Cash Value of Coupons?

Question

On coupons it frequently says something like "Cash Value 1/20 cents, No redemption for cash or credit"

These statements seem to contradict each other, and why bother printing a cash value so low, especially if it's not redeemable?

Answer 1

I dont know, but Ive sometimes thought about cutting out 20 coupons and taking them to the store and asking for the one cent.  Imagine how ticked the people behind you in line would be?  It would probably take the cashier 15 minutes to figure out how to ring that up.

Answer 2

Some state once had (maybe they still do) laws that required companies to redeem coupons at face value unless a 'cash value' appeared on the coupon, even if the item the coupon was for was not purchased.  In order to escape these laws, cash values low enough to make this practice not worth the effort were added to most coupons.  This is basically CYA for the company to make sure they never have to accept a coupon without actually selling the item in question.

If you DID request cash, you would have to do so at the clearinghouse used by the stores to collect from the manufacturers.  The store is not required to accept manufacturers coupons even if you by the item.

Answer 3

It's rediculous.  But it is a weird law that requires business that distribute coupons to have a cash value on them.  And you'll notice that they differ too.  

The basic reason is that some states require coupons to have a cash

value. So the distributors of coupons make the value so low that no

one will bother to cash them in.

Answer 4

it's one twentieth of one penny. Would you really want that when the coupon is most likely over a penny? You could never go into a store and ask for cash for your coupon. Coupons are intended to be used towards something. No store is going to give you cash for your coupons.