Full Answer
Is petal credit card trustworthy?
Yes, the Petal card is legit. Both Petal 1 Card and Petal 2 Card are legit because they are actual credit cards issued by WebBank. This bank is an FDIC member that is accredited by the Better Business Bureau (with an A+ BBB rating).
What credit score do you need for Petal?
(640+) creditWhat credit score is needed for the Petal 1 Visa credit card? You can get the Petal 1 Visa credit card with fair (640+) credit or limited credit history, which means less than 3 years of financial activity.
Do petal cards build credit?
With the Petal 2 card, younger consumers and qualified applicants can build their credit scores while earning cash back. The card offers a cash-back program that rewards good credit behavior: When you first open the card, you get 1% cash back on eligible purchases right away.
What bank owns Petal credit card?
If you think it might be a reach to qualify for the Petal 2 Card, your best bet is to check out the Petal 1 Card, issued by WebBank, Member FDIC. It, too, has an annual fee of $0, but is designed for those with credit ranging from bad to fair.
Is Petal 1 or petal 2 better?
Winner. The Petal 2 is the clear winner in this category, with no fees whatsoever. The Petal 1 has no annual fee or foreign transaction fee for using your credit card abroad, but you could get dinged with a late payment fee and/or returned payment fee if you don't make your payments on time.
Why was my petal card not approved?
If you're not pre-approved, you won't be able to apply for a Petal card right now. Keep in mind that getting pre-approved doesn't guarantee approval for a Petal card. The only way to know for sure if you will be approved is to submit your application after the pre-approval process. I was pre-approved for a Petal card.
Is it safe to link my bank account to Petal?
You'll have to link your online bank accounts. Keep reading to learn how Petal works and whether it's right for you....Petal Credit Card Pros & Cons.ProsConsNo fees Great for borrowers with no credit history Mobile apps availableRequires linking to bank accounts No rewards program1 more row•Jun 23, 2022
Where is Petal card accepted?
You can use your Petal card anywhere Visa® is accepted—in the U.S. and internationally—for both online and in-person transactions.
How many credit cards are too many?
Owning more than two or three credit cards can become unmanageable for many people. However, your credit needs and financial situation are unique, so there's no hard and fast rule about how many credit cards are too many. The important thing is to make sure that you use your credit cards responsibly.
How many customers does petal have?
Today, there are nearly 300,000 Petal cardholders, which the company refers to as “members.” It has been adding 10,000 to 20,000 new members per month, according to Jason Gross, Petal's co-founder and CEO.
How long does it take for petal card to arrive?
within 6-10 business daysIf you're approved for a Petal card, you should receive your card within 6-10 business days. If it hasn't been 10 days yet, hang tight — it could be in the mail!
How do I pay my petal card?
How can I pay my Petal card bill?Head to the Payments page of your Petal account online, or on the mobile app.If you haven't already, set up a payment account to use to make a payment, or select an account that's already connected as your 'pay from' account.More items...
What credit score do you need for Petal 2?
Compare to Other CardsPetal® 2 "Cash Back, No Fees" Visa® Credit CardCiti® Double Cash Card – 18 month BT offerDiscover it® Cash BackRecommended Credit Score 630850average - excellentRecommended Credit Score 690850good - excellentRecommended Credit Score 690850good - excellent5 more rows
How do you get accepted to Petals?
To get approved for a Petal card, you are required to have a valid email address, a U.S. telephone number, and a Social Security number or Individual Taxpayer Identification Number. Applicants must also be at least 18 years old and a permanent resident of the United States or a U.S. military location.
What is the credit limit on Petal 1 card?
$300 to $5,000Credit limit: $300 to $5,000, depending on creditworthiness. Foreign transaction fee: None. Other perks: Payments reported to three major credit bureaus: TransUnion, Equifax and Experian.
What is a petal 1 credit card?
The Petal® 1 "No Annual Fee" Visa® Credit Card is for those who don't have a strong enough cash flow or credit history to qualify for the Petal® 2 "Cash Back, No Fees" Visa® Credit Card . The $0 -annual-fee Petal® 1 "No Annual Fee" Visa® Credit Card charges certain penalty fees — including late fees and returned payment fees — but those can be easily avoided with responsible credit card use. The Petal® 2 "Cash Back, No Fees" Visa® Credit Card skips fees altogether and offers more rewards.
