. You need to clearly specify on your GoFundMe what the money will be used for, and it cannot overlap with what you're requesting from FEMA," said attorney Mary David.
When setting up a GoFundMe, avoid phrases like "help us rebuild" if you plan to apply for FEMA. Instead, focus on needs that FEMA won't cover.
"FEMA assistance is specifically for uninsured or underinsured losses. It cannot cover anything your insurance already does," David said.
Applying for FEMA while insured or misusing the funds could have serious legal consequences.
"FEMA can demand repayment and may file criminal charges for defrauding the government," warns David.
The bottom line is that FEMA cannot duplicate benefits from other sources, such as insurance or GoFundMe. Be careful to avoid overlapping assistance to ensure compliance and avoid legal issues.