After Epson failed to send my promised rebate and ignored my follow-up
letters, I stopped buying items with rebates. If they want to put
something on sale, they can lower the price to the consumer. The rebates are
just a racket and I refuse to play their game. I make sure I tell the
sales clerks this when they recommend a product with a rebate.
GG in CA

We’ve all done it. We’re tempted to purchase an item with a rebate. The
after rebate price is good. But, we wonder whether we’ll really
receive the rebate. Because without it, the price offered is not the best
deal available.

Although estimates aren’t easy to find, it’s generally assumed that
between 40 and 60% of all rebates go uncashed. Some consumers forget to
send them in. Others have their rebate requests rejected. Still others
neglect to cash the rebate check when it arrives.

Any rebate that’s not cashed is pure profit for the company. This is
definitely a case where your loss is their gain. And it’s a big gain.
Published industry estimates conclude that rebates are worth $6 billion
each year. So there’s roughly $3 billion uncashed rebates yearly.

Most companies generally do not process their own rebates. They hire a
fulfillment company to do that job for them. These firms are experts at
what they do. There was a time when fulfillment centers bragged about
how many rebate requests they disallowed. They’re less open about it
today.

Many rebate forms are designed to be complicated. Their purpose is to
trip you up. Fulfillment centers know what mistakes consumers are most
likely to make in submitting rebates. And they have the legal staff to
tell them what mistakes can disqualify a rebate. The instructions are
often written with the intent of making it hard to collect the rebate.

So what’s a consumer to do? Start by shopping around. A little patience
could turn up a sale without rebate or a similar product at a price
that’s competitive to the rebated item.

Look for “Instant Cash” rebates. They’re not subject to the same
problems as regular rebates. Typically they’re paid out when you pay for the
item. So any doubt about collecting the rebate is eliminated.

It would be nice to know which companies deal honestly with consumers
on rebates. A quick Google search only turned up a couple of sites
attempting to track a company’s rebate performance. The only way to deal
with the uncertainty is to do business with reputable companies. This is
surely a case where the offer is only as good as the reputation of the
company offering it.

There are some rebates to avoid. Any that require your original receipt
or do not provide contact information.

Follow the rebate directions exactly. If it says to staple this to
that, make sure that’s what you do. And, no, a paper clip isn’t the same as
a staple.

Submit rebates as quickly as possible. Make copies of everything that
you send in. If the rebate is sizeable, send it via certified mail with
return receipt.

Save product boxes until the rebate is paid. And track your rebates. A
simple folder for the copies you made will do the job. Be prepared to
write follow-up letters if necessary.

If your original rebate was rejected, send in copies or your original
application with a polite letter demanding the rebate. Keep a copy of
your letter in the ‘open rebate’ folder.

You can also take your complaint to the manufacturer. Fulfillment
centers are set up to handle (ignore?) customer complaints. The manufacturer
may be more willing to help you. You can usually find their contact
information by searching on the company name and ‘customer service
department’. Be polite but persistent.

If the company is unwilling to help, there are outside authorities you
can call on. The Federal Trade Commission recommends that “if the
rebate never arrives or arrives late, file a complaint with the Federal
Trade Commission, the state Attorney General or the local Better Business
Bureau.” You can reach the FTC at 1-877-FTC-HELP or ftc.gov.

Should rebates be a part of your frugal shopping toolbox? That’s really
up to you. Some shoppers enjoy the thrill of the game. Their letters
demanding a rejected rebate be paid are literary works of art. Their
quest for the elusive rebate check would please Indiana Jones.

But, if you’re not the adventuresome type or very short of time, stick
to sales and coupons. No rebate checks for you. But you just might keep
your sanity!
_________________

Gary Foreman is a former purchasing manager who currently edits The
Dollar Stretcher.com website and newsletters. Each week thousands use The
Dollar Stretcher to help them live better…for less. Visit
TheDollarStretcher.com today to see how much farther your day and dollar will go!