What credit bureaus report Petal 2?
Payments made on the Petal® 2 "Cash Back, No Fees" Visa® Credit Card are reported to the three major credit bureaus: TransUnion, Equifax and Experian.
What is a Petal 2 Visa?
The Petal® 2 "Cash Back, No Fees" Visa® Credit Card is a great choice for credit beginners. The card offers simplicity and transparency: no security deposit requirement, no fees, travel-friendly features and possibly a higher credit limit than you’ll get elsewhere. Plus, you’ll get rewards as an incentive to pay your bill on time.
How is NerdWallet rating determined?
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account the type of card being reviewed (such as cash back, travel or balance transfer) and the card's rates, fees, rewards and other features.
Does Petal offer a cash back?
The Petal® 2 "Cash Back, No Fees" Visa® Credit Card may offer credit limit increases if you qualify for them, but Petal does not currently accept cardholder requests for higher limits. You may qualify for an increase in the future by keeping your bank accounts linked and managing the Petal® 2 "Cash Back, No Fees" Visa® Credit Card responsibly, according to Petal’s website.
Is Petal 2 a legitimate credit card?
The Petal® 2 "Cash Back, No Fees" Visa® Credit Card is a legitimate credit card. It’s offered by the personal-finance startup Petal in partnership with WebBank, an FDIC-insured, state-chartered industrial bank based in Utah. It doesn’t have the same requirements as a traditional credit card, though. The issuer can look beyond traditional FICO scores to determine creditworthiness using an algorithm that takes into account things like income, savings and spending. This card accepts applications from anywhere in the United States.
Is Petal 2 a cash back card?
The Petal® 2 "Cash Back, No Fees" Visa® Credit Card is not for those whose credit has been damaged. It’s ideal for those with good credit or credit newcomers strong cash flow (income, savings and on-time payment history) that can be measured with banking data.
What is a Petal 2 Visa card?
The Petal 2 Visa card is a fine first credit card for recent college graduates, young adults, and anyone else who hasn’t yet fully established a positive credit history—but does not have a damaged record, which could potentially interfere with approval for the card.
What is the best visa card for a beginner with no credit?
The Petal 2 Visa card is an excellent starter card for those who have no credit history. Unlike many cards for those with limited credit, it requires no security deposit, and also has no fees of any kind, including no annual fee. You can qualify for a credit limit between $500 and $10,000.
How much cash back can you get on a Petal 2 Visa?
The rate you earn evolves; when you first start, you earn 1% cash back on every purchase. Once you make six on-time monthly payments, your rewards rate increases to 1.25%. After making 12 on-time payments, you begin to earn 1.5%. There’s no limit to how much you can earn in cash back rewards, and your rewards will never expire as long as your account remains in good standing.
How many features are there in credit card rating?
To rate credit cards we objectively assess, score and weight nearly 100 individual card features which roll up into five major feature sets: fees, interest, rewards, benefits and security/customer service. Here’s how we weighted those feature sets for the overall star rating of a card:
What is the credit limit for a starter card?
High Credit Limits for a Starter Card: Even if they’re unsecured by a security deposit, most credit cards designed for people with little to no credit have very low credit limits, typically $300 to $1,000. If you’re approved for the Petal 2 Visa, by contrast, you’ll receive a credit limit of between $500 and $10,000.
What is valuable reward?
Valuable Rewards Credit card reward programs can be based on cash back, points or travel rewards (which can be generic or travel partner-specific, as with airline and hotel co-brand card programs). For cards that offer rewards we determine the value per dollar spent along with average redemption values and assign more favorable ratings to cards that offer superior consumer value. We also assign value to sign-up bonus offers and their initial spending requirements, when present.
When did the Petal 2 Visa card come out?
Unlike national card issuers like Chase or Discover, Petal is more recent to the credit card market, with its Petal 2 Visa card launched in Oct. 2018. However, Petal has an extensive FAQ and help center on its website to help you find answers to your questions about managing your account and credit cards in general.
