When you make a purchase that qualifies for a reward, there are a few things that happen before your reward arrives in your Bumped account. Here’s a rundown of the usual process:
- We detect the purchase and identify that it should receive a reward. When this happens, you should receive a push notification (if you have notifications turned on) and your reward will show as “Identified” in the app.
- After rewardable purchases are identified, we calculate how much your reward will be. It’s at this point that we know the amount of an investment you’ll get in fractional shares. At this stage, your reward will show as “Purchased” in the app.
- After a few business days, the purchased rewards settle, which means the stock, ETF, or other security is in your account! Your reward status will show as “settled.”
A really important thing to know about prices and values
It’s possible (and probable) that the price of a stock, ETF, or other security will change while the purchase is settling, which can change the value of your fractional share.
For example, let’s say you make a purchase that would give you a reward of $1 worth of Totally Made Up Company stock. When we buy the stock for your reward, that $1 equals 0.15 shares.
Then, during the settlement period after we purchase the stock, the price of Totally Made Up Company stock goes up 2%. You’re still going to get 0.15 shares, but they’re now worth $1.02 instead. If the price were to go down 2%, you’d still get 0.15 shares, but they’d be worth $0.98.
The actual value you see in your account may change, but the amount of a security you receive won’t.