Reimbursements
Warning: For Full Access Please Log In or Create an Account (Free)
Many shoppers started out in exactly that manner. The path forward may be to focus on shops where there is no money laid out: banks, autos, apartments, new homes, mattresses, furniture, etc. Avoid fine and casual dining, fast food (unless you need lunch while making $$$), retail....anything that requires you to purchase something. Then start a bank account or Paypal account in which you accumulate a little working capital, just a small part of each shop fee, so that you can pay for your gas and save for taxes. In a few months you will have fees coming in in monthly waves, even from MSCs that have a long wait for payment. There is nothing about shops where you have to buy something and wait to be reimbursed that is magically going to make you more popular with schedulers, so you have nothing to lose.
Based in MD, near DC
Shopping from the Carolinas to New York
Have video cam; will travel
Poor customer service? Don't get mad; get video.
Shopping from the Carolinas to New York
Have video cam; will travel
Poor customer service? Don't get mad; get video.
The notion of starting up a 'shop kitty' is really important. A little bit of your shop fee makes sense to contribute, but when you get back your reimbursements from previous shops, put them in the 'kitty' as well. I run a 'kitty' that is equivalent to about three months of reimbursements so that if there are opportunities, I don't need to be concerned about whether I will be reimbursed before payment of the credit card is due. When the 'kitty' gets larger than I need, the excess can be bled off to other purposes. When it needs to grow a little bit, I can return to putting part of the fees into it.
Of course there is always the concern that a shop may be rejected and the reimbursement be lost as well. The logical way to deal with this is do shops with companies that have low or no out of pocket expense until you know whether your relationship with them seems to work. Also don't lay out money for things you don't want, need or can use until you are comfortable working with the company.
Of course there is always the concern that a shop may be rejected and the reimbursement be lost as well. The logical way to deal with this is do shops with companies that have low or no out of pocket expense until you know whether your relationship with them seems to work. Also don't lay out money for things you don't want, need or can use until you are comfortable working with the company.
I started with seed money, about $100 as I became acclimated. I did not do a good job of reinvesting my profits, plus $100 only gets you so far.
As @Flash wisely advises, build up a "kitty."
Recently I opened a $300 limit credit card just for MS purposes. I just have to remember to not use it for "cash" required transactions. Between the credit card and the shops that pay by PayPal I am ahead of the curve.
As @Flash wisely advises, build up a "kitty."
Recently I opened a $300 limit credit card just for MS purposes. I just have to remember to not use it for "cash" required transactions. Between the credit card and the shops that pay by PayPal I am ahead of the curve.
My posts are solely based on my opinions and for my entertainment, contact a professional if you need real advice.
When you get in debt you become a slave. - Andrew Jackson
When you get in debt you become a slave. - Andrew Jackson
If you are worried about your report being rejected, then you could stick with reimbursed shops where you could return the item if the shop gets rejected. Retail comes to mind where you could return the purchase for a refund if your report is rejected for some reason.
Or, as some of the other members have mentioned, stay with fee only shops until your reserves are at a more comfortable level.
Pay close attention to your guidelines and rejections should be few and far between...
Or, as some of the other members have mentioned, stay with fee only shops until your reserves are at a more comfortable level.
Pay close attention to your guidelines and rejections should be few and far between...
"We're just two lost souls swimming in a fish bowl -- year after year..."
Until you get your "kitty" stocked, try some fee-only shops. In my area, there are always, always cell phone and bank shops available.
Now scheduling travel shops for the day after Christmas through mid-January.
I recycle my shop fees/reimbursements when I receive payment by paper check. Since that is only about 20% of my pay, I cash the checks and use them for the next shop, where I am required to purchase something. I do this 100% of the time on paper checks. 
Look into credit card offers for cards with 0% interest for the first year or more and no annual fee. I got a BOA card last year that the promotion on just expired. I made extra large payments on it beginning in January and got it paid off before the deadline without paying any interest. I just got a new one with the same promotion through Chase.
@JASFLALMT wrote:
Look into credit card offers for cards with 0% interest for the first year or more and no annual fee. I got a BOA card last year that the promotion on just expired. I made extra large payments on it beginning in January and got it paid off before the deadline without paying any interest. I just got a new one with the same promotion through Chase.
Probably the Chase Slate.
