--- title: "Can you offer a discount for a review? The FTC review rule" description: "The FTC review rule (16 CFR 465) bans incentives tied to a positive review. Paying for honest reviews isn't banned but should be disclosed. Examples inside." canonical: https://resellerindex.com/seller-laws/ftc-review-rule-incentives/ last_updated: 2026-10-23 publisher: "The Reseller Index" --- # Can you give buyers a discount or freebie for a review? You can offer an incentive for an honest review, but under the FTC's Consumer Reviews and Testimonials Rule (16 CFR 465.4, in effect since October 21, 2024) you can't offer anything conditioned, openly or by implication, on the review being positive (or negative). “Leave a 5-star review and get 10% off” is exactly what the rule bans, and even a no-strings incentive should be disclosed, because the FTC says failing to disclose incentives could violate the FTC Act. General information about federal law, not legal advice. This page quotes the rule and the agency's own guidance; it can't tell you whether your business meets them, and state law and marketplace policies can add more. For your own situation, check with a lawyer. Consumer Reviews and Testimonials Rule and the Consumer Review Fairness Act (16 CFR Part 465; 15 U.S.C. 45b). Checked against the official sources below on Oct 23, 2026. ## The rule, in its own words > “…to provide compensation or other incentives in exchange for, or conditioned expressly or by implication on, the writing or creation of consumer reviews expressing a particular sentiment, whether positive or negative…” 16 CFR 465.4. [eCFR (Office of the Federal Register)](https://www.ecfr.gov/current/title-16/chapter-I/subchapter-D/part-465); eCFR, up to date as of Oct 21, 2026. > “The rule does not prohibit giving incentives for reviews, as long as there isn’t an express or implied requirement that the reviews have to express a particular sentiment.” FTC Consumer Reviews and Testimonials Rule Q&A, section 465.4. [Federal Trade Commission](https://www.ftc.gov/business-guidance/resources/consumer-reviews-testimonials-rule-questions-answers); November 2024. > “No. That conduct would violate Section 465.4. Note also that this section applies whether the reviews appear on your website or third-party review platforms.” FTC Q&A, on paying incentives for 5-star reviews with a disclosure. [Federal Trade Commission](https://www.ftc.gov/business-guidance/resources/consumer-reviews-testimonials-rule-questions-answers); November 2024. > “For the purposes of this part, consumer reviews include consumer ratings regardless of whether they include any text or narrative.” 16 CFR 465.1(d). [eCFR (Office of the Federal Register)](https://www.ecfr.gov/current/title-16/chapter-I/subchapter-D/part-465); eCFR, up to date as of Oct 21, 2026. ## Offers, sorted *Review incentives under 16 CFR Part 465 and the FTC's Q&A (November 2024). "FTC Act risk" means the FTC says the practice could violate Section 5 even though the rule doesn't ban it.* | What you offer or do | Under the rule | Notes | | --- | --- | --- | | “Leave 5 stars, get 10% off your next order” | Banned (465.4) | Asking the reviewer to add a disclosure doesn't fix it, per the FTC Q&A. | | “Tell us how much you loved it and get a coupon” | Banned (465.4) | The FTC gives this kind of wording as an implied requirement that the review be positive. | | “Leave an honest review of any kind and get $5 off” | Not banned | Disclose the incentive; the FTC points to the Endorsement Guides, 16 CFR 255.5. | | A review request sent to every buyer, with or without an incentive | Not banned | The FTC treats this as a generalized solicitation, even if a few buyers turn out to be employees. | | Asking only the buyers you think were happy | Not banned by the rule | FTC Act risk, per the Q&A (Endorsement Guides 255.2(d) and (e)(11)). | | Paying a buyer to change or remove a truthful negative review | Not banned by the rule | FTC Act risk: the Q&A says it may distort what consumers think. | | Asking a buyer to update a review after you fixed their problem | Not banned | The Q&A says the rule doesn't prohibit asking satisfied customers to update reviews. | | Family or staff reviews that state the tie up front (the FTC accepts wording as short as “my company’s” or “my wife’s company’s”) | Allowed with a clear disclosure | Undisclosed reviews by officers and managers are banned (465.5(a)); if an owner or manager asks relatives or staff for reviews, they must tell them to disclose (465.5(c)). | | Writing reviews yourself under other names, or buying fake ones | Banned (465.2) | Covers reviews that misrepresent who the reviewer is or their experience. | | Buying followers or likes for your shop's social account | Banned if you knew or should have known they were fake (465.8) | Covers bots, fake accounts and hijacked accounts. | ## Who the rule covers - **Small sellers.** "Business" means "an individual who sells products or services", as well as partnerships, corporations and other commercial entities (465.1(a)). A solo reseller is a business here. - **Not your buyers.** The FTC says ordinary consumers can't be liable under the rule for what they say in reviews, and consumers who accept money for a 5-star review aren't violating 465.4; the business that pays is. - **Marketplace ratings count.** A consumer review is one published to a website or platform "dedicated in whole or in part" to receiving and displaying such evaluations, and it includes ratings with no text (465.1(d)). Seller feedback and star ratings on a marketplace fit that description. - **What counts as an incentive.** "Purchase a consumer review" covers money, gift certificates, products, services, discounts, coupons, contest entries or another review (465.1(m)). - **Insiders and relatives.