Consumers should get more useful information about rebate offers as a new law goes into effect in New York State Jan. 1.

The law requires any entity that offers rebates to conspicuously disclose information to consumers if the rebate will be issued in a form other than cash or a check, such as credit, credit towards a future purchase, gift certificate, gift card, general use prepaid card or any other form of compensation, and if any additional fees apply. The measure also applies to advertising.

Mindy Bockstein, state Consumer Protection Board chief, says the law will also provide clear guidance to businesses that use rebates.

In recent years, CPB says, rebate offers have become an increasingly popular method for businesses to attract customers, who appreciate the opportunity to save money on items they wish to purchase, and tend to respond favorably when rebates are offered on such products.

But manufacturers and retailers that offer rebates have not always made the terms of the rebate clear to consumers at the point of sale. While consumers tend to assume that a rebate will be by check, some rebates are actually provided credit toward the purchase of another product. In the case of a rebate as a pre-paid card for additional purchase, consumers can face undisclosed fees for activation, checking of balances, and for periods of inactivity.

For more information about rebates offers and other consumer topics, visit www.nysconsumer.gov or call the CPB toll-free at (800) 697-1220.