Fact Check: The Truth Behind the Locks of Love Controversy
Claim:
Locks of Love is a scam charity that sells the vast majority of donated hair for profit, generating over $8 million in revenue in 2023.
Rating: Mostly False
What’s True
- Locks of Love does sell donated hair that is unusable for its custom children’s hairpieces, using the funds to help offset manufacturing costs.
What’s False
- Locks of Love is not a scam and maintains high ratings from independent charity watchdog organizations.
- Tax documents show the organization holds over $8 million in total assets (which includes property, inventory, and long-term investments)—not annual revenue.
- Financial filings actually indicate that the nonprofit’s expenses exceeded its revenue for the most recent fiscal year.
The Origins of the Rumor
For years, viral social media posts and online rumors have targeted the children’s hairpiece charity Locks of Love. Accusations have frequently claimed that the nonprofit sells most of its hair donations for personal profit, hoards hair without making wigs, or charges families exorbitant prices for hairpieces.
Although fact-checkers originally debunked these claims a decade ago, the conspiracy theories resurfaced on platforms like TikTok, with users alleging that the charity pocketed millions while distributing very few hairpieces.
While it is true that Locks of Love sells a portion of the hair it receives, this practice does not constitute a scam or executive enrichment. Hair donation charities rely on the public to supply healthy hair, but not all donated hair meets the strict requirements needed to craft a custom hairpiece for a child. Selling unusable hair is a standard operational method used to generate financial support for the mission.
According to founder Madonna Coffman—who established the organization after her own daughter lost her hair to alopecia—the primary goal is to provide specialized hairpieces to young people aged 21 and under experiencing medical hair loss. If selling gray or short hair helps fund that core objective, the charity’s mission is actively being served.
The rumor that the organization made “$8 million in profit” stems from a misinterpretation of public tax documents. The $8 million figure represents total assets rather than revenue. This total includes investments, property, and equipment. Nonprofits routinely maintain investment portfolios to ensure financial stability and safeguard against volatile donation trends.
Coffman noted that these persistent misconceptions have caused real damage. Families in urgent need of assistance often come across these claims online and decide not to reach out for the free help they qualify for.
What Happens to Donated Hair?
Unlike standard fashion wigs, Locks of Love creates custom-fitted cranial prostheses designed specifically for children. Manufacturing these pieces is labor-intensive, taking up to four months to complete.
Because children active in sports and daily activities require durable hairpieces, these units are designed to stay secure while swimming and do not require harsh adhesives like tape or glue. Each custom hairpiece has a retail value between $3,500 and $6,000.
Because the charity absorbs all manufacturing expenses while providing the hairpieces completely free of charge to families, it must find ways to cover production costs.
As explicitly stated on the organization’s website and donation forms, hair that is gray or falls below the length requirements cannot be used in a child’s hairpiece. Instead of discarding these donations, Locks of Love sells them to offset production expenses.
In the past, the organization utilized a sliding scale for families based on financial need, but today all hairpieces are provided entirely free of charge regardless of a family’s economic background.
Scrutiny, Transparency, and Financial Health
Operating since 1997, Locks of Love has no history of fraud charges, criminal convictions, or credible investigative reports revealing major operational misconduct.
An unverified critique surfaced online years ago suggesting millions of dollars worth of hair went unaccounted for, but that estimate was based on speculative projections rather than actual market values or inventory counts. Fraud investigators reviewing the group’s IRS documentation at the time found no evidence of black-market hair trafficking or missing assets.
In contrast, respected charity evaluators consistently give the nonprofit high marks:
- Charity Navigator awards the organization a 4-star rating and a 92% score for overall credibility.
- The Better Business Bureau’s charity monitoring group fully accredits the organization.
- Candid (formerly GuideStar) grants the charity its highest level of transparency recognition.
According to data pulled directly from IRS filings via ProPublica, Locks of Love reported roughly $8.54 million in total assets, the vast majority of which—about $6.6 million—consists of publicly traded investments used to generate operational stability.
Meanwhile, annual revenue from donations, grants, and investment income was significantly lower than its total assets, and the nonprofit actually operated at a net loss for the year after accounting for all organizational expenses. Furthermore, leadership and board members receive zero compensation from the charity, keeping administrative overhead low while relying on a large network of volunteers.