"Ivor Jones" <ivor@despammed.invalid> wrote in message
news:529jqsF1ndtosU1@mid.individual.net...
> "Meggahurtz" <nobody@here.com> wrote in message
> news:Bcsvh.59871$1W1.52727@newsfe4-win.ntli.net
>> "simon crowder" <simon.crowder@arcor.de> wrote in message
>> news:45be4e1e$0$18835$9b4e6d93@newsspool4.arcor-online.net...
>> Are my doubts unfounded?
>>
>> I wouldn`t touch Cashback, i`ve read too many horror
>> stories on this NG for a starter.
>
> I don't understand it. Why not just reduce the price by £x instead
> of charging £y and then giving the customer £x back..?
>

Because, generally, it isn't the network making the cash back offer,
its the dealer.
The network pays the dealer a certain amount for customers that they
sign up, the dealer is then deciding that, to entice customers they'll
pass some/all of this commission to the customer as a cashback deal.
Why, then, should the network give all customers a 5 or 10 (or
whatever) pound per month discount ?