[113th Congress Public Law 251]
[From the U.S. Government Publishing Office]
[[Page 2887]]
AMERICAN SAVINGS PROMOTION ACT
[[Page 128 STAT. 2888]]
Public Law 113-251
113th Congress
An Act
To provide for the use of savings promotion raffle products by financial
institutions to encourage savings, and for other purposes. <<NOTE: Dec.
18, 2014 - [H.R. 3374]>>
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: American Savings
Promotion Act.>>
SECTION 1. <<NOTE: 12 USC 21 note.>> SHORT TITLE.
This Act may be cited as the ``American Savings Promotion Act''.
SEC. 2. <<NOTE: 12 USC 25a note.>> FINDINGS.
Congress finds that--
(1) the annual savings rate in the United States was 4.1
percent in 2012;
(2) more than 40 percent of American households lack the
savings to cover basic expenses for 3 months, if an unexpected
event leads to a loss of stable income;
(3) personal savings provide Americans with the financial
resources to meet future needs, including higher education and
homeownership, while also providing a safety net to weather
unexpected financial shocks;
(4) prize-linked savings products are typical savings
products offered by financial institutions, like savings
accounts, certificates of deposit, and savings bonds, with the
added feature of offering chances to win prizes based on deposit
activity;
(5) the State of Michigan was the first State to allow
credit unions to offer prize-linked savings products, and in
2009 launched the first large-scale prize-linked savings product
in the United States;
(6) the States of Connecticut, Michigan, Maine, Maryland,
Nebraska, North Carolina, Rhode Island, and Washington all have
laws that allow financial institutions to offer prize-linked
savings products;
(7) in the States of Michigan and Nebraska, more than 42,000
individuals have opened prize-linked savings accounts and saved
more than $72,000,000;
(8) prize-linked savings products have been shown to
successfully attract non-savers, the asset poor, and low-to-
moderate income groups, providing individuals with a new tool to
build personal savings; and
(9) encouraging personal savings is in the national interest
of the United States.
[[Page 128 STAT. 2889]]
SEC. 3. AMENDMENT TO DEFINITIONS OF ``LOTTERY''.
(a) National Banks.--Section 5136B(c) of the Revised Statutes of the
United States (12 U.S.C. 25a(c)) is amended--
(1) in paragraph (2), by inserting ``, other than a savings
promotion raffle,'' before ``whereby''; and
(2) by adding at the end the following:
``(4) The term `savings promotion raffle' means a contest in
which the sole consideration required for a chance of winning
designated prizes is obtained by the deposit of a specified
amount of money in a savings account or other savings program,
where each ticket or entry has an equal chance of being drawn,
such contest being subject to regulations that may from time to
time be promulgated by the appropriate prudential regulator (as
defined in section 1002 of the Consumer Financial Protection Act
of 2010 (12 U.S.C. 5481)).''.
(b) Federal Reserve Banks.--Section 9A(c) of the Federal Reserve Act
(12 U.S.C. 339(c)) is amended--
(1) in paragraph (2), by inserting ``, other than a savings
promotion raffle,'' before ``whereby''; and
(2) by adding at the end the following:
``(4) The term `savings promotion raffle' means a contest in
which the sole consideration required for a chance of winning
designated prizes is obtained by the deposit of a specified
amount of money in a savings account or other savings program,
where each ticket or entry has an equal chance of being drawn,
such contest being subject to regulations that may from time to
time be promulgated by the appropriate prudential regulator (as
defined in section 1002 of the Consumer Financial Protection Act
of 2010 (12 U.S.C. 5481)).''.
(c) Insured Depository Institutions.--Section 20(c) of the Federal
Deposit Insurance Act (12 U.S.C. 1829a(c)) is amended--
(1) in paragraph (2), by inserting ``, other than a savings
promotion raffle,'' before ``whereby''; and
(2) by adding at the end the following:
``(4) The term `savings promotion raffle' means a contest in
which the sole consideration required for a chance of winning
designated prizes is obtained by the deposit of a specified
amount of money in a savings account or other savings program,
where each ticket or entry has an equal chance of being drawn,
such contest being subject to regulations that may from time to
time be promulgated by the appropriate prudential regulator (as
defined in section 1002 of the Consumer Financial Protection Act
of 2010 (12 U.S.C. 5481)).''.
(d) Federal Savings and Loan Associations.--Section 4(e)(3) of the
Home Owners' Loan Act (12 U.S.C. 1463(e)(3)) is amended--
(1) in subparagraph (B), by inserting ``, other than a
savings promotion raffle,'' after ``arrangement''; and
(2) by adding at the end the following:
``(D) Savings promotion raffle.--The term `savings
promotion raffle' means a contest in which the sole
consideration required for a chance of winning
designated prizes is obtained by the deposit of a
specified amount of money in a savings account or other
savings program, where each ticket or entry has an equal
chance of being drawn, such contest being subject to
regulations that may from time
[[Page 128 STAT. 2890]]
to time be promulgated by the appropriate prudential
regulator (as defined in section 1002 of the Consumer
Financial Protection Act of 2010 (12 U.S.C. 5481)).''.
SEC. 4. CRIMINAL PROVISIONS.
(a) In General.--Chapter 61 of title 18, United States Code, is
amended by adding at the end the following:
``Sec. 1308. <<NOTE: 18 USC 1308.>> Limitation of applicability
``(a) Limitation of Applicability.--Sections 1301, 1302, 1303, 1304,
and 1306 shall not apply--
``(1) to a savings promotion raffle conducted by an insured
depository institution or an insured credit union; or
``(2) to any activity conducted in connection with any such
savings promotion raffle, including, without limitation, to
the--
``(A) transmission of any advertisement, list of
prizes, or other information concerning the savings
promotion raffle;
``(B) offering, facilitation, and acceptance of
deposits, withdrawals, or other transactions in
connection with the savings promotion raffle;
``(C) transmission of any information relating to
the savings promotion raffle, including account balance
and transaction information; and
``(D) deposit or transmission of prizes awarded in
the savings promotion raffle as well as notification or
publication thereof.
