Donating Clothing? Beware For-Profit Drop Boxes
July 16th, 2008 by David Weliver
Donating your unused clothing makes a lot of sense; you can help out a charity like Goodwill or the Salvation Army while cleaning out your closet. You’ll even score a small tax deduction. But choose whom you give you clothes to carefully; for-profit companies are now setting up clothing drop boxes and then reselling your duds to consignment stores or textile recyclers.
Misleading clothing donation boxes
I learned about for-profit clothing drop boxes a couple weeks ago when my parents told me about a bright red donation dumpster they saw in a shopping center parking lot. When they red the fine print, they realized the drop box was not sponsored by Goodwill, the Salvation Army, or another charity, but a for-profit company that donated a tiny percentage of its profits to charitable causes. The practice is misleading at best, illegal at worst.
Clothing recycling boxes
While some companies solicit clothing donations under the guise of charity, others—like U’SAgain—are unashamed to be collecting your old clothes and making a buck.
Unscrupulous charities
Finally, there are even some non-profit organizations soliciting clothing donations that you may want to avoid. Planet Aid is one such company that has drop boxes in certain locations around the country and brags supporting a variety of causes in Africa. There are allegations, however, that Planet Aid, U’SAgain, and other clothing recyclers have links to criminal organizations.
Whether or not the group skirts the law, annual reports reveal that just 11 percent of Planet Aid’s income goes to charity. While non-profit organizations cost money to operate, it seems reasonable to question just how Planet Aid spends the other 89 percent.
How do you find a legitimate charity that accepts clothing donations?
While many charities may be able to put your garments to good use, the Salvation Army and Goodwill are two widespread and reliable charitable recyclers. With some exceptions, however, these groups are likely to have fewer stand-alone drop boxes. To donate clothing, you may have to drive to a thrift store or staffed drop location.
Locate a Salvation Army or Goodwill clothing donation site now.
On Jul 17, 2008, mapgirl said:
Donated clothing is often sold in markets overseas, leading to the collapse of the garment industry in 3rd world nations. (Per a friend of mine at the IMF. I think he specifically pointed out a study in Malawi…)
I’ve been trying to repurpose my old clothes but the donation box and its tax benefits keep calling my name…
On Jul 17, 2008, Kara said:
To mapgirl’s point - Save This shirt is a great book for repurposing old clothing. There are all sorts of ways to reuse it! Like using the fabric for quilts, etc.
Our local fire department has a drop box, and they make money off of it. When I only have a few things (not worthy of a Goodwill reciept) I throw it in their box. I don’t have qualms with this use of it, as it’s still supporting a local organization I want to support.
I didn’t realize there were straight for-profit boxes though! That is very misleading, and I fear the organizations who are using this for a good reason (ie: fire departments) are going to get burned… I suppose it’s better than landing in a landfil!
On Jul 30, 2008, El said:
I’m curious as to how often these boxes are emptied and how much stuff doesn’t get used.
I always see signs screaming “No furniture, trash,” etc.
On Sep 27, 2008, William Streever said:
The boxes depending on locations, are often emptied twice a week. In connecticut most good locations do 2000 pounds a week. Mapgirl just so you know, almost all donated clothes are sold in overseas markets. Including all of goodwill and salvation armys product that isnt used in consignment stores. They donate the money they get from the sales of clothes. now for the guy who wrote the article, you are really on point and have some valid info. Im a non profit clothing collection company. It is not illeagle though for someone to be a for-profit. The other horrible thing are goverment allows is you can be a for-profit and rent a name from a charity much like big brothers big sister. American Thirft land inc. pays 15,000 dollars a year and then sells the cloths for .30 per pound. Now imagine a nation wide company that collects 3 million pounds per month. that is a gross profit of 900,000 dollars per month and they donate 15,000 dollars a year. It dosen’t say anywhere on there box that there not actally big brother big sister.