Are raffles (especially those online) illegal?

I was wondering. I know that online casinos are a hot topic and considered ‘no-nos’ by the government, but what about raffles?

One of the websites I visit is raffling a piece of computer hardware to help pay for someone’s medical bills. And there are other assorted sites that seem to have monthly raffles of some kind, and they say it’s for a good cause…

Well, what if I decided to hold a raffle for myself. I have bills, I need to pay them, so is that not quite legal? I didn’t think it was, but I’m not really sure now…

I’ve seen that some sites say 'after a $5 donation (non tax deductible) you get a free ticket for our monthly drawing… Well, is that legal then? So if I take donations, I can give out tickets for a chance to win something?

And one last thing… There are lots of games that you can pay to play online and you have the chance to win a prize… Well, aren’t those the same as slots, or could I have a word find with a $5 entry free and in the event of a tie, the winner would be determined randomly?

Just wondering, this has bothered me for a while :slight_smile:

Thanks!

Raffles in the US are governed by state laws and vary accordingly. In some states, like Georgia, entry to a raffle may not require a donation or purchase of any kind. Some other states (and Canada, IIRC) do not allow games of chance at all - there must be some skill involved in the contest to make it legal.

In other words, what you propose is probably a bad idea but check your local laws.