Think about it another way. Say you gave a guy that looked and acted nebadik, and he goes out to buy a tool in which to hurt someone with your tzedaka money. You enabled a person to hurt by giving him money! Without it, he could not have done this horrible deed.
Creativity in giving tzedaka, where the receiver retains their dignity is a higher level of tzedaka.
You can give directly to a school or family through paying off a grocery bill for a poor family, tuition, paying a clothing store to enable a poor family to purchase clothing at a “discount”, etc…