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Ebay Cash Back Scam?

I have been looking at Ebays Homepage, and I came across a seller selling one of those Bug killer thingymajigs on the home page.
The seller has good feedback and seems honest enough, but with all the talk about "cash back" schemes, if you find the listing, you will see the seller is offering exactely that.

Is this some new kind of scam?

I contacted the seller and was told "after the 2nd qualifying purchase your rebate is returned to you by paypal".

Being suspicious and very wary of anyone offering something for nothing I am concerned that this is some kind of scam to get my paypal details.
I wont post the auction number here, but if you look at the home page you will what I mean.
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