The whole money back thing makes absolutely no sense. If you are going to sell something for $500, then say you will give $100 back after purchase, why not just make the product $400? Is it some sort of sleezy marketing scheme? ELI5. Please! Make this make sense.
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Some manufacturers have agreements with their authorized retailers that the retailers will only sell at specific prices (MSRP) so the products are never on sale to help keep the premium brand image. The retailer can sell at MSRP and then give a gift card or some other rebate to both stay in compliance and edge out other retailers. Target seems to do this.
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