Lottery scratch games still being sold after jackpots are gone

Jun 30, 2008, 1:22 pm (21 comments)

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Feeling lucky today?

Then don't buy a $20 scratch-off ticket for the New Jersey Lottery's "$1,000,000 Explosion" game.

Your chances of winning the $1 million top prize are Z-E-R-O.

The six top prizes were awarded months ago, but the $20 tickets are still on sale. The best prize available today is $10,000.

State lotteries are coming under renewed criticism for selling scratch-off tickets after the top prizes have been given away. The latest challenge comes from a professor who says he intends to sue Virginia for allegedly selling $20 million a year in lottery tickets that had no top prize available.

About half of the 42 states that have lotteries (43 with Washington, D.C.) — including Florida, New Jersey, Michigan and Tennessee — keep selling tickets after the top prizes are gone. The states say the practice is fair because lottery tickets and websites disclose the practice.  Also, other prizes are available.

Sales of scratch-off lottery tickets have soared since the introduction of high-priced tickets designed to have huge jackpots — $1 million or more is common — that can be won instantly.

The "$1,000,000 Explosion" was New Jersey's first $20 ticket and very popular, said lottery spokesman Dominick DeMarco. Most tickets are gone, although the game won't end until July 21.

California, New York, Massachusetts and other states now end scratch-off games when top prizes are gone. The changes often followed lawsuits that were unsuccessful but generated bad publicity. The lawsuits "sure changed the way lotteries do business," says attorney Rob Carey, who filed suits in California, Colorado, Arizona and Washington.

In August 2007, Washington and Lee University business professor Scott Hoover bought $5 tickets for a game called "Beginners Luck" in Virginia. Later, he learned the top prize was awarded in July. Using public records, Hoover calculated that the state sold about $20 million annually for three years in tickets when a top prize wasn't available. He says the state should compensate these players.

"They were promising $75,000 prizes that weren't there," says John Fishwick, Hoover's lawyer.

Virginia Lottery executive director Paula Otto says the lottery as of July 2007 now ends scratch-off games after the last top prize is awarded.

USA Today, Lottery Post Staff

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sorensonfan41

Here in GA, it took an investigation by WAGA Fox 5's "I-Team" for the GA Lottery to start posting a list of how many grand prizes are left for each available game (available as in deliverable to retailers).

I've actually emailed the GA Lottery asking them to do like South Carolina does, which is post complete odds, methods of winning prizes (e.g. on $1 Junior Jumbo Bucks in GA, a $25 winner can be obtained by Jumbo $5 and Jumbo $3 + $10), and number of prizes available for ALL tiers of prizes, from free tickets/breakevens all the way to grand prizes.  I did it last week and I've yet to get a response.

Ever since the GA Lottery posted the list of grand prizes available, I've actually changed the way I play somewhat.  If there's no new tickets available that week (or any I haven't tried), I tend to go with the tickets with the most grand prizes remaining (if there's a tie, I go with the ticket with better overall odds) or the best overall odds.  If GA listens and puts up detailed odds like SC, I'll probably change my playing again with the new stats.  I actually keep an Excel spreadsheet with a list of all the tickets (grouped by price range), their overall odds of winning (all tickets in each group are sorted by this), and number of grand prizes left.

IMO, all states need to release the number of grand prizes remaining at least, along with a list of odds for all prizes for that particular game.  It's bad knowing, after the fact, that all the grand prizes are gone for that game after you just bought that ticket.

ThatScaryChick's avatarThatScaryChick

I think all states should quit selling tickets when the Grand Prize is gone. It misleads the public into thinking that they still have a chance to win the big prize which is misleading.

MaddMike51

Here in Iowa the lottery posts how many of the top tier prizes are left for each scratch off game on their website.The list is updated daily,except for weekends & holidays.I suppose you could end up buying a ticket that was sold after the grandprize tickets were all sold because of the lag time it takes to contact all of the retailers to pull the tickets.A person could also buy the last grandprize winner on Monday but not cash it in until Friday and the lottery might not know its been sold if the winner didn't have the ticket verified at the retailer.Iowa has been pretty good about keeping its lottery fair & honest.

 

http://www.ialottery.com/Games/RemainingPrizes.asp

Bradly_60's avatarBradly_60

Michigan does have this situation too.  They always sell tickets after the top prizes are claimed.  But the odds of winning a top prize are so high I just usually buy them for a little entertainment and maybe and extra $20. 

Ohio seems to have a good idea.  Save a top prize drawing until the end of the game and then give it out.  That way there still is a top prize and you can sell all the tickets.  I mean it would really suck for a state to say for instance the 2 top prizes in a game to be in the first tickets.  They would lose money and no one likes to lose money.

Brad

psykomo's avatarpsykomo

   $The LOTTERY i$ A MONEY MAKING MACHINE$

      They are OUT for UR MONEY!!!! They are selling U a "DREAM" !!!!

IF U LOSE<<<<<U can't get UR MONEY BACK>>>>>!!!!!!!!!!!!!!!!!!!!!

TRANSLATION:

ALL lottery player's KNOW that........but, PSYKO>>>>>>>>>>>>>>>

BUTT PSYKO trie's to get the MONY everytime HE pay'$$$$$$$$$$$$

LOL

PSYKOMO

pumpi76

Well learn something new...

