Cashback Solutions is actually a promising name. So the question arises: Will it remain an empty promise or is there an offer with substance behind it? Are there positive Cashback Solutions experiences?

Is this really a win-win situation where all parties involved can only win? The provider Cashback Solutions, the corporate customer and the retail customer. Or are we rediscovering a dubious snowball system? One that makes full-bodied promises to the so-called marketers of Cashback Solutions? Marketers? Pyramid scheme? We have examined Cashback Solutions and have come across some old acquaintances…

Have you already had bad experiences with the offers of Cashback Solutions? The lawyers of the Herfurtner law firm advise clients who have made losses through such and similar repayment systems. Please contact us! Our lawyers can help you.

Cashback Solutions Experience

Cashback Solutions – How beautiful is the world of shopping: Happy young people buy what they want and enjoy the many bonus benefits and shopping points that the Cashback Card brings them. The digital bonus card in the chic credit card format is at least promoted by homepages like Cashback World and Cashback Solutions.

This cashback card is intended to replace the collection of individual vouchers and rewards on various bonus cards from different providers. Rewards from your purchases in the affiliated shops of Cashback Solutions are automatically managed by the Cashback Card and the Cashback App.

The customers get access to a – as the advertising praises it – “cross-national and cross-industry shopping community”, to a network with allegedly up to 90,000 partner companies. These so-called “cashback shops” are supposed to offer card users many other offers, which are supposed to make the diligent collection of points while shopping particularly attractive.

The offensive online advertising by Cashback Solutions even suggests here that customers of the Cashback Card and Cashback App could even make a profit by diligently collecting points while shopping, in concrete terms: earn money by shopping regularly! Sounds incredible? That’s right. The question arises: Who actually makes such full-bodied promises?

Cashback Solutions: A Look at the Homepage

“With Cashback Solutions you solve your business challenges!”

is the full-bodied message on a subpage of the Cashback Solutions website. The companies facing the challenges can put themselves in their place: Cashback Solutions considers offers for

  • Online shops
  • Small and medium-sized enterprises and
  • Large enterprises

You can register with Cashback Solutions as an individual, as a company or as a partner company. The available packages – Light, Basic and Professional – cost 399.00 EUR, 699.00 EUR and 999.00 EUR.

Companies that have booked the “Cashback Professional Program” will of course appear further ahead in the retailer overview. Online shops will also learn that “integration into the online shopping world of the shopping community” from Cashback Solutions costs a one-time fee of 790.00 EUR and an additional monthly fee of 19.00 EUR for a minimum of 10 sales per month.

For answers to all other questions you must either contact Cashback Solutions or register. Sounds not bad so far. So where is the catch?

Lyoness in a new Guise? – Cashback Solutions

It is obvious to see a connection between the following companies:

  • Cashback Solutions
  • Lyconet
  • Cashback World
  • Lyoness AG
  • Lyoness Group AG
  • mWGG myWorld Solutions GmbH

Cashback Solutions: Lyoness and the Courts

The fact is that the company you see today as Cashback Solutions has been well known to European courts and consumer protection agencies for many years.

For example, the Supreme Court in Vienna declared 61 clauses of the terms and conditions of the company “Lyoness/Lyconet” to be invalid. From the reasons for the judgement, it can be concluded that clauses are non-transparent and illegal.

There were also problems with the premium system and the “money back for purchases” guarantees. The courts also ruled that creative word creations such as “re-cash”, “volume premium” and “voucher deposit volume” were deliberately not given a clear meaning in the terms and conditions of business on the part of the company Lynoess/Lyconet.

Thus, there was probably no clear legal protection for customers when they tried to claim the alleged “services”. In Norway, the Lyoness remuneration system was even described by courts as a “snowball-like system” and then banned altogether. Above that, in Austria and Switzerland, Lyoness AG was convicted with final and binding effect.

Judgment from Zug

In its final judgment of 20.09.2016, the Cantonal Court of Zug came to the following conclusion: “There is thus a distribution system based on the snowball principle. (final judgment of 20.09.2016; page 11 of the judgment, paragraph 4.1.1. last sentence)

The reason? At the Lyoness company, the distributors of the card and bonus systems of the time were specifically sworn into high profits. At Lyoness training courses, these “Premium Marketers”, who worked independently, i.e. at their own risk, were motivated to recruit as many customers as possible and also as many other Premium Marketers as possible.

The entry requirement for this type of “training” was the modest investment of 3,600 francs – in other words, you could only become a Premium Marketer at Lyoness if you paid the company well over 4,000 EUR as a first step! In fact, the sales people only benefited financially if they were very successful in constantly recruiting new participants – and other sales people. Such a system creates pressure and distributes it further and further “down”, towards the bottom of the pyramid.

