Credit Cards

Petal Visa Credit Card Comparison 1 Vs. Petal 2

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For cardholders looking to build credit, both the Petal 1 “No Annual Fee” Visa Credit Card and the Petal 2 “Cash Back, No Fee” Visa Credit Card can be great tools. These cards are aimed at users who want to improve their credit, as they have a built-in path to higher credit limits and use your banking information to assess your creditworthiness beyond your credit score.

But depending on your goals and personal financial situation, one Petal card may be more suitable for you than the other. If you’re considering a Petal credit card, here’s what you need to know about the different benefits of each and how to choose the one that’s right for you.

side by side comparison

Petal Visa Card 1 Petal 2 Visa Card
Rate • No annual fee
• No fees for foreign transactions
• No annual fee
• No fees for foreign transactions
• No late fees
• No fees for returned payments
Cash Back Rewards • Earn rewards on purchases with eligible merchants • Earn 1% cash back on every purchase
• Return to 1.5% after making 12 monthly payments on time
• Earn rewards on purchases with eligible merchants
Other features • Credit limit of $300 to $5,000
• 19.99% to 29.49% variable APR
• Path to a credit limit increase
• Credit limit from $300 to $10,000
• 12.99% to 26.99% variable APR
• Path to a credit limit increase

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Comparison of rewards and benefits

Both Petal credit cards earn between 2% and 10% on purchases made with select merchants using Petal Offers. These offers are automatically added to your account and merchants may vary. Neither card offers a welcome cash bonus.

With the Petal 1 card, Petal offers are the only rewards you can earn.

The Petal 2 Visa Credit Card offers more rewards on every purchase. You’ll automatically earn 1% back on everything you buy, and as you use your card responsibly, you can increase your rewards rate. After six months of on-time payments, you’ll earn a 1.25% refund. And after 12 months of on-time payments, you can get 1.5% back on every purchase. There is no limit to the number of rewards you can earn.

You can redeem cash back earned on any Petal card for a statement credit, check, or transfer to your bank account.

There are some other credit building benefits between these two cards. The Petal 2 Visa Credit Card has a maximum credit limit of $10,000, while the Petal 1 Visa Credit Card caps your credit limit at $5,000, though your initial limit on both cards can be as low as $300. After approval, you can also work toward a higher credit limit by making six months of on-time payments.

pro tip

You can check which Petal card you’re eligible for by submitting a pre-approval request through Petal’s website online, with no impact to your credit score.

This can be especially helpful if you start with one of the lowest credit limits on either card. Even if you don’t spend to the limit, a higher line of credit can help improve your credit score by keeping your credit utilization ratio (the amount of credit available compared to the amount you use) within a healthy range for below 30%

One of the most valuable perks of a Petal card for anyone looking to build credit is Petal’s alternative approval process. When you apply for a Petal card, the issuer may use the bank account information you provide to give you a cash score. Rather than just using your credit score, this score helps determine your creditworthiness based on factors like your income, savings, and spending history.

And while the Petal 2 Card may offer more rewards opportunities, the biggest benefit of the Petal 1 Visa Credit Card is its accessibility for people with low credit scores and people who have made credit mistakes in the past. Even if you don’t qualify for Petal 2 based on your cash score, you may still be eligible to open a Petal 1 card.

APR

Neither the Petal 1 nor the Petal 2 come with an introductory APR for purchases or balance transfers, and they both charge relatively high APRs. However, the Petal 2 Visa credit card has a slightly lower variable interest rate range of 12.99% to 26.99%. Meanwhile, the Petal 1 Visa Credit Card charges a variable APR from 19.99% to 29.49%.

Carrying a revolving balance on your account with an APR in either range could quickly become expensive. To avoid high-interest debt and start improving your credit, charge only what you can pay in full and on time each month.

Rate

Both the Petal 1 Visa Credit Card and the Petal 2 Visa Credit Card have no annual fees or foreign transaction fees.

If you’re approved for Petal 2, you also won’t pay late fees or returned payment fees. However, these fees apply to Petal 1 cardholders. With Petal 1, you’ll pay up to $40 for late payments and $29 for returned payments.

More information external link icon

Visa® Petal® Credit Card 1 “No Annual Fee”

Editor’s Score: (3.3/5)

Editor’s Score: (3.3/5)

annual fee: 5.0

prequalification: 5.0

rewards and benefits: 2.5

credit building incentives: 3.0

automatic issuer verification: 3.5

annual percentage rate: 2.0

other fines for charges: 3.0

Last updated January 6, 2022

All reviews are prepared by NextAdvisor staff. The opinions expressed therein are solely those of the reviewer. Information, including card rates and fees, presented in the review is accurate as of the review date.

  • Introductory Offer:

    N/A

  • Annual quota:

    $0

  • ordinary APR:

    19.99% – 29.49% (variable)

  • Recommended Credit:

    (No Credit History)

  • Apply nowexternal link icon On WebBank’s secure site

More information external link icon Petal® 2

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

Editor’s Score: (4.0/5)

Editor’s Score: (4.0/5)

annual fee: 5.0

prequalification: 5.0

rewards and benefits: 4.5

credit building tools: 4.0

automatic issuer verification: 3.0

April in progress: 3.0

other fines for charges: 4.0

Last updated January 6, 2022

All reviews are prepared by NextAdvisor staff. The opinions expressed therein are solely those of the reviewer. Information, including card rates and fees, presented in the review is accurate as of the review date.

  • Introductory Offer:

    N/A

  • Annual quota:

    $0

  • ordinary APR:

    12.99% – 26.99% (varies)

  • Recommended Credit:

    (No Credit History)

  • Apply nowexternal link icon On WebBank’s secure site

More information external link icon Capital One QuicksilverOne Cash Rewards Credit Card

Capital One QuicksilverOne Cash Rewards Credit Card

Editor’s Score: (3.0/5)

Editor’s Score: (3.0/5)

bounty rate: 3.5

welcome bonus: 0.0

annual fee: 3.5

other costs fees: 5.0

introduction april: 0.0

other benefits: 3.0

simplicity: 5.0

annual percentage rate: 2.0

Last updated January 6, 2022

All reviews are prepared by NextAdvisor staff. The opinions expressed therein are solely those of the reviewer. Information, including card rates and fees, presented in the review is accurate as of the review date.

  • Introductory Offer:

    N/A

  • Annual quota:

    $39

  • ordinary APR:

    26.99% (changeable)

  • Recommended Credit:

    (No Credit History)

  • More informationexternal link icon On our partner’s secure site

Deciding Between the Petal 1 Visa Card and the Petal 2 Visa Card

Editorial Independence

As with all of our credit card reviews, our analysis is not influenced by any association or advertising relationship.

If you can qualify, the Petal 2 Visa Credit Card is easily Petal’s best option. You’ll earn rewards on all your spending and bills as you build your credit score. You may also be eligible for a higher credit limit and lower variable APR than you would with Petal 1, depending on your creditworthiness.

That said, the Petal 1 Visa Credit Card might be the only Petal card you’re eligible for if your credit score or cash flow is low. Before you submit your application, you can see if you prequalify for any of the cards online and without a thorough look at your credit report. Even if you don’t qualify for Petal 2, you may be eligible for Petal 1, which is still a solid option for building credit.

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