Re: rebate

On 23 Nov 2003 11:34:55 -0800, [EMAIL PROTECTED] (surena abari)
wrote:

>What is the meaning of rebate?
>I want to buy a digital camera online and the
>seller announces that the price is $550 and also
>there is $100 manufacture rebate from Nov 1st to Dec 15th.
>So what is the money I must pay in that time period?

You pay $550 plus whatever taxes there are on that amount.
There is usually a cupon of some sort in the package with the item.
You fill in your name and address and send the cupon to the
manufacturer. They send you a cheque for $100

>Also I read the following comment:
>"Some sellers include the rebate in the price, so they
>subtract that amount off and put the result in big letters.  You still buy
>it at their regular price, then it's up to  you to get the rebate turned in."

So that camera might be advertised in big letters as costing $450.
When you go to buy it you find you really have to pay $550. You get
the $100 difference back, but not right away. If 1000 customers buy a
camera, and the manufacturer takes his time paying the rebate, he gets
to keep the interest earned by $100,000 over that time.