The old saying "When it seems too good, it probably is", couldn't be more accurate here if it tried.
EverUp was an online bank account, that instead of offering interest rates on the money saved, instead gave it's users the potential of winning cash prizes. They tweaked over time what services they bolted on, which ultimately led them to a bizarre scenario where they are now just a casino.
A rocky path away from their aim of helping people save money.
I was introduced to EverUp through Instagram from someone I followed called Belonging free. I know I know, gettng financial advice and changing your plan from someone you met online is never a solid start, but hear me out. Plus, Belonging Free has been a solid source of knowledge and support during my finance journey, so I have nothing but good things to say about her. Interestingly someone else, DebtCamel, offered warning on this platform. Arguing that you shouldn't associate games and gambling type activities to savings and emergency funds, I could see her point but I was still interested to know more and also trusted my self control.
EverUp had a model similar to NS&I Premium Bonds. They offered cash saving accounts but didn't give any interest on the amount instead there would be a host of different competitions and games where you could either win cash or tokens.
The tokens you win could be used to play more games where you could win more tokens, or even cash. I will come onto the different games shortly.
At the start the main difference I could see between EverUp and Premium Bonds was the fact EverUp was not protected by the FCSC, which covers an individual up to £85k should the platform they are invested in collapse. This was a worry for me. Not because I had planned to invest or save a lot into Ever Up, but because I would be moving it from a place that did, and I don't have a lot of money to risk, where the benefit was so small or unknown.
Another factor adding to this caution on this was that this was my emergency fund money, so should they collapse and I lose my money, I would then be without that buffer I currently have.
EverUp are regulated by the Financial Conduct Authority, which from I can see doesn't give me any money back should they fall, but they had to provide evidence they have the resources to protect and hold your cash.
The other difference, which drew me to them if I am honest, is the frequency of the draws. The odds of winning and prizes were fairly similar to Premium Bonds, but they occured more frequently and in the case of the lottery draw, was not linked to the amount of cash you had. So it was like playing the lottery for free every week.
EverUp have a number of free games daily, and a few games you pay to play with tokens. I never really played the ones you needed to use your tokens for, other than the weekly millionaire lottery game. On this game you would win a £1million pot annuity over 40 years - which is ace. Set for life!
When I started they had the option of getting a debit card with them. This cost £5 per month and gave you access to more games, which was the only real advantage I could see. Applications for this were never open, and after about a month of me being on the platform they withdrew this.
At roughly the same time they introduced the option of using your tokens to pay for giftcards with high street brands.
Now the model seems to be, buy a giftcard and get tokens to play with, so ultimately a complete switch from encouraging saving, to encouraging spending!
I enjoyed what EverUp had to offer for about 3 months. I then received an email at the end of November explaining that their cash accounts were being disbanded in January, and they would purely be offering a gift card for tokens scheme.
Straight away after reading the email I withdrew my savings, which was roughly £400 along with my winnings of £2.50. In a panic that if I waited I may not get the option in a few days or weeks.
Turned out DebtCamel was correct, and when I made a post on Instagram about this I made sure to highlight this as well!
My experience with EverUp taught me a few things.
If your gut tells you something, try and understand why. Something didn't sit right with this and I never understood as a model how it was working. I was never confident with the lack of protection I was offered and free lottery draws were of course too good to be true
Getting distracted by shiney and flashy lights is not a good use of your time, and instead spending it on something else which would benefit my side hustle goals or career would have been better.
Remember points 1 and 2 in the future!
What you have found when using EverUp?
Have you had a similar experience using another product which offered some good life lessons?