Costco shopper buys an item eligible for a $40 rebate — then he faced an unexpected problem

Costco is known for making the shopping experience convenient for customers with generous return policies and attractive deals. But once in a while, a shopper can have a harrowing experience. That’s what happened to George Rahey, a New Jersey resident who wanted to get his damp basement fixed. He went to a Costco store and, along with some household supplies, purchased a dehumidifier, manufactured by Midea, worth $149.97. A sticker on it showed that the item was eligible for a $40 rebate.

The unit was an Energy Star-rated appliance, which is why it was eligible for the rebate. “There is a sticker on the box indicating a $40 rebate is available,” Rahey said, as per a report in NJ. The green, white, and blue sticker had the JCP&L logo and a website to find the rebate application. However, he was informed that the item in question was not eligible for a rebate.

JCP&L said that the unit was not Energy Star-rated, yet it was their sticker that clearly said the product was eligible for the rebate. Hayes was confused upon seeing this and took the matter to Costco. Unfortunately, the retailer said that it did not handle the rebates. This was a matter between the utility and the manufacturer. Rahey had no choice but to contact the manufacturer, Midea.

A representative took the details and escalated the matter, and was then told on November 12 that the dehumidifier was indeed Energy Star-rated. However, the company asked him to speak to JCP&L, which had already said that the rebate was not applicable. This frustrated Rahey, who said, “So someone owes me the rebate. Costco says it’s not their problem. The power company says no. And Midea is telling me to go back to the power company.”

On November 19, a Midea representative once again confirmed that the item was Energy Star-rated. This time, Rahey was told that the dehumidifier might not be on the Energy Star website because it’s a Costco-specific model. So once again, the customer had no choice but to seek answers elsewhere. This went on for a number of days. Costco was the first to finally understand the customer’s plight, and they offered him a $40 gift card.

“I’m sorry for the hassle around the utility rebate,” a representative wrote, before adding, “The EPA changed requirements for Energy Star certification in October, which made our unit (and others) non-compliant.” JCP&L came back with an apology of its own. “We know this is a frustrating situation, and since the Energy Star sticker was still on the box by mistake, we’re honoring the rebate,” its spokesman Christopher Hoenig said.

Rahey now had $80. When asked what he planned on doing with it, he said, “Really, I am going to give the money to my wife because she has been hearing me complaining about this for almost two months now.”

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