Back on topic... This is definitely not a long-term solution. If you decide to take this route, building some operating income at the end of this would be ideal. As someone stated earlier, having this operating income is crucial to a successful business as a mystery shopper. This would be then when you can maximize your earnings by utilizing credit card bonuses, rewards and cash back from using credit cards to cover your required expenses in mystery shopping.
Shopping the Greater Denver Area, Colorado Springs and in-between in Colorado. 33 year old male and willing to travel!
@Flash wrote:
The notion of starting up a 'shop kitty' is really important. A little bit of your shop fee makes sense to contribute, but when you get back your reimbursements from previous shops, put them in the 'kitty' as well. I run a 'kitty' that is equivalent to about three months of reimbursements so that if there are opportunities, I don't need to be concerned about whether I will be reimbursed before payment of the credit card is due. When the 'kitty' gets larger than I need, the excess can be bled off to other purposes. When it needs to grow a little bit, I can return to putting part of the fees into it.
Of course there is always the concern that a shop may be rejected and the reimbursement be lost as well. The logical way to deal with this is do shops with companies that have low or no out of pocket expense until you know whether your relationship with them seems to work. Also don't lay out money for things you don't want, need or can use until you are comfortable working with the company.
A simple way to manage this 'kitty' would be to utilizing a second checking account purely for mystery shopping. I know some people that have independent checking accounts to dump in fixed expenses for the month for simple budgeting (ex. Mortgage, utilities, phone bill, internet bill, etc.). The same can be said for your mystery shopping 'business' to manager operating income and overhead.
Shopping the Greater Denver Area, Colorado Springs and in-between in Colorado. 33 year old male and willing to travel!
Yes, and if there is a credit card you use for mystery shops only you can certainly plan on paying it out of the 'kitty' account either by using the bank's bill pay or by having the credit card pull money from the account (my preference), If the credit card has shop charges and personal charges you can have the card pull money from several accounts such that shop expenses get pulled from the shop account and personal expenses get pulled from the personal account.
There are a whole lot of different ways to deal with handling the costs of mystery shopping as well as seeing personal benefit as well.
There are a whole lot of different ways to deal with handling the costs of mystery shopping as well as seeing personal benefit as well.
Schylar, You've gotten some great free advice - start out with shops with no front money needed, set up a kitty, open a checking account just for shopping. I view this as a business and like any business start out capital is needed. I think the best kitty is a separate checking account. You can find no fee checking accounts with as little as $300. If you are a veteran there are banks that give special benefits. As suggested, bank shops are a great way to start with - no up front money and fairly easy. I personally stay away from using a credit card to cover shopping expenses but then I am not a big fan of credit cards with their interest rates over 10%.
@LIJake wrote:
Schylar, You've gotten some great free advice - start out with shops with no front money needed, set up a kitty, open a checking account just for shopping. I view this as a business and like any business start out capital is needed. I think the best kitty is a separate checking account. You can find no fee checking accounts with as little as $300. If you are a veteran there are banks that give special benefits. As suggested, bank shops are a great way to start with - no up front money and fairly easy. I personally stay away from using a credit card to cover shopping expenses but then I am not a big fan of credit cards with their interest rates over 10%.
As long as you pay off the statement balance in full, no interest is accrued. When used correctly and efficiently, credit cards can only help us as a shopper and a consumer.
Shopping the Greater Denver Area, Colorado Springs and in-between in Colorado. 33 year old male and willing to travel!
@Tarantado wrote:
As long as you pay off the statement balance in full, no interest is accrued. When used correctly and efficiently, credit cards can only help us as a shopper and a consumer.
That's true, of course, Tarantado but there is the temptation to make a minimum monthly payment especially if funds are low. The banks love it - take in 10%, 15%, even 25% while they are paying .005% on a savings account. I'm not saying I don't use a credit card - occasionally I do but then do exactly as you say - pay it off at once. I know people who charge everything they can on a travel credit card, pay it off on time and build up bonus points. I guess I'm a little old fashioned and prefer cash.
It sounds as though the OP is just starting his business and is a little cash strapped. Hopefully he/she will have the discipline to take your suggestion and use a credit card correctly and efficiently if one is opened.
