Eufora Credit Card Review

Innovative Programs Indicate Innovative Card

Eufora Card Can Earn the Holder Cash, Chance to Win a Car

By Rebecca Lindsey, CardRatings.com Staff Writer

It could very well be one of the most innovative credit cards going right now. It certainly has some of the most interesting concepts behind it. The Eufora Card is a relatively new credit card introduced in October of 2001. Named a 2003 Top Rated Card by CardRatings.com (and one of our featured cards), the Eufora Card not only maintains three levels of membership and low APR rates, it offers its holders not one, not two, but three stand-out programs that make this card one to talk about: a Credit Builder Program, an Affiliate Program that provides members with extra income, and a monthly Car Sweepstakes.

The Eufora Card offers a 1.9% introductory rate for five billing cycles, and then moves to a 9.9% APR. There are three levels of membership, Associate, Preferred and Elite, each with a different yearly fee. Potential cardholders who because of poor credit fail to qualify for one of these levels of membership may qualify for a Eufora pre-paid card that will help build or rebuild their credit.

Building Credit Step by Step

Available with the Eufora Preferred and Elite Membership pre-paid cards, the Eufora Credit Builder program requires a two-year Eufora membership commitment. Cardholders load funds onto their account and then use the card like a regular credit card anywhere MasterCard is accepted. The cardholder’s monthly payment history is reported to Trans Union – one of the country’s largest credit reporting agencies.

Members can load funds onto the card several different ways including online, direct deposit, by mail, or wire transfer. Members can transact a value load as often as they wish, and can carry a maximum balance of $2,500. With no chance of being late on a payment, this is a sure-fire way to help build a positive credit history.

A Company That Pays the Cardholder?

No matter which card a Eufora member carries, they are eligible for Eufora’s Affiliate Program which allows them to earn cash by referring other individuals to the Eufora Card. Cardholders earn up to $900 for every 10 referrals they generate who then become Eufora Card members. And as long as both the referring cardholder and the referrals maintain membership and good standing, money is earned each year. Not a bad way to earn a little pocket change, or if you’re more ambitious, a small second income. Check the Eufora website for a more detailed review of potential earnings.

Members who choose to participate in the Affiliate Program receive a basic start-up kit which includes brochures, applications and marketing cards printed with the members’ unique referral code, making it easy for the cardholder to get credit for new member referrals. Eufora also offers free web banners for placement on websites to help direct referrals online. “Websites are currently the strongest source channel of member referrals,” states Tommy Constantine, CEO of Eufora, “but as membership grows, the person-to-person aspect is also growing significantly.”

A Driving Force

If the extra cash incentive and credit builder program aren’t enough to entice a potential member, how about the chance to win a new car every month? For every $100 a member places on their card, they earn one entry into the monthly sweepstakes giveaway for a new car. The choice of cars is quite impressive—winners choose between 30 cars valued around the mid and upper $20,000’s. The monthly car giveaway began in August 2003, and vehicles won by Eufora cardholders include a BMW, a Toyota 4Runner, and a GMC Sierra 1500 Extended Cab 4 X 4. Other vehicles sweepstakes winners can choose from include: Nissan 350Z, a Lexus IS300, Mazda RX8, and Dodge Caravan EX to name just a few. For a complete list of vehicles, visit the Eufora site.

So What Is the Catch?

The Eufora incentive program is so unique, it could easily sound like one of those too good to be true programs. How can Eufora afford to actually pay its members? By not sending out direct mail inquiries regarding the Eufora Card to already overcrowded mailboxes. Instead, Eufora Card membership is powered by card members’ referrals and word of mouth. And it seems to be working.

Consumer reaction to the incentive program seems to be quite favorable. As promised, cardholders are getting paid for their referrals. The only negative consumer feedback seems to have been during the early stages of the program and centers around the monthly car sweepstakes. While the Eufora program launched in October 2002, Eufora did not begin giving away cars until August 2003. Initially, some cardholders did not realize that Eufora would not begin the car sweepstakes until Eufora had a membership base of 100,000 cardholders. It should be noted, however, that this caveat was disclosed in the terms and conditions of the program. Despite the initial delay, Eufora has given away six vehicles since August (one car every month). You can listen to audio clips that contain the spellbound reactions of the six lucky winners on Eufora’s website.

Whether referring to building credit, earning extra cash or winning a new car, cardholders are the potential winners here. In a world of same-old credit cards with same-old reward systems and points to earn, the Eufora Card truly stands out as an original.

Rebecca Lindsey is a Senior Staff Writer for CardRatings.com. She began writing articles about consumer credit issues for CardRatings.com in September 2000.

Posted Feb. 2, 2004

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