Is RxCut A Scam? All Your Questions Answered!

Is RxCut A Scam?

rxcut scam


Product Name: RxCut

Price: $12.95/month

Rating: 7.2 out of 10

Verdict: Overall, RxCut is an MLM company that gives you access to prescription discounts for a monthly fee. Not all pharmacies accept these types of discount cards but if yours does, it can be a worthy investment. If you have plans of getting other people into the program, you can also earn extra from it.


Usually, I review products that claim to help their users earn money on the side. Today’s product is a bit different because it’s not exactly a money-maker, but more of a money-saver. The name of the company is RxCut and the sales pitch it uses has something to do with getting huge discounts for your pharmaceutical needs.

In this review, we are going to look into the claims of this company to see if it can indeed save you money. Additionally, behind their money-saving claim, they also have a hidden MLM opportunity inside, which we’re also going to review.

To tell you the truth, I was actually surprised that this was an MLM company. I was under the impression that it’s just a simple company that offers discounts to its cardholders. It’s surprisingly way more complex than that – and that’s what we are about to discuss in this full review. Shall we begin?


What Exactly Is RxCut?

RxCut is an MLM company that presents itself as a prescription drug discount card company. It claims to give its users up to an 80% discount on all of their drug prescriptions. This is a pretty tall claim and if there’s one thing I can say about these claims is they need to have strong proof for it.

rxcut card

This company is registered in the United States which is honestly the perfect place to test it out. Everybody knows that prescription medication in America is expensive, way move expensive than in other countries. In a way, prescription discount cards make a lot of sense for this country.

Now, the next question is whether this program is legit or not, and that’s what we’re about to answer in the coming section.


Who Are The People Behind This Program?

RxCut was co-founded by Gerard Ferro and Eric Shugarts. Not much is known about these two guys but their picture doesn’t appear to be stock photos which are sometimes the case in these MLM companies. That’s a good thing.

The only information that we have about the founders is found on their own website which will definitely have a bias. I pasted their details down below for you to go over.


founder picturesrxcut founders


Do You Really Get Discounts From Using The Card?

Upon further research, it appears like RxCut really can give you discounts on many of your prescription medications. There doesn’t seem to be one explanation for how they work but they do. I’ve read plenty of versions of how these discount card companies work but nothing seems to sound right.

Instead, I will offer a more in-depth explanation in the next section below. One thing you need to remember though is you won’t get the 80% discount all the time. Their wording is “up to 80%” which is technically correct. They can offer you that much discount but those products are very far and few in between.


How Does RxCut Really Work?

I’ve yet to see a satisfactory explanation of how this company works so I decided to search for the answer myself.

Basically, these discount cards are promoted to people without insurance. Yes, insured people can still avail of this card but they won’t see much use for it.

RxCut would then partner with pharmacies all around the country to offer their members special prices. It’s not going to be 80% all the time. It can be anywhere from 20% – 75%.

discount rxcut

The theory is RxCut is actually selling your information to pharmaceutical companies and this helps cover the discount they offer. Another profit-maker is its subscription fee business model. If you actually look at this platform objectively, it actually makes total sense how they could offer a discount.


RxCut Compensation Plan

According to their website, their card is totally FREE. However, upon further research, this doesn’t seem to be true. They appear to be charging a monthly fee for access to their membership fee which tops at $12.95 per month, which is cheap compared to actual health insurance. Of course, nothing beats full health insurance coverage but this seems like a good choice for people without the means.

As for their MLM component, to become a certified ‘recruiter,’ you need to pay a one-time fee of $199. For every successful recruit into the system, you will get paid $79.

Unfortunately, that’s all the information I have about their compensation plan. They don’t really make their compensation plan public since they are poising themselves to primarily be viewed as a discount card company instead of a medical MLM company.


The Final Verdict – Is RxCut A Scam?

Now, to be perfectly clear, not all MLMs are scams. There are plenty of legit MLM companies out there. In fact, you may actually be familiar with some of the best ones like Avon and Usana.

With that being said, the MLM is indeed full of scams. The MLM industry is known for get-rich-quick schemes which makes it a huge hotbed for complex scams. I don’t have an exact number to give you but I can with good authority that a good chunk of MLM companies is outright scams.

Now, back to RxCut. It does not appear to be a scam. However, it does suffer from the most common problems associated with MLM companies, and it has something to do with their recruitment process. If an MLM company leans heavily on its recruitment process, it’s not a good company.

There should be a balance between recruitment and actual selling. For RxCut, they seem to be toeing the line and inching towards being more recruitment-heavy. But at the moment, everything looks to be working just fine.

Overall, RxCut is an MLM company that gives you access to prescription discounts for a monthly fee. Not all pharmacies accept these types of discount cards but if yours does, it can be a worthy investment. If you have plans of getting other people into the program, you can also earn extra from it.


Alternative To MLM Companies

Now, if you are tired of seeing MLM companies left and right, perhaps now is the time to revisit affiliate marketing. It’s probably one of the safest and most stable industry out there. It’s probably as old as the internet itself which means that it is embedded in all facets of the web.

If you want to learn more about this opportunity, feel free to check on my #1 recommendation.



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