Can I offer contests that involve loyalty programs in Indiana? What are the requirements?

Based on the information provided in the context documents, it is possible to offer contests that involve loyalty programs in Indiana, subject to certain conditions.

To offer and conduct a prize linked savings program in Indiana, an eligible depository financial institution must meet the conditions outlined in IC 28-1-23.2-7. These conditions include allowing eligible individuals to obtain one or more entries to win a specified prize by depositing a minimum specified amount of money in a qualified account or participating in one or more qualified financial programs. Each entry must have an equal chance of being drawn, and the prize linked savings program must be approved by the director and the eligible depository financial institution’s board of directors before it is offered or promoted to eligible individuals.

Additionally, IC 28-1-23.2-8 requires eligible depository financial institutions to post and disclose a statement describing the terms and conditions of the prize linked savings program, including language specifying that no other action or purchase is necessary for an entry into the prize linked savings program, and that taking any other action or purchasing any goods or services will not improve the odds of winning.

However, it is important to note that IC 24-8-1-1 exempts certain prize linked savings programs from the requirements of IC 24-8, which governs promotions and contests in Indiana. Specifically, prize linked savings programs offered or conducted by eligible financial institutions under IC 28-1-23.2 are exempt from IC 24-8.

Therefore, if the contest involving a loyalty program is a prize linked savings program offered or conducted by an eligible depository financial institution in accordance with IC 28-1-23.2, it would be exempt from the requirements of IC 24-8.

In summary, it is possible to offer contests that involve loyalty programs in Indiana, subject to certain conditions and exemptions. If the contest is a prize linked savings program offered or conducted by an eligible depository financial institution in accordance with IC 28-1-23.2, it would be exempt from the requirements of IC 24-8.

References:

• IC 28-1-23.2-7
• IC 28-1-23.2-8
• IC 24-8-1-1

Jurisdiction

Indiana

• Gaming