Skip to content
GeoDataVision
Learn More - Click Here!

New Reply Thread Options
#1197486 - 06/08/09 07:14 PM Special Drawing for Cool Prize
Anonymous
Unregistered

I've been presented with material from another bank that offers an account "for young people from 13 to 19 years of age" that also promotes "every quarter during the year, there is a special drawing for a really cool prize (no purchase necessary.)" I've been requested to create a competing account for our bank with similiar standards.

My knee-jerk reaction is to say this is a lottery or raffle, and therefore not possible, but obviously the other bank is doing it so the thought is we should be able to as well (and if the other bank jumped off a cliff...) Since the request is from a board member I want to make sure I've researched this thoroughly before replying to them.

Does this sound like a raffle/lottery? Is there a "loop hole" that I'm missing? And IF we're able to do this - would the "cool prize" fall under a bonus rule since there is interest on savings accounts?

Return to Top Reply Quote Quick Reply Quick Quote
#1197498 - 06/08/09 07:23 PM Re: Special Drawing for Cool Prize Anonymous
RR Joker Offline
10K Club
RR Joker
Joined: Nov 2002
Posts: 20,654
The Swamp
If you have to be an accountholder (consideration) to be eligible, then I don't see any loopholes right off.
_________________________
My opinion only. Not legal advice.

Say you'll haunt me - Stone Sour

Return to Top Reply Quote Quick Reply Quick Quote
#1197515 - 06/08/09 07:35 PM Re: Special Drawing for Cool Prize RR Joker
Phoenix Offline
Platinum Poster
Phoenix
Joined: May 2003
Posts: 832
southeast
any parental consent needed? (thinking COPPA, if any online publicity is involved)
_________________________
From the end spring new beginnings.
Pliny the Elder

Return to Top Reply Quote Quick Reply Quick Quote
#1198563 - 06/10/09 02:00 PM Re: Special Drawing for Cool Prize Phoenix
Anonymous
Unregistered

Called the bank - to be a part of the quarterly drawing - an entry form needs to be picked up at the branch. The drawing is open to anyone between the ages of 13-18 (that's the "no purchase necessary" part), but essentially - if your not a bank customer, you don't really know about it b/c it's not something publicized outside of the bank - except for the the one line referencing it in the product write up - which tells you to talk to a service rep for more details.

To me - it sounds like they are meeting the legal requirements for it NOT to be considered a raffle/lottery in that technically it is open to everyone, but that customers are alloted a better chance of winning since they are "in the know". Is it just me - or does this sound like compliance "grey zone"?

My board meeting is in 5 business days. Right now, I say this is a bad idea to try to duplicate. Any other thoughts?

Return to Top Reply Quote Quick Reply Quick Quote
#1198567 - 06/10/09 02:05 PM Re: Special Drawing for Cool Prize Anonymous
Skittles Offline
10K Club
Skittles
Joined: Sep 2002
Posts: 13,963
TN
I do, too. What does your bank hope to gain by duplicating another bank's promotion?
_________________________
My Opinions Only

Return to Top Reply Quote Quick Reply Quick Quote
#1198587 - 06/10/09 02:21 PM Re: Special Drawing for Cool Prize Skittles
Anonymous
Unregistered

Originally Posted By: Duchess Skittles
I do, too. What does your bank hope to gain by duplicating another bank's promotion?


To clarify - it's not a promotion, they have the drawing built into the account as an ongoing perk.

From time to time, members of our board get a "me too" mentality. They see a product or service another bank offers that we don't & feel we have to have it too to be "competetive". It doesn't help with compliance issues that our board's favorite phrase is "well, everyone else seems to be able to do it." Although we offer youth accounts, they are not a "best seller" & new accounts are being asked to increase sales in this area. This particular board member is suggesting we incent with something like the quarterly drawing & offer iTunes downloads. I understand where our board is coming from - but anything with a drawing sets my Spidey senses tingling. (Boy, I'm glad this is an Anonymous!)

Return to Top Reply Quote Quick Reply Quick Quote
#1199366 - 06/11/09 01:36 AM Re: Special Drawing for Cool Prize Anonymous
complyyes Offline
Member
Joined: Apr 2006
Posts: 51
Midwest
Our bank opens all drawings by stating that mail-in entries are accepted, I talked them into this so that it was not a lottery but a legitimate drawing. We give the how to, where to, by when to, info in the disclosure. Our odds of winning rely on the number of entries including mail in. Obviously, we add those mail in names to the drawing pot. Basically, the entries are to those who open student accounts but with this caviot it works and the senior management is happy that they have an awesome drawing for the students. Few mail-in but they are always welcome.

Return to Top Reply Quote Quick Reply Quick Quote
#1199387 - 06/11/09 11:42 AM Re: Special Drawing for Cool Prize complyyes
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 79,637
Galveston, TX
Prior to spending money on attracting or maintaining student accounts, I would be taking a hard look at the statistics on average account balances/profit and the percentage of kids that remain in the home town after graduation. It use to be: get them young and you had them for life. Now, marketing money most likely can be spent on better endeavors.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top Reply Quote Quick Reply Quick Quote
#1199906 - 06/11/09 06:47 PM Re: Special Drawing for Cool Prize complyyes
Anonymous
Unregistered

Great idea - thank you!

Return to Top Reply Quote Quick Reply Quick Quote
#1199915 - 06/11/09 06:55 PM Re: Special Drawing for Cool Prize rlcarey
Anonymous
Unregistered

Ok - the great idea was referencing the mail-in entries.

As for the "hard look" - that's easier to say when you're not working here. Not that I don't agree with the concept - I just know the reality in which I must work. But thank you, too, for your input. I appreciate your time & consideration of our issue.

Originally Posted By: rlcarey
Prior to spending money on attracting or maintaining student accounts, I would be taking a hard look at the statistics on average account balances/profit and the percentage of kids that remain in the home town after graduation. It use to be: get them young and you had them for life. Now, marketing money most likely can be spent on better endeavors.

Return to Top Reply Quote Quick Reply Quick Quote
Quick Reply:
HTML is disabled
UBBCode is enabled




Moderator:  MagicCity, P*Q, Truffle Royale