In lawful and promotional contexts, a potential prize winner is someone whose entry has been selected in a contest or sweepstakes, but whose eligibility hasn’t been officially confirmed yet. Unlike how many onlookers have speculated on message boards that it seems to be a scammy term, rest assured, it is not (unless being used by a scammer, of course!).
Think of it as a “pre-verification” stage. If you get a notification calling you a potential winner, it means you’ve “won” technically, but the administrator on behalf of the Sponsor needs to check the fine print before they are allowed to hand over the prize.
In addition to confirming eligibility, the reasoning behind this is that there are many “bad actors” out there attempting to “game” the system, often using bots to do their dirty work. Not only does gaming the system make it unfair to those entrants following the rules, but verifying potential winners is also a way to be sure that the promotions Marden-Kane administers maintain legitimacy.
Why You’re Not a “Verified” Winner Yet
Before you are officially declared the winner, the administrator usually needs to verify a few things:
- Eligibility: Do you meet the age and residency requirements?
- Compliance: Did you follow all the Official Rules? (e.g., you didn’t enter more times than allowed).
- Documentation: For prizes valued at $2,000 or more, you’ll likely need to sign an Affidavit of Eligibility for tax purposes and sometimes a Liability/Publicity Release.
- Tax Reporting Information: You may need to provide your Social Security number so the administrator can issue an IRS Form 1099 for the prize value.
The Verification Process
- Notification: You receive an email, phone call, or letter stating you are a potential winner.
- Response: You typically have a strict window (often 3 – 7 days) to respond. If you miss this deadline, you may be disqualified, and an alternate potential winner will be chosen.
- Verification: The administrator and Sponsor review your documents and checks that you aren’t an employee of the Sponsor or otherwise ineligible. The verification process includes ensuring that the information submitted matches the person being contacted.
- Confirmation: Once everything clears, you are officially a verified winner, and the prize is shipped or awarded.
Be Wary of Scammers
Yes, this article started by talking about legitimacy of specific terminology. But you do need to take precautions, nonetheless.
Legitimate sweepstakes will never ask you to pay a fee, shipping costs, or “taxes” upfront to claim a prize. If someone asks for money to release your “winnings,” it’s a red flag for a scam. Under U.S. law, a purchase is never necessary to enter or win a sweepstakes. Real sweepstakes winners pay their taxes directly to the government when they file their annual tax returns.
We at Marden-Kane want to be sure that prizes are awarded appropriately and fairly. You may want to review our Scammer Alert page for the warning signs or contact us for more information.