Commerce

Rebate Rip-Offs

We all hate those stinkin’ Mail-in Rebates! I’d love to see figures on just how many are actually paid to the customer and how many customers get so mad or frustrated that they just chuck the whole rebate form and forget to send it in. Then there’s all of us that send in the rebates and get told by a form letter weeks later that our rebate was not properly completed and we will not receive it. Well finally the FTC stepped in and made CompUSA live up to it’s rebate promises. According to ARS ..

According to the FTC, between September 2001 and June 2002, CompUSA had promised consumers they would receive rebates totaling anywhere from $3 to $100 within six to eight weeks for both its own products and those from Q.P.S. Instead, the consumers who actually received the rebates were forced to wait up to six months for a check. The problem was compounded when Q.P.S. filed for bankruptcy.

A consent order with CompUSA will place limits on the company’s rebate program and will limit its advertising on rebates from other companies. CompUSA will be required to fully fund all rebate programs advertised and mail checks within the advertised timeframe. In addition, the retailer is on the hook for the rebates promised by now-bankrupt QPS in the case of consumers who filled out and sent in a valid rebate form. In addition, CompUSA will be required to send rebates to any eligible consumer who contacts them or the FTC within 75 days after the order is served on the company.