** An immediate relative means a spouse, parent, child or sibling (465.1(i)), and officers include owners (465.1(l)). Online, an insider's disclosure has to be unavoidable: it isn't clear and conspicuous if a shopper must click a link or hover over an icon to see it (465.1(c)(4)). ## Enforcement so far The rule took effect on October 21, 2024 ([Federal Register, Aug 22, 2024](https://www.govinfo.gov/content/pkg/FR-2024-08-22/html/2024-18519.htm)). On December 22, 2025, FTC staff sent warning letters to 10 companies about possible violations, based on consumer complaints and information from the companies; the FTC said the letters are not formal findings. ## Edge cases - **Expecting a good review isn't conditioning.** The FTC says offering an incentive you merely expect to produce a positive review doesn't violate 465.4, though it may still raise FTC Act issues. - **Insider reviews that inflate a star average** can violate the FTC Act even with disclosures, the FTC says, because shoppers may see only the average. - **No private lawsuits under the rule.** The FTC says the rule gives no private right of action; enforcement is by the FTC. - **Hosting reviews on your own site** isn't a violation just because some are fake, as long as you didn't write or buy them (465.2(d)). - **Marketplace rules can be stricter.** Many marketplaces have their own feedback policies; check yours before offering anything tied to feedback. ## What to do 1. Remove any listing text, packing-slip insert or message template that ties a reward to a positive rating. 2. If you offer a reward, make it for any honest review and say so plainly, and disclose it. 3. Send review requests to all buyers, not only the happy ones. 4. Ask family or friends who review your shop to say who they are in the first line. 5. Don't buy followers, likes or reviews from anyone. ## Penalties, as the agency states them The FTC states the risk this way: > “The rule authorizes courts to impose civil penalties for knowing violations…” FTC Consumer Reviews and Testimonials Rule Q&A, introduction. [Federal Trade Commission](https://www.ftc.gov/business-guidance/resources/consumer-reviews-testimonials-rule-questions-answers); November 2024. > “Rule violations can result in the filing of a federal lawsuit or other legal action, and civil penalties of up to $53,088 per violation.” FTC press release, Dec 22, 2025. [Federal Trade Commission](https://www.ftc.gov/news-events/news/press-releases/2025/12/ftc-warns-10-companies-about-possible-violations-agencys-new-consumer-review-rule); Dec 22, 2025. ## Questions ### Does the FTC review rule apply to small sellers? Yes. The rule defines a business to include "an individual who sells products or services" (16 CFR 465.1(a)). ### Can I offer free shipping on the next order for leaving feedback? The rule doesn't ban an incentive for any review, positive or negative, as long as it isn't conditioned on sentiment. Disclose it, and check your marketplace's feedback policy, which may be stricter. ### Can my family review my shop? The FTC says yes, but ask them to clearly and conspicuously disclose their relationship to your business. ### What if a buyer offers me a good review in exchange for a discount? Providing the discount in exchange for a positive review is what 465.4 prohibits for the business, whoever suggests it. ## Related questions - [Can your listing or shop policy stop buyers from leaving negative reviews?](https://resellerindex.com/seller-laws/review-gag-clauses-and-suppression/) No. A standard term that bans, restricts or charges for reviews is void under the Consumer Review Fairness Act, and threats to get reviews removed break the FTC's rule. - [Does CAN-SPAM apply when you email your buyers?](https://resellerindex.com/seller-laws/can-spam-emailing-buyers/) Order and shipping emails are transactional. Anything whose main purpose is selling needs an ad notice, a postal address and an opt-out honored within 10 business days. - [Can you put a free gift, extra or substitute in a buyer's box?](https://resellerindex.com/seller-laws/unordered-merchandise-free-gifts/) Mark a free gift clearly as free. Anything else mailed without a request is the buyer's to keep, and a materially different substitute needs consent first. [All 14 federal rule questions for online resellers](https://resellerindex.com/seller-laws/) ## Sources Every rule, number and date on this page comes from these official pages, each read on Oct 23, 2026; quotes are copied word for word. General information, not legal advice. - [16 CFR Part 465: Rule on the Use of Consumer Reviews and Testimonials](https://www.ecfr.gov/current/title-16/chapter-I/subchapter-D/part-465) (eCFR (Office of the Federal Register); eCFR, up to date as of Oct 21, 2026) - [FTC: Consumer Reviews and Testimonials Rule: Questions and Answers](https://www.ftc.gov/business-guidance/resources/consumer-reviews-testimonials-rule-questions-answers) (Federal Trade Commission; November 2024) - [FTC press release: FTC warns 10 companies about possible violations of the Consumer Review Rule](https://www.ftc.gov/news-events/news/press-releases/2025/12/ftc-warns-10-companies-about-possible-violations-agencys-new-consumer-review-rule) (Federal Trade Commission; Dec 22, 2025) - [Federal Register, Aug 22, 2024 (89 FR 68034): Trade Regulation Rule on the Use of Consumer Reviews and Testimonials, final rule](https://www.govinfo.gov/content/pkg/FR-2024-08-22/html/2024-18519.htm) (Federal Register (GPO, govinfo.gov); Aug 22, 2024) Subscribe: https://resellerindex.com/subscribe/ Want these numbers next to your own sales? 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