Petal 1 ‘No Annual Fee’ Visa Card: Simple Card for Building Credit, with Few Added Benefits

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Petal® 1

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

Editor’s Score: (3.3/5)
Learn more externa link icon at our partner’s secure site.

  • Intro bonus: N/A
  • Annual fee: $0
  • Regular APR: 19.99% – 29.49% (Variable)
  • Recommended credit score: (No Credit History)

The Petal 1 “No Annual Fee” Visa Card* is best for people looking to build credit for the first time or who may have had trouble getting approved for other unsecured credit cards in the past. Petal’s alternative approval option — based on a “Cash Score” using your banking info — can help you qualify even with little credit history. Just steer clear of this card’s high APR by paying your balances in full every month.

At a Glance

  • No annual fee and no foreign transaction fees
  • Qualify for a credit line increase after six months of on-time payments and maintaining a predetermined credit score range
  • Earn 2% to 10% cash back (when applicable) with select merchants through Petal Offers
  • Get approved based on more than your credit score — Petal considers banking information you provide within your application
  • Get prequalified without a hard inquiry on your credit report
  • 19.99%-29.49% variable APR

Pros

  • No annual fee

  • Earn rewards with select merchants

  • Petal looks at more than credit score for approval decision

  • Prequalification option

Cons

  • No ongoing rewards categories

  • High APR

  • Credit limit could be as low as $500

Additional Card Details

The Petal 1 “No Annual Fee” Visa Card is a credit-building card. Like others in this category, it doesn’t come with many added perks, but there are a few benefits for people looking to build credit without much credit history. 

First, Petal creates a “Cash Score” to determine your approval and the terms you qualify for. Rather than just your credit score, Petal’s Cash Score is based on banking information you provide in your application. That means you can get approved based on factors like your income, savings, and spending habits even if you don’t have a credit history. 

If you’re not sure about your chances for approval, you can see the terms you prequalify for online without a hard inquiry on your credit report. You can use this prequalification tool to check your eligibility for both the Petal 1 “No Annual Fee” Visa Card and the Petal 2 “Cash Back, No Fees” Visa® Credit Card*, both issued by WebBank. 

Another benefit is Petal’s Leap program, which offers incentive to establish good credit habits early. If you make qualifying on-time payments and keep your credit score within a predetermined range for the first six months after account opening, you’ll qualify for a credit line increase. Since this card could start with a credit limit as low as $500, this is a great benefit to work toward after approval.

Should You Get this Card?

The Petal 1 “No Annual Fee” Visa Card is a good option for anyone with little credit history looking for an accessible unsecured card to use toward improving their credit history. 

Because of the alternative “Cash Score” approval process using your provided banking information, you can increase your chances of approval even with a low or fair credit score if you’re able to show a strong banking history with plenty of transactions.

However, choosing this card will mean giving up any rewards on your spending. This may not be an issue if you want to build credit without the temptation of rewards getting you off track, but there are plenty of secured and unsecured cards for people with little credit history that offer more rewards and benefits. 

Pro Tip

If you want to earn rewards while you build credit, check out the Petal 2 Visa Credit Card. You’ll get 1% to 1.5% back on your spending with no annual fee.

One alternative to consider is Petal’s other card option, the Petal 2 Visa card. It offers the same alternative approval process and you can see if you qualify using the same prequalification form on Petal’s website. But this card offers more value for cardholders: you’ll earn 1% cash back on purchases right away and up to 1.5% back after 12 months of on-time payments. Plus, there are fewer fees. Petal 1 charges up to $40 for late payments and $29 for returned payments, while Petal 2 waives these fees.

How to Use Petal 1 “No Annual Fee” Visa Card

Once you’re approved for the Petal 1 “No Annual Fee” Visa Card, you should use it for small purchases and bills you can afford to pay off right away. Not only is this a great way to build credit over time, but you’ll also avoid this card’s high APR. Charging only what you can pay off when your statement balance is due will help you avoid taking on high-interest debts.

Also start working toward qualifying for a higher credit limit by making your payments on time each month, and monitoring your credit to ensure it stays within your given predetermined range. While you may not actually “need” a higher credit limit, having more open credit can improve your credit utilization rate and give an additional boost to your credit score.

Petal 1 “No Annual Fee” Visa Card Compared to Other Cards

Petal® 1

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

Editor’s Score: (3.3/5)
  • Intro bonus:
    N/A
  • Annual fee:
    $0
  • Regular APR:
    19.99% – 29.49% (Variable)
  • Recommended credit:
    (No Credit History)
  • Learn more externa link icon at our partner’s secure site.
Petal 2

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

Editor’s Score: (4.0/5)
  • Intro bonus:
    N/A
  • Annual fee:
    $0
  • Regular APR:
    12.99% – 26.99% (Variable)
  • Recommended credit:
    (No Credit History)
  • Learn more externa link icon at our partner’s secure site.
Capital One Platinum Credit Card

Capital One Platinum Credit Card

Editor’s Score: (3.6/5)
  • Intro bonus:
    N/A
  • Annual fee:
    $0
  • Regular APR:
    26.99% (Variable)
  • Recommended credit:
    (No Credit History)
  • Learn more externa link icon at our partner’s secure site.

Bottom Line

The Petal 1 “No Annual Fee” Visa Card is a simple card option for credit newcomers with little experience looking to build their credit score through responsible use. You’ll pay no annual fee and no foreign transaction fees, so carrying this card won’t cost you if you always pay your bill on time and never carry a balance.

But for most people, this card’s sister option — the Petal 2 Visa Card — will offer more value. Before you apply, complete the prequalification form to see whether you qualify for that card. You may also want to consider other credit cards for people with no credit, including secured credit cards

Frequently Asked Questions

Is the Petal 1 “No Annual Fee” Visa Card a real credit card?

The Petal 1 “No Annual Fee” Visa Card is a real Visa credit card. Since it’s an unsecured credit card, you can qualify for a line of credit without the need for a security deposit.

Does the Petal 1 “No Annual Fee” Visa Card have an annual fee?

The Petal 1 “No Annual Fee” Visa Card doesn’t charge an annual fee or foreign transaction fees.

What bank does Petal use?

The Petal 1 “No Annual Fee” Visa Card is issued by WebBank.

*All information about the Petal® 1 “No Annual Fee” Visa® Credit Card, Petal 2 “Cash Back, No Fees” Visa® Credit Card and Capital One Platinum Credit Card has been collected independently by NextAdvisor and has not been reviewed by the issuer.