09/17/2017
We want to do a promotion/fund raiser at a festival for our local food bank. We will be promoting our new Popmoney product. The idea is that we will have a wheel to spin with 36 varying amounts on the wheel from $1.25 up to $15. Festival attendees will be allowed an opportunity to donate $1 to the food bank for a chance to spin the wheel. Every spin will win at minimum $1.25 which we will then send to the individual via popmoney. We will set a $750 maximum giveaway limit for the festival, and when we reach that amount, we will shut down the event. All of the $1 donations will be given to the food bank and we will completely fund the amounts given to the participants, including the fee for each popmoney transaction. Based off what I have read on the Federal Deposit Insurance Act Sec 20, lottery is defined by "the advance of money or credit in exchange for the possibility or expectation
that one or more BUT NOT ALL of the participants will receive by reason of their advances more than the amounts they have advanced". Since all participants would receive more than they advance this would not be a lottery correct? If I am correct are there any other issues I have not considered?
06/17/2002
We are looking to promote our basic no interest checking product. We originally wanted to offer new customers $25.00 to open an account but could not do that directly due to the constraints of Reg. Q. The idea has now been proposed to offer the new customer $10.00 (ok under q.) to open the account and an additional $15.00 if he opens a Visa Debit Card as well. Would the additional money still be governed under Reg. Q? What other issues are raised?
