Abstract: A system to automatically provide to a consumer an electronic rebate by an existing telephone network and system. The consumer dials a dedicated preassigned telephone number and is prompted to enter the product code and a serial number for purchase verification purposes. A rebate is provided instantaneously in the form of a credit to the consumer's telephone account. The rebates so provided to consumers are collated on a per manufacturer basis, and the telephone service provider issues statements to the rebating manufacturers to cover the rebates issued as well as its service charge.