Why we’re collecting evidence on RS Rewards

On 1 April 2026, the NSW Department of Fair Trading cancelled RS Rewards’ trade promotion licence after the company breached community gaming laws on multiple occasions. Despite the cancellation, RS Rewards has continued to run draws — including a Mercedes G-Wagon valued at $250,000 — collectively worth approximately $890,000.¹

Australian Fair Trade is gathering first-hand accounts from current and former RS Rewards members to support consumer advocates, legal representatives and regulators in understanding what members were told, what they paid for, and whether they had a fair opportunity to win.

What the regulators and lawmakers are saying

They may be selling memberships instead of tickets, and the prize may be technically ‘incidental’ to the promotion, but any reasonable observer would clearly look at some of these websites and just see a lottery. Senator David Pocock, speaking to the ABC about giveaway clubs, April 2026¹

A giveaway business isn’t legal. It’s either gambling or a [charity] raffle … it’s just become gambling. Andreas Fung, director, Trade Promotions and Lotteries²

The NSW Better Regulation and Fair Trading Minister, Anoulack Chanthivong, has publicly stated he is “very concerned” about the growing number of complaints relating to trade promotions and has condemned attempts to mislead consumers.²

The specific issues being examined

The questionnaire above is designed to gather factual evidence on a number of issues that have been publicly raised about RS Rewards and similar operators:

1. 1
   State eligibility & disclosure

   Whether members in particular states or territories may not have been eligible to win, and whether that was clearly disclosed before they paid for membership.

2. 2
   Operating after licence cancellation

   NSW Fair Trading cancelled RS Rewards’ trade promotion licence in April 2026 for repeated breaches. Despite this, draws have continued — raising questions of potentially unlawful lotteries.¹

3. 3
   “Membership” vs. lottery entries

   Trade promotion permits require that entry into draws be free. But almost 80% of RS Rewards’ recent Instagram posts promote the giveaways rather than the supposed “lifestyle club” benefits the membership pays for.¹

4. 4
   Draw integrity & timing

   Members have reported being able to enter draws shortly before the advertised draw time, raising questions about how entries could be processed and verified before the winner was announced.

5. 5
   Consumer-protection gap

   Unlike licensed gambling, rewards-club operations face none of the standard consumer protections — no age verification, no deposit limits, no helplines, no self-exclusion register.²

6. 6
   Vulnerable consumers

   Public comments on RS Rewards’ own social media show members hoping prize money would pay off debt or get them out of homelessness — a profile of harm experts say closely resembles unregulated gambling.¹

What happens with your response

Responses are stored securely and reviewed in aggregate. With your consent, individual experiences may be referred to relevant consumer regulators (including the ACCC and state Offices of Fair Trading) and to legal representatives pursuing the matter. Contact details are optional and used only to follow up if you have explicitly agreed.

If you are concerned about money you have lost or harm you have experienced, you may also report directly to ACCC Scamwatch or your state’s Office of Fair Trading.