Is the Petal 2 worth it?
If you’re a responsible spender with a limited credit history, there’s not much downside to the Petal 2. Given that most credit building cards offer little to no rewards, require deposits and fees or have low credit limits, the Petal 2 is an attractive option. As long as you commit to paying your balance in full by the due date each month, this card could be a great first step on the path to building your credit.
What is the petal app?
As part of its effort to help people build their credit history, Petal offers cardholders some powerful money-management tools in its app. The sleekly designed Petal app shows your account balance, spending, payment due date and exactly how much it will cost you in dollars to carry a balance. Having this information available at a glance could be very useful for someone who’s new to credit cards or hoping to build good financial habits.
What is the APR of Petal 2?
The unique perks on the Petal 2 come with a price, namely an APR of 12.99% to 26.99% (variable).
How much credit can you have on a Petal 2?
Credit limit up to $10,000. The Petal 2 has a much higher upper credit limit than most starter cards. Since the approval process can take into account your income and spending along with your credit score, you could qualify for a higher limit than you would with most credit building cards, without putting down a deposit.
What does "See my approval odds" mean?
When you click “See my approval odds” we’ll run a soft credit check to determine if you have Excellent, Good, Low, or Poor odds of being approved for cards on our site. Approval Odds serves as a guide to help you find the right credit card and will never affect your credit score.
How old do you have to be to get a petal 2?
You must have a permanent residence in the U.S., Social Security Number or Individual Taxpayer Identification Number (ITIN) and be at least 18 years old (19 or older if you reside in Alabama or Nebraska) to be approved for the Petal 2.
Why is a higher credit limit good?
A higher credit limit offers flexibility and could also help to keep your credit utilization ratio low, which could further improve your financial reputation.
Is The Card For You?
If you’re trying to dig out of a bad credit hole and you’re dead-set against paying an annual fee, the Petal 1 Visa card could be a reasonable option. But in exchange for an annual fee and/or a security deposit you might qualify for a card that earns consistent rewards and may even let you graduate to an unsecured version. This could pay off better in the long run.
What is the benefit of the Petal 1 card?
The Petal 1 card comes with some basic Visa benefits: Uber Credit Via Visa Offers: Register your Visa through your Uber account and automatically earn Uber credits when you use your card to purchase Visa Offers.
What merchants are participating in the Petal 1 Visa program?
Some of the national merchants that have participated in the program include Athleta, Casper, Lowe’s and Rover.com.
How to redeem a petal card?
Petal 1 card rewards can be redeemed in any amount at any time as a statement credit by logging into your card account and selecting “Perks” and then “Redeem.” You can also redeem by calling Petal and requesting a paper check be mailed to you or to receive a deposit to a qualifying checking account starting at a minimum of $20 in earnings.
How much cash back does Petal offer?
Rewards may be earned via Petal’s Cash Offers. The earnings rate is between 2%-10% cash back at select merchants. Merchant offers are automatically loaded to your Petal account. When you make a purchase with a merchant that meets the requirements listed in the offer terms, you’ll earn cash back based on their offer; these funds will be added to your cash back wallet in the following billing cycle.
Which is better, the Petal 2 or the FDIC?
If your credit skews more towards fair than not great, the Petal® 2 “Cash Back, No Fees” Visa® Credit Card (issued by WebBank, Member FDIC), issued by WebBank, Member FDIC, is likely a better choice between the two. The Petal 2 earns rewards on all eligible purchases, starting at 1% cash back on eligible purchases right away and up to 1.5% cash back on eligible purchases after making 12 on-time monthly payments. Plus, earn 2% - 10% cash back at select merchants. That’s a solid rewards rate for a card aimed at those with just fair credit.
How long does it take to get a credit increase?
Earn a credit limit increase in as little as 6 months. Terms and conditions apply.
What credit score is needed for the Petal 1 Visa credit card?
You can get the Petal 1 Visa credit card with fair (640+) credit or limited credit history, which means less than 3 years of financial activity.
Does the Petal One Credit Card do a hard inquiry?
Yes, the Petal 1 Card does run a hard inqurity when you apply for it. This might have a short-term negative effect on your credit score. This might have a short-term negative effect on your credit score.
