The surface mount MELF capacitor of the present invention includes a wire and a conductive powder element electrically connected to the wire. The surface mount MELF capacitor has insulative material surrounding at least a portion of the conductive powder element and the wire extending from the conductive powder element. A first terminal is formed on the surface mount chip capacitor at the first end surface of the wire and a second terminal is formed by being electrically connected to the conductive powder element. The surface mount MELF capacitor of the present invention is created by methods which include the steps of providing a wire and placing conductive powder upon the wire. An embodiment of the present invention feeds the wire in a reel to reel system and electrophoretically deposits the conductive powder element upon the wire.