# XM's rebate checks no good



## Lord Vader (Sep 20, 2004)

As if this merged company isn't having enough problems, I get this Email today (I bought a new receiver in the summer and am only NOW supposed to be getting the damn rebate check):



> *Dear Subscriber,*
> 
> *Our records indicate that a rebate check was recently issued to you in connection with your purchase of an XM radio. We contract the processing and issuance of our rebate checks to a rebate fulfillment vendor. On November 11, 2008, we were informed by our vendor that they were under "financial stress" and, as a result, the funds we deposited with them to cover rebates were no longer available.
> 
> ...


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## Fontano (Feb 7, 2008)

While you may be a little ticked about it.

At least you found out now, before getting a fee from your bank, when the check bounced.


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## Lord Vader (Sep 20, 2004)

Oh, it's not like I'm pissed as hell; rather, I'm rather a bit irritated.


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## turbovr6 (May 17, 2007)

It's not just an XM thing. Many of us are getting shafted on rebates right now....

http://enthusiast.hardocp.com/article.html?art=MTU4NCwxLCxoZW50aHVzaWFzdA==

Quote :
Here is a simple overview of how a rebate with CPG works. Company X puts a rebate on its product, let's say for $20. Company X expects to pay out 5000 of these rebates to consumers. Company X would then put the $100,000 needed to cover that rebate into CPG's bank accounts. CPG basically escrows the money for consumers. CPG is trusted with this money in order to make sure the consumer is "safe."

We have it from good sources currently that CPG owes consumers somewhere in the neighborhood of $9M to $12M worth of rebates. The problem here is that CPG currently only has about $3M in cash to cover that $9M-$12M in rebates owed to the consumer. Where that money has gone to is anyone's guess and we will leave speculation up the law enforcement authorities and the courts.


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## Fontano (Feb 7, 2008)

Do most of the rebate houses then make their money, off the intrest on those deposits by the bigger companies?

Hence the 8-12 week timelines for payoffs? (time to get enough intrest of it)

If that is the case, this could be a BIG BIG issue with the way the economy is right now.


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