How can I add a Petal 1 Credit Card authorized user?
Unfortunately, you cannot add a Petal 1 Card authorized user to your account. If you're looking for a card you can add your spouse to , check out our list of best credit cards for couples.
How do I get a Petal One Credit Card credit limit increase?
You may get a Petal 1 Card credit limit increase in time, by using your card responsibly and always paying your bills in full by their due date. You cannot, however, request a credit limit increase.
How long does it take to get the Petal One Credit Card?
After approval, it takes about 6-10 business days to get the Petal 1 Card in the mail. If it's been more than that and you still haven't received your card, call (855) 697-3825 to find out more about it.
How much is the Petal 1 Credit Card minimum payment?
The Petal 1 Card minimum payment is $25 or 2% of the statement balance, whichever is higher. If the statement balance is less than $25, the Petal 1 Card minimum payment will be equal to the balance. In addition, you will have to pay interest charges, any past due amounts and late fees.
Can I use my Petal 1 Credit Card instantly after approval?
No, you cannot use your Petal 1 Card instantly after approval. You'll have to wait for the physical card to arrive in the mail to activate it first. Only after activation will you be able to use it for purchases.
Does the Petal Visa Card Have Additional Benefits?
There are many unforeseen situations in life that can cost people a lot of money. Luckily, Petal has you covered for a few of those.
How much cash back does Petal give?
For the first few months, you get 1% cash back on every purchase from the card. This increases to 1.25% once you make six consecutive on-time monthly payments. After a year of timely payments, the cash back hikes up to 1.5% of each purchase. With no fee and consistent cash back, Petal makes for a no-brainer credit card choice. Even though there are some cards that beat this cash back %, Petal’s cash back bonus gets good marks from Reddit users considering it’s a beginner option:
What is the best credit card for a beginner?
According to Reddit and Petal’s site, the Petal Visa card is one of the best, most reliable credit cards for beginners with little to no credit history. Its credit limit options vary from $500 to $10,000 with no annual or hidden fee. Despite the relatively low credit score barrier to qualify for the Petal Visa card, you wouldn’t have to put down a hefty security deposit to secure it. The card comes with auto-rental insurance and an excellent 1.5% cash back incentive on your combined purchases.
How to maximize your petal credit?
Reddit users say that the best way to maximize your Petal Visa credits is — you guessed it — to make purchases with it. Want to put your savings into overdrive? Every week, check Petal’s “new offers” in their app to find partner merchants who are offering up to 10% back!
What is the APR on a petal card?
The APR, or Annual Percentage Rate, is the yearly interest rate you pay on outstanding balances. Reddit users point out that the APR on Petal’s Visa Credit Card ranges from 12.99% to 29.49% (variable).
What is the cash back rate on a petal card?
Petal’s 1.5% cash back is very strong for a beginner credit card. This cash back rate matches the CapitalOne Quicksilver 1.5% offer.
Is Reddit a good site?
Reddit can be a tough site to use if you haven’t seen it before. The website is broken up into lots of sub-boards called “Subreddits”, which cover topics ranging from personal finance, to memes, to travel, and more. There’s no shortage of credit card-related Subreddits on the site where users talk about the best credit cards for beginners, “churning” cards, credit card benefits, and more. Indeed, there are hundreds, if not thousands of new posts every day covering credit cards and even Petal more specifically.
Is the Petal® 1 "No Annual Fee" Visa® Credit Card right for you?
The Petal® 1 "No Annual Fee" Visa® Credit Card is a solid choice to begin or continue building credit. You’ll face fewer potential fees than you would with an unsecured credit card for spotty credit, and no fees at all if you pay your bill on time. Plus, you’ll get rewards when you use the card to shop with eligible merchants.
What is a petal credit card?
The $0-annual-fee Petal® 1 "No Annual Fee" Visa® Credit Card is one of two cards in Petal's portfolio — both issued by WebBank — that can facilitate a path to credit for newbies without having to rely solely on traditional FICO scores to determine creditworthiness.
What is the cash back on a Petal card?