Bad experiences with Cashback Solutions? Experienced lawyers help! Since the contracts concluded with Cashback/Lyoness are usually distance contracts according to §312c BGB, there is a right of withdrawal.

If you have any problems with Cashback Solutions, please contact us – even if you think your case is a “complicated individual case” – or leave a comment about Cashback Solutions at the end of this article.

A fresh Start with a clean Slate?

“Build your own business with US” is now also the motto at Cashback Solutions. Once again, “incredible, sensational and great earning opportunities” are being advertised for Cashback Card sellers and professionals. Also on promotional videos of Cashback Solutions on the net.

Sounds familiar. Courts in Austria and Switzerland repeatedly warned against the “unfair” and even “illegal profit expectation systems” in this business sector. And since the many legal disputes in the Lyoness/Lyconet case, Germany’s BaFin has also been looking into such and similar snowball-like distribution structures.

In the past, Lyoness had also put pressure on the individual customers of its bonus systems and avoided, as far as possible, concrete clarification of the real conditions for receiving remuneration entitlements.

In the case of a dispute, the company referred to “signed terms and conditions of business”, as one affected party described the business practices.

The Lyoness company had repeatedly rejected all accusations, including that pressure was being exerted on sales partners and customers. The current Cashback Card – as currently marketed by Cashback Solutions – is currently not being specifically criticised by customers on the Internet.

Cashback Solutions – Money back also in Germany?

Among other things, the predecessor companies of “Cashback World” and “Cashback Solutions” repeatedly criticized the following aspects, which could also be legally effective in your case:

  • non-transparent remuneration systems
  • a non-transparent business model, for example non-transparent cashback packages and other examples of at least accepted misleading customers.
  • Videos, for example, which advertised the advantages of “eCredits” in a full-bodied manner, had to be removed from YouTube after vehement protests.

There have been repeated court cases on these points as well! For example, is it really worthwhile collecting loyalty points with the Cashback Card? Especially with unrealistically attractive profit and refund offers, customers should read the small print carefully! This also applies to Cashback Solutions.

Cashback Solutions and the Consequences of Revocation

“In many cases “revocation instructions” from companies such as Cashback Solutions are not effective, so that a reversal can take place even years after the actual conclusion of the contract,” reveals lawyer Wolfgang Herfurtner, “So don’t let yourself be put off here!

Those affected should always have their real claims checked by a lawyer. There are also concrete possibilities for German customers and business partners to claim back their money.

Please contact us if you want our lawyers to support you. We have experience with hundreds of cases of fraud in snowball-like systems.  In many cases there are concrete ways and procedures to recover lost money.

Damages for customers and business partners of Cashback Solutions?depending on the case constellation, claims for damages may also be considered. It is recommended to have the contract documents checked by a competent lawyer. The lawyers of the law firm Herfurtner help affected customers and business partners of Lyoness/Lyconet and now Cashback World and Cashback Solutions.

The advice is provided throughout Europe. If a revocation is exercised in due form and time, the contractual relationship will be converted into a so-called back-transaction obligation. Customers and business partners get the purchase price paid back and must in return return return the value of the goods purchased through the vouchers. In most cases, the purchase price paid is likely to be considerably higher than the benefits obtained thanks to the company.

Cashback Card: Part of a sophisticated CRM system?

Cashback Solutions praises its partner companies and professional corporate customers above all for its “sophisticated” CRM system. The so-called “Customer Relationship Management Systems” are software systems that control marketing measures.

With CRM systems, companies try to improve customer loyalty, above all, they want to gain “useful and applicable insights” from the data obtained on purchasing behaviour.

Bonus cards such as the Cashback Card are also used primarily to collect customer data for the participating companies and feed it into the CRM system. Is this really customer-friendly in the sense of the consumers? Ultimately, the point here is that shopping centers, shops and companies – in other words everyone who has something to sell in the colorful “Cashback World” – can use clever marketing to bind consumers more closely to themselves.

Above all, this is a sophisticated, profit-oriented platform for “customer relationship management”. And that’s how Cashback Solutions praises its services to its really important customers – i.e. department stores, sales chains and shops – all those who are to connect to the Cashback network:

  • winning new customers (i.e. users of the cashback card, the so-called “shoppers”)
  • bind customers
  • decrease costs
  • increase sales
  • generate additional income

Small and large shops and sales chains are to be connected to a network of “loyal customers” who are tied to the Cashback Solutions network through “rewards”.

Cashback Solutions Options

The lawyers of the law firm Herfurtner offer you legal advice in case of losses in connection with such and similar bonus systems, such as that of Cashback Solutions. Please contact us if you would like our lawyers to assist you in claiming back any monies invested.