``(b) Definitions.--In this section--
``(1) the term `insured credit union' shall have the meaning
given the term in section 101 of the Federal Credit Union Act
(12 U.S.C. 1752);
``(2) the term `insured depository institution' shall have
the meaning given the term in section 3 of the Federal Deposit
Insurance Act (12 U.S.C. 1813); and
``(3) the term `savings promotion raffle' means a contest in
which the sole consideration required for a chance of winning
designated prizes is obtained by the deposit of a specified
amount of money in a savings account or other savings program,
where each ticket or entry has an equal chance of being drawn,
such contest being subject to regulations that may from time to
time be promulgated by the appropriate prudential regulator (as
defined in section 1002 of the Consumer Financial Protection Act
of 2010 (12 U.S.C. 5481)).''.
(b) Technical and Conforming Amendment.--The table of sections for
chapter 61 of title 18, United States Code, <<NOTE: 18 USC 1301
prec.>> is amended by adding after the item relating to section 1307 the
following:
``1308. Limitation of applicability.''.
SEC. 5. RACKETEERING.
Chapter 95 of title 18, United States Code, is amended--
(1) in section 1952, by adding at the end the following:
``(e)(1) This section shall not apply to a savings promotion raffle
conducted by an insured depository institution or an insured credit
union.
``(2) <<NOTE: Definitions.>> In this subsection--
[[Page 128 STAT. 2891]]
``(A) the term `insured credit union' shall have the meaning
given the term in section 101 of the Federal Credit Union Act
(12 U.S.C. 1752);
``(B) the term `insured depository institution' shall have
the meaning given the term in section 3 of the Federal Deposit
Insurance Act (12 U.S.C. 1813); and
``(C) the term `savings promotion raffle' means a contest in
which the sole consideration required for a chance of winning
designated prizes is obtained by the deposit of a specified
amount of money in a savings account or other savings program,
where each ticket or entry has an equal chance of being drawn,
such contest being subject to regulations that may from time to
time be promulgated by the appropriate prudential regulator (as
defined in section 1002 of the Consumer Financial Protection Act
of 2010 (12 U.S.C. 5481)).'';
(2) in section 1953--
(A) in subsection (b), by striking ``or (5)'' and
inserting ``(5) equipment, tickets, or materials used or
designed for use in a savings promotion raffle operated
by an insured depository institution or an insured
credit union, or (6)''; and
(B) by striking subsections (d) and (e) and
inserting the following:
``(d) <<NOTE: Definitions.>> For purposes of this section--
``(1) the term `foreign country' means any empire, country,
dominion, colony, or protectorate, or any subdivision thereof
(other than the United States, its territories or possessions);
``(2) the term `insured credit union' shall have the meaning
given the term in section 101 of the Federal Credit Union Act
(12 U.S.C. 1752);
``(3) the term `insured depository institution' shall have
the meaning given the term in section 3 of the Federal Deposit
Insurance Act (12 U.S.C. 1813);
``(4) the term `lottery'--
``(A) means the pooling of proceeds derived from the
sale of tickets or chances and allotting those proceeds
or parts thereof by chance to one or more chance takers
or ticket purchasers; and
``(B) does not include the placing or accepting of
bets or wagers on sporting events or contests;
``(5) the term `savings promotion raffle' means a contest in
which the sole consideration required for a chance of winning
designated prizes is obtained by the deposit of a specified
amount of money in a savings account or other savings program,
where each ticket or entry has an equal chance of being drawn,
such contest being subject to regulations that may from time to
time be promulgated by the appropriate prudential regulator (as
defined in section 1002 of the Consumer Financial Protection Act
of 2010 (12 U.S.C. 5481)); and
``(6) the term `State' means a State of the United States,
the District of Columbia, the Commonwealth of Puerto Rico, or
any territory or possession of the United States.''; and
(3) in section 1955--
(A) in subsection (b)--
(i) by redesignating paragraph (2) as
paragraph (4);
[[Page 128 STAT. 2892]]
(ii) by redesignating paragraph (3) as
paragraph (6);
(iii) <<NOTE: Definitions.>> by inserting
after paragraph (1) the following:
``(2) `insured credit union' shall have the meaning given
the term in section 101 of the Federal Credit Union Act (12
U.S.C. 1752).
``(3) `insured depository institution' shall have the
meaning given the term in section 3 of the Federal Deposit
Insurance Act (12 U.S.C. 1813).''; and
(iv) by inserting after paragraph (4), as
redesignated, the following:
``(5) <<NOTE: Definition.>> `savings promotion raffle' means
a contest in which the sole consideration required for a chance
of winning designated prizes is obtained by the deposit of a
specified amount of money in a savings account or other savings
program, where each ticket or entry has an equal chance of being
drawn, such contest being subject to regulations that may from
time to time be promulgated by the appropriate prudential
regulator (as defined in section 1002 of the Consumer Financial
Protection Act of 2010 (12 U.S.C. 5481)).''; and
(B) in subsection (e)--
(i) by striking ``shall not apply to any
bingo'' and inserting the following: ``shall not
apply to--
``(1) any bingo'';
(ii) by striking the period and inserting ``;
or''; and
(iii) by adding at the end the following:
``(2) any savings promotion raffle.''.
Approved December 18, 2014.
LEGISLATIVE HISTORY--H.R. 3374:
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CONGRESSIONAL RECORD, Vol. 160 (2014):
Sept. 15, considered and passed House.
Dec. 10, considered and passed Senate.
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