If you can qualify for it, the Petal® 2 "Cash Back, No Fees" Visa® Credit Card offers up to 1.5% in cash back on all purchases — not just rewards with select merchants (terms apply). But this option requires you to have a stronger cash flow or credit history. If you can’t meet that requirement, the $0-annual-fee Discover it® Secured Credit Card can offer 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter. All other purchases earn 1%. Unlike either Petal card, it also offers a chance to earn a sign-up bonus. But — also unlike the Petal cards — you’ll have to pay a security deposit of at least $200.
What is the annual fee for Petal 1?
As noted above, it has no foreign transaction fees, which typically range from 1% to 3% per transaction for other credit cards. And as part of the Visa network, it also has broad international acceptance.
How is NerdWallet rating determined?
NerdWallet's ratings are determined by our editorial team. The scoring formula takes into account the type of card being reviewed (such as cash back, travel or balance transfer) and the card's rates, fees, rewards and other features.
What are the benefits of Petal?
Visa partnership benefits that include theft coverage and roadside dispatch. Petal also supports Visa Local Offers, a way to earn Uber credits.
How long does it take to get a credit increase?
Earn a credit limit increase in as little as 6 months. Terms and conditions apply.
Where to Apply?
At the moment, applicants for a Petal credit card are put on a waiting list. Visit their website to apply for an invitation.
How much does petal credit limit?
In contrast, not only does Petal credit waive all fees including overlimit charges, but it also offers applicants with a significantly higher credit limit that can range from $500 to a whopping $10,000.
Why does Petal give credit cards?
Petal grants credit cards to applicants based on other factors such as income and saving and spending patterns in order to analyze the candidate’s risk profile and repayment ability. Hence, this has granted Petal access to a much wider pool of candidates than more traditional credit card providers.
What is a petal?
New York based fintech startup, Petal, is looking to revolutionize the credit card industry by very simply granting credit cards to applicants who have little-to-no credit history. To many in the banking and finance this may sound like a recipe for disaster, however the fact that Petal has managed to raise $13 million in funding could mean that the startup is onto something.
What is the credit score of an applicant?
An applicant’s credit score is dependent on factors such as payment history, debt burden and length of credit history. This information is then used to calculate the applicants credit score which will then be used by the lender to determine if said applicant qualifies for a credit card.
How much does a credit card charge?
Credit card fees or annual fees are one of the most common credit card fees. They range from $25 to $500 and are totally unavoidable. In many cases, your credit card provider is banking on the fact that you will be unaware of this hence resulting in you incurring a needless additional expense every year.
What is a higher credit limit?
Higher Credit Limits. Credit limit refers to the maximum amount of credit that a financial institution has extended to a client. In many situations, exceeding one’s credit limit will incur penalties such as overlimit or overdraft charges.
How much credit do you need for a Petal 2 card?
If this is not your case, you will need at least fair (640+) credit to get this card.
What are the criteria for Petal 2?
Some other key criteria include your income, existing debt load, number of open accounts, recent credit inquiries, employment status and housing status.
What is a Visa card?
Visa is one of the four major card networks, along with Mastercard, American Express and Discover. The fact that it’s a Visa card means you can use the Petal 2 Card anywhere that accepts plastic.
How old do you have to be to get a Petal 2 card?
The card’s main requirements are that an applicant must be at least 18 years old and a legal U.S. resident with a Social Security number or Individual Taxpayer Identification Number and enough income or assets to afford monthly bill payments, in light of existing financial obligations.
What is the first step in the application process for a petal card?
Petal cards are available to legal U.S. residents of the 50 states with a valid SSN or ITIN. The first step of the application process is the pre-approval. During this step, only a soft pull is performed, which won't affect your credit score. If you're pre-approved, you'll be invited to submit your full application.
What does it mean to get pre-approved for a Petal 2 card?
Getting pre-approved for a Petal 2 Card indicates that your chances of being approved for an account are very high, should you decide to apply. It does not mean that approval is guaranteed.
Where is WebBank located?
WebBank is a relatively small credit card issuer based in Salt Lake City, Utah. In addition to the Petal 2 Card, WebBank issues the Petal® 1 Visa® Credit Card, the Fingerhut Credit Account and other co-branded credit card accounts.
