NY Banking L § 9-V (2021)
2021 New York Laws BNK - Banking Article 1 - Short Title; Definitions; Miscellaneous Provisions. 9-V - Savings Promotion Prize Giveaway.

§  9-v.  Savings  promotion  prize  giveaway.  A  banking organization   organized under or subject to the provisions of  this  chapter,  federal   credit   union,   federal   savings   bank,  federal  savings  and  loan   association,  or  national  bank  association  may  conduct  a   savings   promotion  in  accordance  with  the  provisions of this section, to the   extent it is not prohibited by federal law or regulation.1. Definitions. As used in this section the following terms shall have   the following meanings:a. The term "savings promotion" means a contest or promotion sponsored   by a banking organization, federal credit union, federal  savings  bank,   federal  savings  and  loan association, or national bank association in   which  a  chance  of  winning  designated  prizes  is  obtained  by  its   depositors  for  the  purposes  of  encouraging  depositors to build and   maintain savings deposits.b. The term  "qualifying  account"  means  a  savings  account,  share   account,  share certificate, or other savings product or program offered   by a banking organization, federal credit union, federal  savings  bank,   federal  savings  and  loan  association,  or  national bank association   through which depositors may obtain chances to win prizes in  a  savings   promotion.c.  The  term  "non-qualifying account" means a savings account, share   account, certificate of deposit, or other  savings  product  or  program   offered by a banking organization, federal credit union, federal savings   bank, federal savings and loan association, or national bank association   that is not a qualifying account.2.  Rules  of  operation. a. Participants in a savings promotion shall   not be required to provide any consideration in order to obtain  entries   to win. For purposes of this paragraph, participants shall not be deemed   to  have provided consideration due to the requirement that they deposit   money in a qualifying account to obtain entries to win, so long as:  (i)   the  interest  rate  associated  with any such qualifying account is not   reduced when compared  with  other  comparable  non-qualifying  accounts   offered  by  any  banking  organization,  federal  credit union, federal   savings bank, federal savings and  loan  association  or  national  bank   association,  to  account  for  the  possibility  of  depositors winning   specified prizes; and  (ii)  no  banking  organization,  federal  credit   union,  federal  savings  bank, federal savings and loan association, or   national bank association may charge a fee for entry. All  fees  charged   in  connection with such qualifying account shall be comparable with all   fees  charged  in  connection  with  other   comparable   non-qualifying   accounts,  if  any,  offered by any banking organization, federal credit   union, federal savings bank, federal savings and  loan  association,  or   national bank association.b.  A savings promotion shall be conducted such that each entry in the   savings promotion has an equal chance of being drawn.c. Participants in a savings promotion shall not  be  required  to  be   present at a prize drawing in order to win.d.  The  offering  of  a savings promotion shall be subject to section   three hundred sixty-nine-e of the  general  business  law  in  the  same   manner  as  other  promotions  regulated thereunder. For purposes of the   general business law and the penal law, a savings promotion  offered  in   accordance with this chapter shall not be deemed to entail consideration   or the promotion of gambling or a lottery.