A sales advertisement for a 12 pack of Pabst beer showing only the after rebate price. A rebate is an amount paid by way of reduction, return, or refund on what has already been paid or contributed. It is type of sales promotion marketers use primarily as incentives or supplements to product sales. The mail-in rebate (MIR) is the most common. A MIR entitles the buyer to mail in a coupon, a receipt and barcode in order to receive a cheque for a particular amount, depending on the particular product, time, and often place of purchase. Rebates are offered by either the retailer or the manufacturer of the chosen product. Large stores often work in conjunction with manufacturers, usually requiring two or even three separate rebates for each item. Manufacturer rebates are sometimes valid only at a single store. Rebate forms and special receipts are sometimes printed by the cash register at time of purchase on a separate receipt or available online for download. Rebates are heavily used for advertised sales in retail stores in the United States, such as Best Buy and Staples. However, Best Buy, in April 2005, announced that they would be eliminating all mail-in-rebates[1]. In 1992, mail in rebates were not usual in the UK, the so called 'Hoover Free Flights'[2] fiasco perhaps giving evidence of its pitfalls. Personal computer components and electronics seem to have a large portion of rebate sales. For example, an item might be advertised as "$39 after rebate" with the item costing $79 OTD (out-the-door) with a $40 rebate that the customer would need to redeem. The turnaround time is generally four to eight weeks, though some rebates note a period of eight to twelve weeks. Most rebates are handled under contract by rebate clearinghouses that specialize in processing rebates and contest applications. The source of their fees is not readily discernible with conflicting reports from different sides. Roger D. Andersen, former CEO of Young America, a rebate clearinghouse claims that "Young America receives the same fees whether a submission is valid or invalid," giving them no incentive to unfairly invalidate customer rebates.[3] Young America is currently under investigation by the state of Massachusetts for keeping unclaimed rebate checks. [4]. Frank Giordano, founder of TCA Fulfillment, claims "We get paid for every redemption request we enter in the system. If we don't put it in the system, we don't get paid." [5]. TCA is also notable for a "Rebate Redemption Guide" that was sent to prospective clients touting the low redemption rates that they would have with TCA as their rebate fulfillment center, promising 20% less than their competitors. [6] In the United States, Connecticut state regulations section 42-110b-19(e) require retailers who advertise the net price of an item after rebate to pay consumers the amount of that rebate at time of purchase[7]. Rhode Island has similar legislation (Gen. Laws 6-13.1-1)[8]. Otherwise, the after-rebate price cannot be advertised as the final price to be paid by the consumer. For example, retailers in Connecticut can only advertise "$40 with a $40 rebate," not "Free After Rebate," unless they give the rebate at the time of purchase.[9][10][11]