COAM prize redemption in Georgia since July 2026
Since July 1, 2026, a Class B player can win only replays, lottery products or gift cards, and never cash. Store merchandise is no longer allowed, so check that your staff and your paperwork have caught up.
On this page
What can a Class B prize be?
- Replays.
- Lottery products.
- Non-reloadable gift cards.
- Reloadable gift cards.
Nothing else is authorized (GLC notice). You choose lottery products, gift cards or both, and offering both isn't required. Cash, in any form, is a criminal and regulatory violation (GLC guide).
What changed on July 1, 2026?
Before that date, non-cash store merchandise was an allowed prize. Now it isn't, and a location that redeems anything else faces enforcement action. Under the statute, redeeming products or services that aren't on a gift card brings a warning for a first violation and civil penalties after that, on top of any other penalties (O.C.G.A. § 50-27-71.1).
Watch for old information. The Georgia Lottery's location FAQ and parts of its guide still describe merchandise prizes. Those older documents are out of date on prizes: the July 2026 notice lists the only allowed Class B prizes, which are replays, lottery products and gift cards (GLC notice).
How do gift cards work?
The card can hold only what the player won. It must be loaded on your premises, by you or your employees or by a self-service redemption device. The player can use it elsewhere, but it can't be exchanged for cash, change or currency (O.C.G.A. § 50-27-71.1).
In September 2026, the Georgia Lottery reversed an earlier reading and said gift cards can't be used to get cash in any manner, in whole or in part, and that locations can't give cash back or help convert a card to currency (GLC letter). If you aren't already an approved gift card retailer, you need to establish your own relationship with a gift card provider (GLC notice).
How is a gift card issued on site?
In one of two ways. A kiosk issues and funds the card right away. That's common in bars, because staff don't have to stop, and a player can use the card to pay a tab. Or a small countertop unit lets staff load the card. The licensed operator usually provides the equipment.
The card can be store-only or a Visa or Mastercard card, but it can't give cash access: no ATM use, cash back, money orders or money transfers (GLC letter).
How do lottery prizes work?
If you want to offer lottery products and aren't a Georgia Lottery retailer, the notice says to apply to become one. If you are one, keep enough inventory on hand (GLC notice). A location that isn't a retailer has to follow separate limits; check the current rules before planning around that.
What does the clerk do at the register?
The general flow is simple: the player brings a credit ticket or similar record to the counter, the clerk checks it, and the clerk gives an allowed prize for the amount won. The exact steps depend on your machines and redemption setup, so the operator sets this up and trains your staff.
You can't make a player buy something, or meet any other condition, before you award a prize (GLC guide). Keep separate redemption records (GLC notice).
Clerk quick reference
Print this for the register. Replace it if your operator gives you something more specific.
Georgia Class B location license checklist
- Allowed: replays, lottery products, gift cards.
- Never: cash, cash back on a COAM gift card, or anything else.
- Never give alcohol, tobacco or firearms as a prize.
- Load a gift card only for the amount won, and only on these premises.
- Don't require a purchase to collect a prize.
- Record every redemption the way you were trained.
- Machine down? Call the operator. Don't post an out-of-order sign on or near a Class B machine.
- Questions? COAM Retailer Services Helpline: 1-800-746-8546.
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Behind this form: example game screens. Georgia prizes are non-cash: gift cards, lottery products or replays.
Sources
- GLC notice: COAM Prize Redemption Changes Effective July 1, 2026, checked November 5, 2026
- O.C.G.A. § 50-27-71.1, gift cards and redemption, checked November 5, 2026
- GLC letter: exchange of COAM gift cards for currency, September 16, 2026, checked November 5, 2026
- GLC Location License Holder Guide, version 1.02, checked November 5, 2026
Before you rely on this page
We wrote this page in good faith from the sources linked above, and it reflects our understanding as of the last reviewed date. It's general information, not legal advice for your business. Rules can differ by county and city and can change. Check with the Georgia Lottery or your own attorney before you act on it.
Last reviewed: November 6, 2026