The Origin and Safety of Sweepstake Contests
Have you ever wondered where the term, “sweepstakes” actually came from? Every year, approximately 55 million people enter some type of sweepstakes. Prizes are given away every day. From cash giveaways, to luxury gifts, such as cars and vacations, people do actually win! Generally, the more entries you submit, the greater chance you have of winning.
Each winner is actually chosen by a random number. It is suggested, spending one to two hours a day, entering these contests. Some of the best sweepstakes to enter are single-entry sweepstakes. Entering just once, will give you the same odds as everyone else. Sweepstakes are a game of chance. There is no skill or magic involved. They are simply luck-based promotions.
Most sweepstakes are run by legitimate companies, therefore, being safe to enter online. You should never be asked to pay for a sweepstakes. These contests are free of charge. Do not give out any credit card information. This is the sole reason that sweepstakes are not considered gambling, making them completely legal.
There are many types of sweepstakes, including online, mail-in, call-in, drop boxes, text message sweepstakes, radio, and blog contests. Originating back to the 18th century, the actual word, “sweepstakes”, meant a prize won in a race or contest. “One who sweeps or wins all the stakes in a game”. Sweepstakes began as a form of lottery that were tied to products sold.
Most sweepstakes offer small cash giveaways or gift cards. If a sweepstakes prize is more than $5,000, the sponsor must withhold 25 percent of the prize value, for federal tax purposes. State taxes may need to be withheld as well, depending on the geographical location you win the prize. Overall, sweepstakes do not acquire high regulatory restrictions.
Remember to play our very own PrizeHopper Sweepstakes weekly! Freddie The Frog, our Mascot, will keep you informed on our giveaways! We will contact you directly through email after you have won. Be sure to keep a lookout for more exclusive prizes in the weeks to come. Good luck!