Petal 2 Visa Credit Card review: Watch your credit bloom without fees

The Petal® 2 “Cash Back, No Fees” Visa® Credit Card * The information for the Petal® 2 “Cash Back, No Fees” Visa® Credit Card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer. (issued by WebBank) can plant the seed for credit newbies since it doesn’t rely solely on your credit score for approval, doesn’t charge an annual fee and doesn’t require a security deposit. Read more in our full Petal 2 Visa card review.

Petal 2 Visa Credit Card basics

• Annual fee: $0.
• Welcome bonus: None.
• Rewards: 1% cash back right away and up to 1.5% cash back on eligible purchases after making 12 on-time monthly payments. Plus, earn 2% to 10% cash back at select merchants.
• Regular APR: 18.24% to 32.24% variable APR.
• Other perks and benefits: Qualify with alternative credit, get a credit limit increase when you meet certain requirements, get access to Visa Local Offers and no foreign transaction fees or fees of any kind.
• Does the issuer offer a preapproval tool? Yes.
• Recommended credit score: Limited, fair, good or excellent.

Petal 2 Visa Credit Card review

The Petal 2 Card is a starter credit card that allows you to build your credit history with consistent cash-back rewards, no security deposit and no annual fees. In addition to your credit history, Petal may also consider your money habits to determine eligibility, making it easier for people with limited credit history to get approved. Petal also generates what it calls a Cash Score, based on your income and expenses, by asking you to link your bank accounts. If you have no credit history at all, you may still be able to get approved on your Cash Score alone. It’s this last part that makes Petal unique. 

You can also check if you’re pre-approved without hurting your credit score. However, be aware the card’s interest rate can be incredibly high, and the rewards program is a bit complicated. You’ll earn 1% cash back right away and up to 1.5% cash back on eligible purchases after making 12 on-time monthly payments. Plus, earn 2% to 10% cash back at select merchants. 

Pros

• Qualify with alternative credit: If you have a credit score, Petal will consider it. But Petal also uses its Cash Score assessment to determine if you qualify.
• Get credit limit increases: Petal automatically reviews your account for credit limit increases, but there are steps you can take to improve your odds with the Leap program. You can get an increase of $50 or more if you make six monthly payments of the greater of your minimum payment or 15% of your balance and avoid letting your VantageScore credit score fall below your Leap goal by 25 points or more. 
• Visa Local Offers: Add your Petal 2 card to your Uber account, and you can get rewarded in Uber credits for spending at more than 1,000 featured retailers, restaurants and coffee shops.

Cons

• No welcome bonus: In addition to needing to wait at least 12 months to earn the card’s second-tier cash-back rate, you also won’t earn a welcome bonus. But that’s common among starter credit cards, so leverage the card to build credit history, and eventually you will hopefully be able to qualify for credit cards with sign-up bonuses in the future.
• Complicated rewards: While many credit cards offer tiered rewards, it’s not common for cards to tie your rewards rate to your payment activity, and it’ll take a minimum of a year before you’ll earn the card’s highest rewards rate.
• No introductory APR offer: Cards aimed at those with limited credit don’t often come with a low introductory interest offer and Petal 2 is no exception.

Petal 2 Visa Credit Card rewards

When you first open the Petal 2 Card, you’ll earn 1% cash back right away and up to 1.5% cash back on eligible purchases after making 12 on-time monthly payments. Plus, earn 2% to 10% cash back at select merchants. You can find these offers in the Petal mobile app, but you don’t need to activate them to enjoy the higher rewards rate.

If you have a month without a minimum payment, you won’t lose your progress, but you also won’t get credit for that month.

When it comes to redemption, you can use your cash back to get a statement credit on your account. If you have more than $20 in rewards, you can also request a paper check or deposit to your bank account, but you need to call Petal for that option.

Using government data and other publicly available information, we estimate that a household in the U.S. that would be in the market for this card has an annual income of $29,525 in expenses they are likely to be able to charge to a credit card over the course of a year.

SPENDING CATEGORY	SPENDING AMOUNT	POINTS PER DOLLAR (OR CASH-BACK RATE)	POINTS (OR CASH-BACK) EARNED
The first 6 months with the card	$14,762.50	1%	$147.63
The second 6 months	$14,762.50	1.25%	$184.53
TOTAL	$29,525		$332.16

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The above sample cardholder would earn an estimated $332.16 in year one with the card, assuming they make their payments on time each month. In year two and beyond, the card earns 1.5% so our sample cardholder would earn $442.88.

Petal 2 Visa Credit Card APR 

The Petal 2 card has a 18.24% to 32.24% variable APR, depending on your creditworthiness. While it’s common for a starter credit card to charge a higher interest rate, it’s rare for a card to charge an APR upwards of 30%. 

That said, if you make it a priority to pay off your balance in full every month, you’ll be able to avoid interest charges altogether.

How the Petal 2 Visa Credit Card stacks up to other starter credit cards

Petal 2 Visa Credit Card vs. Petal® 1 “No Annual Fee” Visa® Credit Card * The information for the Petal® 1 “No Annual Fee” Visa® Credit Card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.

If you can’t get approved for the Petal 2 Card, you may be offered the Petal 1 Card (issued by WebBank) instead. This card also offers 2% to 10% cash back at select merchants, and it doesn’t charge an annual fee or foreign transaction fees. But it has a higher 25.24% to 34.74% variable APR.

Petal 2 Visa Credit Card vs. Capital One Quicksilver Secured Cash Rewards Credit Card * The information for the Capital One Quicksilver Secured Cash Rewards Credit Card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.

If you have bad credit, the Petal 2 Card may not be available to you. Instead, you may consider the Capital One Quicksilver Secured Cash Rewards Credit Card * The information for the Capital One Quicksilver Secured Cash Rewards Credit Card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer. . With this card, you’ll earn 1.5% cash back on purchases and 5% cash back on hotels and rental cars booked through Capital One Travel, and there’s no annual fee. While there’s a security deposit requirement, with a $200 minimum, you can get a refund without closing your account if you meet certain criteria. You can also qualify for a credit line increase with no additional deposit requirement as soon as six months after account opening. 

Petal 2 Visa Credit Card vs. SuperCash Card * The information for the SuperCash Card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.

Unlike traditional credit cards, the SuperCash Card functions as a credit-debit hybrid. Your limit is equal to the amount you have in your account, similar to a prepaid debit card. But Super will also report your payments to the credit bureaus, allowing you to build your credit history. There’s no credit check when you apply, making it a good choice for people with limited, bad or no credit history at all. It also offers 10% cash back on purchases with SuperTravel, 5% cash back on purchases in the SuperShop and 2% cash back on all other purchases. There are no fees beyond an expedited shipping fee for card replacements. 

Petal 2 Visa Card is right for you if:

• You have limited credit history and want to build credit without putting up a security deposit for a secured credit card. That’s especially true if your credit history is thin but you generally manage your income and expenses well. 
• You don’t plan to carry a balance. The APR on the card could potentially be high, making it expensive to revolve a balance.
• You want a card that offers some rewards. Over time, with good payment behavior, the rewards on the Petal 2 card are on par with other cards designed for those with limited to fair credit.

Frequently asked questions (FAQS)