Petal Visa gets a new branding and a new sibling card – TBEN


Petal, the New York start-up behind the Petal Visa credit card, has refined its original product after more than two years on the market, while also sprouting a whole new flower.

The Petal wallet now includes two cards:

Visa® Petal 1 “no annual fee” credit card

Visa® Petal 2 “Cash Back, No Fee” Credit Card

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Petal 2 credit card
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Both cards aim to facilitate access to credit for those with less than ideal credit histories, and a prequalification process will advise applicants of the best of the two options (if eligible). As before, Petal’s issuing bank – Utah-based WebBank – will still be able to factor in more than traditional FICO scores when assessing applicants’ creditworthiness, thanks to a proprietary underwriting model that can also take into account items such as income, expenses, savings and debts.

But while Petal originally focused on new creditors, these changes allow the company to target a wider audience – those who may have a credit history but want to continue to develop it.

“Consumer new to credit is just a subset of the larger underserved population of the United States,” says co-founder and CEO Jason Gross. “We’ve always known that using cash flow underwriting, or ‘cash scoring’ (as we call it now), has the potential to help a much larger audience.”

What is changing?

The Petal 1 HAS BEGUN

The Petal 1 is a brand new card designed for people who do not have sufficient cash flow or credit history to qualify for the Petal 2. It includes:

  • No annual fee or deposit.

  • Between 2% and 10% cash back when you use the card to make purchases from hundreds of select merchants. (This will include local businesses as well as national retailers like Old Navy and Lowe’s.)

  • A credit limit of up to $ 5,000, depending on your creditworthiness.

  • An ongoing APR between 19.99% and 29.49% variable (exact as of October 2020).

  • No foreign transaction fees.

Unlike Petal’s original product (see below), the Petal 1 will charge late fees and returned payment fees if you incur them. But you won’t have the kind of pesky or sneaky fees that tend to come with other bad credit unsecured credit cards, such as annual fees, activation fees, monthly maintenance fees, etc. .


The original Petal visa is now called the Visa® Petal 2 “Cash Back, No Fee” Credit Card. It is best suited for those with good credit or high cash flow (income, savings and on-time payment history) which can be demonstrated with bank data. The card will retain most of its features: no fees, up to 1.5% cash back on purchases, and a potential credit limit of up to $ 10,000 for those who qualify.

But new and existing cardholders can expect the following changes:

  • A different design to accompany its new name: For new cardholders, the card will no longer be white with a group of colored circles in the center. Instead, it will be a light yellow color with a white stripe running across the bottom of the card.

  • A lower APR: Before the rebranding, the card charged an APR as high as 29.49%. The APR decreases to 12.99% – 26.99% variable (accurate as of October 2020), depending on creditworthiness.

  • Additional cash back: The card continues to offer up to 1.5% cashback once you meet a certain number of monthly payments on time. But on top of that, when you shop at certain merchants, you can earn between 2% and 10% cash back.

Both cards offer access to a number of features of the Petal mobile app to help you manage your account responsibly, including subscription management options, budgeting features, and automated payment tools.

Which card can you expect to get?

Petal’s issuing bank will use this alternative “cash scoring” process, which Gross referred to, in the same way as before to assess income, savings and spending history. You will need to link a bank account to provide this information as part of the application process.

WebBank considers this information and your FICO credit score (if you have one) to determine eligibility for either card. If you are initially approved for the Petal 1, you may be able to upgrade to Visa® Petal 2 “Cash Back, No Fee” Credit Card, according to the company.

At a time when traditional credit card issuers are tightening their lending standards COVID-19 crisis, Gross says Petal’s technology continues to make credit accessible. The business can see when someone returns to work, when they are receiving unemployment income, when they are receiving stimulus payments and other factors as part of their assessment.



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