Section 5-27-1 (Effective January 1, 2018) Legislative findings. The Legislature finds and declares the following: (1) Federal law allows both depository financial institutions and credit unions to hold savings promotion contests, subject to certain conditions and authorization under state law. (2) Savings promotion contests in other states and countries have led to an increase in […]
Section 5-27-2 (Effective January 1, 2018) Definitions. When used in this chapter, the following words and phrases shall have the following meanings: (1) APPROPRIATE STATE OR FEDERAL REGULATORY AGENCY. The state or federal agency that is statutorily responsible for the supervision of all or part of the operations of a participating financial institution. (2) DEPOSITOR. […]
Section 5-27-3 (Effective January 1, 2018) Savings promotion contest authorized; conditions. (a) Subject to supervision by the appropriate federal or state regulatory agency, a financial institution may conduct a savings promotion contest in accordance with this chapter for the purposes of encouraging depositors to maintain savings accounts and increase personal savings. The financial institution may […]
Section 5-27-4 (Effective January 1, 2018) Oversight. Each savings promotion contest is subject to oversight by the federal or state agency responsible for regulating the financial institution, and the regulatory agency may issue cease and desist orders relating to a savings promotion contest offered by a financial institution which it regulates if the regulatory agency […]
Section 5-27-5 (Effective January 1, 2018) Construction; limitation on prizes or awards. A savings promotion contest offered pursuant to this chapter does not constitute gambling or the promotion of gambling or a lottery or raffle pursuant to Section 65 of the Constitution of Alabama of 1901. No prize or award shall exceed twelve thousand five […]
