What Is A Rain Check? Why Do Stores Offer Rain Checks To Customers?
The term rain check is pretty common when it comes to using it in everyday life. We use it almost every day. However, it is a bit different when it comes to the retail industry. In retail, a rain check is the promise or a commitment from the seller to the buyer that a product is not present, but will be available soon at price of the current day.
This kind of promise comes in a written format, somewhat like a chit, which the consumers may present when they come back to the retailer to buy the item they wish to buy.
The origin of this term dates back to the 1800s in baseball. The spectators who used to attend games that were canceled or postponed because of any reason would get a check to attend any game in the future with no extra charge.
However, there is a bit more that you would want to know about rain checks. In this article, we will try to inform you as much as we can about rain checks and how they may be helpful for you as a customer.
Key Takeaways
- A rain check is the promise that a seller would make to the buyer that the out of stock item which may be purchased at any other date for the sale price of the current day.
- Retailers do not have an obligation to issue rain checks if they openly state the supplies are limited or just available at selected locations.
- The FTC’s Unavailability Rule entitles the customers to get rain checks, substitute items that have a retail value, or any alternative compensation that is equal to the advertised discount or items.
Let’s Understand Rain Checks
Rain checks are generally issued by retail stores. While advertising a sale, a retailer is needed to honor the discounted price of the product even when the supplies are over.
Customers may request a rain check, generally through a paper voucher. That is, if they are unable to buy the advertised item during sale. Most of the rain checks have a validation of 30, 60, or a maximum of 90 days. This fully depends on the store.
The run check would ensure that the customers have the option to return and purchase the item at a discount price during the restocking of the inventory. However, retailers would not be obliged to issue you a rain check if the advertisement states that there are limited supplies or are just available at selective locations.
Rain check also offers retailers a very competitive advantage. When they issue a rain check, a retailer may keep the customers from going to their competitors and make sure that they come back.
Rain checks are also useful in the other sectors, which includes entertainment and sports industries.
Example Of A Rain Check
Let’s assume that The Big Store generally sells Yummy Wheat Cereal for $4 for a box every week. The management decides put the cereal on sale. They put the cereal boxes at $2.50 each for the upcoming week. The store puts up advertisements on all its flyers and through online posts. If you visit the store and find Yummy Cereal, they are out of stock. In that case, you may ask for a rain check. The store would issue you a coupon with the sale price of $2.50, the expiry date, and the quantity you wish to buy. When you get back to the store, you may simply present the cashier with the coupon and get to the process of payment.
However, you need to keep in mind that vendors would not generally issue a rain check for any such special promotions. So, anything specially marked as “Buy One, Get One Free” may not be available for any rain check after stock depletion.
The Unavailability Rule And Rain Check
After 1989, rain checks became a pretty standard practice in retail stores. The Federal Trade Commission had established the unavailability rule. This law entitles all the customers to get rain checks, substitute items that have the same value, or any such compensation that is equal to the discount or items.
The unavailability rule acts as a protection for the consumers from deceptive or false advertising. This allows for the retailers to have enough supplies to satisfy the demand that the sale causes reasonably. The FTC had established this law had helped prevent bait-and-switch sales. This was an advertising practice for bargaining prices to pull in heavy traffic. Understocking the items on sale encouraged the customers to purchase more expensive products.
Running out of stock is definitely not illegal. However, a retailer violates laws if they continuously understock sale items without informing the public that there are limitations.
Exceptions Of Rain Check Laws
In the United States, every individual state has its own acts for consumer protection. This may expand the liability of retailers or subject a huge range of products to laws of rain check. Some states may even limit the amount of time the consumers get to redeem the rain check after getting the notification of the restocked item.
Retailers may limit the supplies, due to which a rain check does not have a guarantee. However, in order to do this, and at the same time be fair to your customers, the store needs to properly state that there is a limit to the stock supply. And that it may not issue the rain check.
Laws of rain check would not apply to the products which do not have delivery at the time of purchase, like furniture and appliances. Big high ticket items are stocked regularly in smaller quantities and might require substantial costs of handling for retailers to make more inventory available at the store.
Clearances, close-outs, store-wide discounts, and seasonal sales are usual exclusions. This is because the retailer is selling off inventory that may not be restocked within any reasonable frame of time.
What Would Happen If You Do Not Get A Rain Check?
When the store does not offer you a rain check, you need to check if the sale item has limitations. If the store mentions that they do offer rain checks, it may not offer you with it either. If there isn’t any stipulation, and yet you can’t get a rain check, you may file a complaint with FTC. You may also complain to the consumer protection agency of your state or the state attorney general.
The Bottom Line
Getting a rain check is something that you, as a customer, deserve. When stores are not able to give you anything you want, they offer you a rain check. When you get back to the store, they offer you the product for the same price. So, it is important that you are aware of the process.
However, you need to be aware of who is offering you a rain check. Not everyone will allow you with the rain check.
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upasana sarbajna
Upasana is a budding journalist who has a keen interest in writing. She considers writing as therapeutic and is most confident when she writes. She is passionate about music, movies and fashion. She writes in a way that connects with the audience in a personal level. She is optimistic, fun loving and opinionated.