Handling credit cards is definitely a study in self control and responsibility. A credit card and responsible use of it is a stepping stone to establishing a good credit score, which will in turn lower interest rates when you do want/need to make major purchases such as a car or a home. That score will also serve you well in an employment search as many employers want to check your credit report, or in leasing housing as many landlords will pull a credit report.
I put almost everything I can on a credit card to 'prove' my credit worthiness by paying them off every month in full with no interest and no fees. This doesn't mean that I put things I can't afford on my card. It is not an excuse to purchase shoes I would love to have but can't afford. The card and lines of credit are there should I need them in a dire emergency, but otherwise there should never be anything go on the card I can't afford to pay for by cash or check right now.
A by product for me is that my cards are cash back and that means every couple of months I am using that $20 or $60 in accumulated cash back to help pay off the card in full.
I put almost everything I can on a credit card to 'prove' my credit worthiness by paying them off every month in full with no interest and no fees. This doesn't mean that I put things I can't afford on my card. It is not an excuse to purchase shoes I would love to have but can't afford. The card and lines of credit are there should I need them in a dire emergency, but otherwise there should never be anything go on the card I can't afford to pay for by cash or check right now.
A by product for me is that my cards are cash back and that means every couple of months I am using that $20 or $60 in accumulated cash back to help pay off the card in full.
Agreed. The idea of a credit card should be for the credit card company to be purely an interest free middleman who rewards to consumer with rewards and cash back. With this idea in the back of your head, credit cards should be treated like cash. Following that simple rule can add up to $100's to $1,000's of additional, tax-free incentives for your mystery shopping business, especially if your business is centered on a bunch of high reimbursement shops.
When I get the energy back, maybe I submitted an article purely on that, if there's enough interest on the topic...
When I get the energy back, maybe I submitted an article purely on that, if there's enough interest on the topic...
Shopping the Greater Denver Area, Colorado Springs and in-between in Colorado. 33 year old male and willing to travel!
I'd be interested in that article if you write it.
I have a separate ONLINE SAVINGS account that I use for my 'kitty'. That way, I get around 1% interest - not much but better than a checking or savings account at a brick and mortar bank. I don't have a separate credit card, as too many cards means a ding to your credit report. But the person who got a $300 max card made a good choice. I like the cash back and points that I get on my regular cards though.
Anyone use gift cards while MS shopping? I come across a lot of slick deals that save 10-15%.
@Tarantado wrote:
When I get the energy back, maybe I submitted an article purely on that, if there's enough interest on the topic...
I'd be interested in that as well. I'd also be happy to contribute, if that would be helpful. I especially like the pun-factor of "interest in credit cards."
@sstazz wrote:
Anyone use gift cards while MS shopping? I come across a lot of slick deals that save 10-15%.
I do sometimes. I know that I used several for gas station shops. You can buy the gift cards with a credit card (getting points for purchases) and then use the gift cards like cash at the stations.
I finally have a "kitty". This is the money I recycle for my bank shops. I have another kitty that hopefully, one day this year will pay for video equipment.
Reimbursement shops, I look at differently. There was a c-store I shopped heavily every month. It took me forever to wrap around my brain that it was in my best interest to max the reimbursement, even if I had to spend a little more. Example, I finally had to buy window washer fluid for my car today. My family and I've been fully stocked for almost two years. I'm never running out of beans or rice. I always had milk, orange juice, eggs and tortillas while shopping that c-store.
We also had plenty of bottled water my first year as a shopper and used the codes for Coke rewards.
Was it expensive? Yes! Did I plan for it well..NOPE!
I've learned to be very picky about reimbursement shops.
Reimbursement shops, I look at differently. There was a c-store I shopped heavily every month. It took me forever to wrap around my brain that it was in my best interest to max the reimbursement, even if I had to spend a little more. Example, I finally had to buy window washer fluid for my car today. My family and I've been fully stocked for almost two years. I'm never running out of beans or rice. I always had milk, orange juice, eggs and tortillas while shopping that c-store.
We also had plenty of bottled water my first year as a shopper and used the codes for Coke rewards.
Was it expensive? Yes! Did I plan for it well..NOPE!
I've learned to be very picky about reimbursement shops.
Live your life in such a way that when your feet hit the floor in the morning; the devil shudders...And yells OH #%*+! SHE'S AWAKE!
Sorry, only registered users may post in this forum.