The high percentage is actually the key to its applicability and necessity of opting into it because if it were a smallish number it could simply be inflated away by the merchant while with a 50%+ percentage it would be mandatory because even the stupidest consumer is not going to pay you 100% of your price when they can walk down the street and only have to pay 50% of it…to your competitor.

The merchant grants the price discount/credit, the central bank rebates/debits the total daily discounts of the merchant with gifted money so they are made whole on their entire price.

The retail/payment point of finance is one’s serial monthly loan payment. Apply the 50% Discount/Rebate at that point where the bank grants the discount and the central bank rebates the entirety of that amount…back to the bank. Voila! the borrower gets that $500k house for the equivalent of a $125k loan payment and the bank still gets its pound of flesh.