difference between rebate and discount

[Katjakb]

Hello everyone, can you please tell me the difference between the words "rebate" and "discount"?

Thank you very much,
Katja

[Dozy]

The way I understand it, a "rebate" is a refund given on money that you have already paid or agreed to pay, while a "discount" is a reduction in the original asking price. There are quite a few answers to this question on Google search, most of which seem to agree with this interpretation.

[Katjakb]

Thank you. ;) The next question...

What is "orignial asking price"?

[Dozy]

Perhaps it might be easier with a specific example. Suppose a store has a computer priced at $500, but they offer you a discount of $50. That means you can pay them $450 and take the computer. However, if they have an offer whereby you actually pay them $500 but can later somehow claim back $50, then would be a rebate. At least, that is my understanding. Personally, I most often associate rebates with taxes, utility bills, and things like that. For example, if you somehow end up paying more tax than you actually owe then you can claim a tax rebate. Again, it's claiming back some of the money that you've already paid (or agreed to pay), rather than paying less money at the outset.