Which term refers to the return of a portion of a payment made?

The term "rebate" specifically refers to the return of a portion of a payment that has been made, typically as an incentive to encourage future purchases or to reward loyal customers. In many cases, rebates are offered after the purchase has been completed, where a certain percentage or amount of the purchase price is sent back to the buyer after fulfilling certain conditions.

Rebates can take different forms, such as cash refunds or future discounts on upcoming purchases, but the essence remains the same: they involve returning a part of the payment made in exchange for something, usually to promote customer retention or enhance customer satisfaction. This distinguishes it from terms like "refund," which typically implies returning the full amount of money paid, or "credit note," which serves as a document for future transactions rather than a direct return of payment.

The concept of "discount" refers to a reduction in the price of a product or service at the point of sale, rather than an after-the-fact return of funds. Understanding these distinctions is crucial in recognizing how rebates function in the context of consumer transactions.