CASH REBATES- Some REALTORS® have started using a small Irving-based company to offer rebates or “cash rewards” on their commissions.  This Irving company uses a statistical probability based on consumers’ failures to claim retail merchandise rebates; i.e. for cereal box tops or computer software.  This probability determines the cash reserve necessary to meet the projected redemptions of homeowners who try to make claims. For example, the amount actually reserved for clients by the REALTOR® on a $10,000 rebate would be less than 17.5% of the rebate, or $1,750. 
 

Incidentally, the company requires the claimant to wait three years before they can make their claim, and the claim process is extraordinarily tedious! The rebate company places a portion of this money into a bank account held by a third party to pay the future claims by homeowners.  The rebate company is located in a small Irving office and has been in business a little more than three years and may have paid very few rebates by now. 

Don’t enter into this rebate program without careful consideration.  You owe it to yourself to speak with us about this questionable rebate program.