Eufora prepaid credit card may be a wise option
By Ben Woolsey
For many people with no credit history, or for those with bad credit, getting loans, renting apartments or even shopping online might prove impossible. Qualifying for a standard credit card can also seem impossible for those with less than perfect credit. Fortunately, the Eufora Prepaid MasterCard Credit Builder program allows people to establish (or repair) credit while enjoying the benefits of a MasterCard, all at zero risk to the account owner.
The Eufora card, introduced in October 2001, has several programs designed to suit individuals with varying credit histories. For people with good credit, Eufora offers a MasterCard credit card through Infibank N.A. Account owners can take advantage of a low introductory rate of 1.9 percent, with a 9.9 percent rate thereafter. More relevant to those with no credit history or for those who want to repair their bad credit is the Eufora Prepaid MasterCard with Credit Builder, offered by Bankfirst. The Eufora prepaid card charges no interest and works much like a debit card, allowing the customer to deposit money into their account, which can then be used any place MasterCard is accepted.
How it Works...
People who apply for the Eufora Prepaid MasterCard can expect to pay an annual membership fee of about $59.95, as well as a small monthly service charge for the first year. Bankfirst also requires an advanced deposit equal to the amount of the annual fee, which will be applied to the second year’s annual fee requirement if the account remains in good standing. Account owners are obligated to a 2-year membership and will not be refunded the second year’s fees if the contract is terminated early.
For this initial outlay, the customer will receive a Eufora Prepaid MasterCard, which is usable anywhere MasterCard is accepted (over 600,000 merchants worldwide). Credit cards and a good credit history are almost indispensable in the era of online shopping and travel sites, as well as for traditional loans and rental agreements.
The consumer may use the Eufora card like a credit card, but rather than accumulating debt which is compounded by interest rates, the purchases are debited from the balance of the account. Card users may deposit or withdraw money from their card, and are charged small service fees each time this occurs. Customers must make sure to maintain a $5 balance, and can store as much as $2,500 on the card at one time.
What makes the Eufora card unique among prepaid cards is that it’s the only prepaid card which can improve the customer’s credit rating. Each month, Bankfirst reports consumers’ pay histories to TransUnion, one of the largest credit reporting agencies in the nation. Eufora card users who make prompt payments will, over time, improve their credit. Eufora is the only card which reports to these agencies, making it an attractive offer to anyone hoping to rebuild bad credit, or to establish credit for the first time.
The Eufora card also claims to have lower overall fees and service charges than other prepaid cards or “bad credit” credit cards. The monthly service charge of $6.65 disappears after the first year, making continued use of the card even more affordable. Also, since the card works similarly to a debit card, users won’t be subjected to the sky-high interest rates usually imposed on consumers with ailing credit, and won’t get further into debt.
Additional benefits include a cash reward program, identity theft insurance, and auto rental insurance, depending on the level of membership. Eufora also offers a monthly auto sweepstakes, in which card users can gain entries to the drawing by reaching certain spending amounts each month. The monthly car sweepstakes winner is offered his or her choice of one of thirty different car models, from manufacturers like BMW, Dodge, Mitsubishi and Volkswagen.
Is the Eufora Card for You?
Before making any decision that could impact your credit, consult with a financial adviser or accountant. However, if you are looking for a way to establish credit - or to repair past credit mistakes – but don’t want to pay high interest rates or accumulate further debt, check out the Eufora prepaid MasterCard. Its credit card usability, coupled with its credit reporting feature, makes the Eufora card an attractive option to many consumers.
Published: July 17, 2005
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