[113th Congress Public Law 251]
[From the U.S. Government Printing 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.

                                  <all>