Rebuild your credit with the Eufora Prepaid MasterCard

By Jeremy Simon

Many people, including those with no credit history or with less than perfect credit or with bad credit due to late payments or outright bankruptcy, do not have as many options when it comes to credit cards. Banks and credit card issuers make their credit decisions based on the perceived risk of applicants. And, if someone does not possess a history of successful and responsible use of credit, issuers generally will not consider them for their best credit card offers.

But now there are new options for students, those without bank accounts or a successful track record of steady, consistent debt repayments. Consider the Eufora Prepaid MasterCard, for instance. This product, unlike the majority of prepaid credit cards, can help build a credit history or repair a damaged credit rating. This is because the Eufora Prepaid MasterCard reports directly to the major credit bureaus. These are the same credit reporting agencies that all major banks and credit card issuers utilize to judge credit applicants creditworthiness. So once a person gets and uses their Eufora MasterCard, they begin building a solid credit rating.

The Eufora MasterCard works differently than a standard credit card in that it is funded by the cardholder rather than the issuing bank. With a regular credit card the bank is actually lending you the money and then allows you to pay it back at the end of the month or extend payments over time. Extending payments, either through only paying the minimum required payment or applying a fixed payment amount that is less than the amount owed, will trigger finance charges with a credit card. But, with a prepaid debit card there are no finance charges. You essentially pay as you go because the debit card carries a stored value equal to the amount that has been preloaded.

Another defining feature of the Eufora MasterCard that makes it ideal for those without a positive credit rating is that it guarantees that all applicants will be approved. Standard credit card products can't make that claim, even when they preapprove applicants. And, after you get the card you canreload it online, either manually or when it falls below preset thresholds that you set. Add to that standard MasterCard features such as zero liability for unauthorized purchases, worldwide acceptance and global customer assistance and you can see that the Eufora MasterCard can be a great value for those needing to build or rebuild credit.

Published: May 22, 2006

	Three most recent Bad credit, credit repair stories: Uncle Sam wants you ... unless your credit stinks – You may be ready to serve your country, but if your finances aren't in good shape, you might get washed out ... How bad are your credit card mistakes? – All mistakes with your credit are bad, but not all are equally bad. Grade yours on this 10-point scale ... Personal finance boot camps fight debt with hard-nosed approach – They're probably never going to force you to scrub the latrine, hike for miles in the driving rain or call you a maggot, but personal finance boot camps promise to use some tough love to help you gain control over your finances and debt once and for all ...

	CreditCards.com's newsletter Did you like this story? Then sign up for CreditCards.com’s weekly e-newsletter for the latest news, advice, articles and tips. It's FREE. Once a week you will receive the top credit card industry news in your inbox. Sign up now!