Cash Rebate Law and Legal Definition

Cash Rebate is the money refunded to customers who buy merchandise from retailers within a specified time, the rebate allows dealers to clear inventories without cutting list price, for example, a new vehicle dealer might announce that everyone who purchases a certain vehicle in the current month at the regular price of $35,000 will receive a cash rebate of $5,000. Another example is cash rebate credit card which gives 1% cash back on general purchases and 5% on specific purchases.