Currently working on a similar app and I definitely agree that if you're going to be charging it should be towards a charity. This seems like a terrible cash grab with something that does not even provide an enticing service.
Edit: For reference, the original comment I responded to stated "If you charge towards the charity then a user doesn't feel bad when he/she fails."
Give me a break.
StickK's list of 23 anti-charities (their anti-ness, of course, being in the eye of each goal-setting beholder) includes: The George W. Bush Presidential Library, the William Jefferson Clinton Presidential Library, the NRA, the Educational Fund to Stop Gun Violence, and various fan clubs of opposing sports teams.
Put another way: you would say that wouldn't you.