Is it permissible for a person to collect money claiming it is an ongoing charity (sadaqah jariyah) for a needy family, while he is in reality using it for himself due to financial hardship, with the intention of repaying it or giving it as charity later?

If the inquirer knows or strongly suspects that the donors would not donate if they knew the money was for him and his family, then it is not permissible for him to take it. However, if he does not know this, and he and his family are among the needy whom the donors intended to help, then there is a difference of opinion regarding his taking the money. What is deemed fatwa-worthy by us is its permissibility. Nonetheless, it is preferable to avoid it to steer clear of controversy, and it is better for him to acquire the money and give it to other needy people.