Is MCA a Pyramid Scheme? What You Should Know

There is a lot of controversy surrounding MCA (Motor Club of America) because of their “shady” business practices. I have been getting a lot of questions about them lately, on of the more popular being is MCA a pyramid scheme or not.

I’ve known about this company for a while and seen all sorts of big-time online marketers promoting their memberships but now I’m finally getting around to writing this review. In this short review I’ll be going into detail on how this mlm business works and whether or not its a pyramid scheme. If you were thinking about buying into this business you are going to want to read this first, there are definitely some things you should know.

Disclosure: I am in no way affiliated with MCA. I’m just a 3rd party looking into this business and am trying to review it in as unbiased of a way as possible.

MCA reviewMotor Club of America Review

  • Company: Motor Club of America
  • Price: $9.95/mo for basic service package; $19.95/mo for total service package & access to the affiliate program
  • Recommended?: For some, more on this

The reason I am deciding to review MCA in the first place and take a look into the legitimacy of this business is because MCA promotions are running rampant all over the internet. Some more recent MCA promotional websites I have come across are Daily Income Method and Easy Profit Wizard.

Most people are promoting it as a way to make money online instead of for the actual service that they provide. This is because you can make money through their affiliate program. The fact that so many people are promoting it this way definitely raises my suspicions and its good that you are looking into this business before jumping in.

Overview of MCA

You probably already know most of this but I’m going to give a brief overview of the company for those who don’t.

MCA, or Motor Club of America, was founded in 1926 and started out as a roadside assistance service. Roadside assistance is still their core service today but they have expanded into providing other services as well, such as health coverage and identity protection.

Much of their business comes from affiliates as you probably are aware of. The business model they operate under is mlm, which basically means that members can recruit other people into the program and get paid for it, and they can get paid for their recruits recruiting more people, and so on.

How MCA Could Be a Pyramid Scheme

The difference between a mlm and a pyramid scheme is their focus on recruitment. A legitimate mlm will focus on product sales to the general public to an adequate degree whereas a product-based pyramid scheme will be overwhelmingly focused on recruitment for revenue.

So the question here is whether or not MCA focuses too much on recruitment.. do they somewhat “force” members to recruit? Do they put enough emphasis on selling products to the general public?

These questions can be answered by looking at the compensation plan for MCA, which is what I will go over now…

The Compensation Plan

You can get paid in 2 ways, making sales directly and earning commissions from the sales that your recruits make, and their recruits make, and so on.

Direct Sales

For all the sales you make directly you will get paid $80 when you start out. When you become a member you will be able to set up your own referral website and this is how you will refer people to buy a membership.

However, when you make more than 5 sales in a week you will get bumped up to making $82/membership sale. This will reset every week. You will also get $84/referral if you make 10 sales, $86/referral if you make 15 sales, $88/referral if you make 20 sales, and $90/referral if you make 30 sales.

So each week you start out making $80/referral and can make as much as $90/referral if you make a lot of sales.

And where the mlm structure comes into play is with the commission overrides.

Commission Overrides

Override commissions are the commissions that you make from the sales that your referrals make, and their referrals…. and so on.

You can earn commissions up to 4 generations deep. Your personal recruits are your 1st generation, their recruits are your 2nd generation, etc. The amount you make per generation is as follows…

  • 1st Gen – $80 – $90/sale
  • 2nd Gen – $6/sale
  • 3rd Gen – $1.32/sale + $0.66/mo that they are a member
  • 4th Gen – $1.32/sale + $0.66/mo that they are a member

The compensation plan is pretty simple here. You make money from personally referring people in and you make money from the people that those below you refer in up to 4 generations deep. But if you need some clarification here is a short video that summarizes the comp plan.

This video is for educational purposes and I do not own it.

So Is This a Pyramid Scheme?

This is actually a really difficult question to answer.

The truth is that MCA does provide good products and they do put effort into these products. They aren’t just a cover-up to get people to buy into it and to cloak it as a legit company. They really are a legit company with legit products.

The problem is the compensation plan. It gives affiliates too much incentive to recruit new members just for the sake of making money. And their affiliates are well known for misrepresenting the business opportunity. Many affiliates, as I’ve mentioned, promote MCA by telling people of the money they can make by promoting it to others.

But all in all I still can’t consider this a pyramid scheme. The fact of the matter is that the products are good and even those that buy into it for making money alone will still probably end up using MCA’s roadside services at some point in time.

Thinking About Joining?? You Might Want To Reconsider

Although MCA is a legit company and all you might want to thing again about joining…. well if you are going to join for the making money part of it that is. If you are going to join for the roadside services and the actual products go for it.

If you are thinking about joining to make money promoting MCA you probably should let this dream go. The reality is that VERY FEW people actually make good money doing this. Affiliates that promote MCA often hype it up beyond belief and trick people to buying in all in order to make more money. The deceptive tactics that I have seen many affiliates using where they mislead you with earnings claims is actually illegal according to the FTC.

The average affiliate only recruits 2 people into their downline. And this obviously isn’t anything even close to being able to make good money.

In order to make good money promoting MCA, or any mlm for that matter, you need to be a recruitment machine. Businesses like this usually have high turnover rates because many people join in for the money making opportunity but then quit when they find out the reality of how hard it really is. So to make up for this turnover rate you are going to need to recruit non-stop.

The misrepresentation of the business opportunity by affiliates is the main reason why the Motor Club of America complaints are so rampant. Its almost always because of misrepresentation from affiliates that are just looking for quick cash.

Final Thoughts & What I Recommend

If you are looking to get some decent roadside services then go for it, sign up with MCA, but if you were looking into this for the money I would recommend against that. I don’t consider MCA a pyramid scheme but this doesn’t mean its a good opportunity. Its just too difficult for the average person to make money promoting MCA to others.

The only people that make good money are big-time online marketers that have been around for a while, have massive email lists, have big websites in place, or have some other way to drive loads of traffic to their MCA promotions.

So of that reason, I won’t be recommending MCA as a business opportunity. It just doesn’t work out for the overwhelming majority of people.

One thing that I can recommend for those of you looking to make money online is to take a look at how I make money online.

I make a living working for myself online, which I think is a pretty awesome job. You can learn more about it by clicking the link below that will take you to a post I wrote.

In the post I wrote I explain what it is that I do, how it all works, and how others can do the same.

–> Click Here To Read It

Comments, questions, concerns??? Leave them below in the comment section and I’ll get back to you soon ?

About the author


My name is Kyle and I am the owner of Earn Beast. I created this website to explore the various ways of earning and mainly focus on teaching others how they can make money online. To learn how I make a full-time income online, Click Here

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