But you can always add more scratchoff tickets.....

JAP69's avatarJAP69

S.Carolina have notices right at the retail level that all top prizes may have been claimed in any scratch game. But the games are still sold.

I have also seen posted in the stores the prizes remaining in any scratch game. I do not know when this notice is updated for remaining prizes.

rwsmes's avatarrwsmes

Quote: Originally posted by MaddMike51 on Jun 30, 2008

Here in Iowa the lottery posts how many of the top tier prizes are left for each scratch off game on their website.The list is updated daily,except for weekends & holidays.I suppose you could end up buying a ticket that was sold after the grandprize tickets were all sold because of the lag time it takes to contact all of the retailers to pull the tickets.A person could also buy the last grandprize winner on Monday but not cash it in until Friday and the lottery might not know its been sold if the winner didn't have the ticket verified at the retailer.Iowa has been pretty good about keeping its lottery fair & honest.

 

http://www.ialottery.com/Games/RemainingPrizes.asp

In Delaware the retailers are notified through their terminals and by phone from the Instant ticket sales people as soon as the last top prize in a game is sold.  The retailers are instructed to immediately remove the game from sale and return it to the Lottery.  It's only fair even though there are often lots of prizes left in the game.

Second chance drawings and awarding a top prize through such a drawing is one way of extending the life of a game.

DC81's avatarDC81

I saw a story about this on TV. Michigan and the other states that were doing this are seriously going to be screwed. I'm sure they'll settle since if they don't they could lose a lot and I do mean a lot of money.

MaddMike51

Quote: Originally posted by rwsmes on Jun 30, 2008

In Delaware the retailers are notified through their terminals and by phone from the Instant ticket sales people as soon as the last top prize in a game is sold.  The retailers are instructed to immediately remove the game from sale and return it to the Lottery.  It's only fair even though there are often lots of prizes left in the game.

Second chance drawings and awarding a top prize through such a drawing is one way of extending the life of a game.

I don't know how the retailers in Iowa are notified,probably pretty much the same as in Delaware,I imagine.But there is still going to be some lag time after the top prize is sold.Supposedly,the Lottery doesn't know when or where the ticket will be sold.They wouldn't know it was sold until someone had it verified at the retailer or redeemed it at Lottery headquarters.

 

Iowa had a $10 ticket a few years ago that was pulled after 3 weeks because all of the top prizes had been won.One top prize of $50,000 was won just minutes after the ticket hit the stores.

TheGameGrl's avatarTheGameGrl

Perhaps I am missing the mark here, but I disagree that the lottery is only being sold for the top prize category. Winning 10k in change is still worth the effort to keep the tickets on sale. Its a TIERED payout so they arent misleading anyone other then the folks who are narrow minded and think that only 4 grand prizes are worthy of being on sale for. Even powerball players know that they have a slim chance of hitting the major winning but I bet anyone who hit 10k or 200k isnt gripping at that second or third tier prize payout.

truecritic's avatartruecritic

Quote: Originally posted by TheGameGrl on Jun 30, 2008

Perhaps I am missing the mark here, but I disagree that the lottery is only being sold for the top prize category. Winning 10k in change is still worth the effort to keep the tickets on sale. Its a TIERED payout so they arent misleading anyone other then the folks who are narrow minded and think that only 4 grand prizes are worthy of being on sale for. Even powerball players know that they have a slim chance of hitting the major winning but I bet anyone who hit 10k or 200k isnt gripping at that second or third tier prize payout.

If you have a top prize available, I am sure many more players are willing to spend the $20 - to take the chance of hitting it.   Why does anyone want to spend $20 to hit a smaller prize when another game might still have a Million Dollars for the same price?

I disagree with pulling the game just because the top prize is won.    The solution is rather simple, if the top prize is $1,000,000 for a $20 ticket.   Then someone wins it and the next prize is $500,000, the ticket price should be cut in half ($10).   And so on, until all the prizes are gone.

rcbbuckeye's avatarrcbbuckeye

Quote: Originally posted by truecritic on Jun 30, 2008

If you have a top prize available, I am sure many more players are willing to spend the $20 - to take the chance of hitting it.   Why does anyone want to spend $20 to hit a smaller prize when another game might still have a Million Dollars for the same price?

I disagree with pulling the game just because the top prize is won.    The solution is rather simple, if the top prize is $1,000,000 for a $20 ticket.   Then someone wins it and the next prize is $500,000, the ticket price should be cut in half ($10).   And so on, until all the prizes are gone.

I rarely play scratchers, but when I do, I always check online to see what payouts are left, along with overall odds on different tickets I'm considering. A couple years ago a lady in Garland made a big stink about top prizes being gone and tickets still being sold. To me, it's just common sense to check online before buying.

Cutting the ticket price when the top prizes are gone is not a bad idea, and would probably help the state sell remaining tickets faster.

EXMECHANIC

The thing that appalled me the most about this story, was the fact that one of the states in questions felt it was okay since they posted that information on their website, I'm sorry but to assume everyone has internet access is a complete joke, especially when the majority of scratch off buyers are lower income families, and even with the library excuse most these families work when librarys are open. Unless this information is posted at every scratch off retailer you can't use that excuse.

Thank goodness I live in a state that already had a law suit to stop this practice.

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