Agnes loved drumming up business for her bakery, “Sugar Rush.” Eye-catching flyers boasted a delicious new cupcake – “Only $2 with mail-in rebate!” But Agnes sometimes worried customers felt misled. Were the rebates easy to get? What form would the money come back in?
There are laws to make sure rebate ads are clear and upfront. This article will guide you, the small business owner, through the three things your rebate ads must say:
- True Price, Rebates Separate: Imagine you see a scooter advertised for “Just $50!” But wait! There’s a tiny line mentioning a mail-in rebate. The law says you MUST show the real price, like “$100 (with a $50 mail-in rebate)”. This way, customers know the upfront cost.
- Cash, Card, or Store Credit? Agnes knew some rebates came as checks, while others were store credit. The law says you need to tell people how they’ll get their money back. Will it be a check they can cash at the bank? A gift card to spend at your store? Be clear so there are no surprises!
- Redemption Fees? Tell Me Now! Sometimes, there are extra charges to get your rebate. Maybe you need a special envelope or pay for postage. The law says you have to tell people upfront if there are any fees to claim their rebate money.
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Here are some examples to make things clearer:
- Example 1: Agnes fixes this confusing flyer: “Giant Cupcake! Only $2 with mail-in rebate!” New and Improved: “Giant Cupcake! $4 (with a $2 mail-in rebate as a check).“
- Example 2: A local bike shop advertises a bike helmet for “Half Price (mail-in rebate)”. The law says they must clarify “Half Price ($40, with $20 mail-in rebate as a store credit).“
- Example 3: A clothing store offers a “20% off with mail-in rebate” on jeans. They must add “20% off ($32, with $8 mail-in rebate. $1 fee applies to cover postage for rebate redemption).“
Following these simple rules keeps your ads honest and builds trust with your customers. They’ll know exactly what to expect when they see a rebate offer, and everyone will be happy – you with satisfied customers, and your customers with their great deals.
Disclaimer: This article is for informational purposes only and does not constitute legal advice.
