Comparison of Visa Petal 1 and Petal 2 credit cards

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

But depending on your goals and your personal financial situation, one Petal card may be better for you than another. 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 right one for you.

Side by side comparison

Petal 1 Visa Card Visa Petal 2 card
Costs • No annual fee
• No transaction fees abroad
• No annual fee
• No transaction fees abroad
• No late fees
• No return payment fees
Cash back • Earn rewards on purchases from eligible merchants • Earn 1% cash back on every purchase
• Upgrade to 1.5% return after making 12 one-off monthly payments
• Earn rewards on purchases from eligible merchants
Other characteristics • Credit limit of $ 300 to $ 5,000
• Variable APR from 19.99% to 29.49%
• Path to an increase in the credit limit
• Credit limit of $ 300 to $ 10,000
• Variable APR from 12.99% to 26.99%
• Path to an increase in the credit limit

Comparison of rewards and benefits

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

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

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

You can redeem Cash Back Rewards earned on either Petal card for a statement credit, check, or wire transfer to your bank account.

There are other credit advantages 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 its credit limit at $ 5,000, although your starting limit on both cards could be as well. low than $ 300. After approval, you can also aim for a higher credit limit by making six months of payments on time.

Pro tip

You can check which Petal card you are entitled to by submitting a pre-approval request through the Petal website online, without impacting your credit score.

This can be especially helpful if you’re starting out with one of the lower credit limits on either card. Even if you aren’t spending to the limit, a higher line of credit can help you improve your credit score by maintaining your credit utilization ratio – the amount of credit available to the amount you use – within a healthy range of less than 30%.

One of the most valuable benefits 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 such as your income, savings, and spending history.

And while the Petal 2 card may offer more possibilities for rewards, the biggest advantage of the Petal 1 Visa credit card is its accessibility to people with low credit scores and to people who have made credit mistakes in the process. pass. Even if you do not qualify for Petal 2 based on your Cash Score, you may still be eligible to open a Petal 1 Card.

APR

Neither Petal 1 nor 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%.

Having a revolving balance in your account with an APR in either range could get expensive in a hurry. To avoid high interest debt and start improving your credit, charge only what you can afford to pay off in full and on time each month.

Costs

The Petal 1 Visa credit card and the Petal 2 Visa credit card do not charge any annual fees or overseas transaction fees.

If you are approved for Petal 2, you will also not pay late payment fees and return payment fees. However, these fees apply for Petal 1 cardholders. With Petal 1, you will pay up to $ 40 for late payments and $ 29 for returned payments.

Petale® 1

Visa® Petal® 1 “no annual fee” credit card

Editor’s Note: (3.3 / 5)
  • Introductory bonus:

    N / A

  • Annual subscription :

    $ 0

  • Regular APR:

    19.99% – 29.49% (variable)

  • Recommended credit:

    (No credit history)

  • Apply now external link icon On the secure WebBank site
Petale® 2

Visa® Petal® 2 “Cash Back, No Fee” credit card

Editor’s Note: (4.0 / 5)
  • Introductory bonus:

    N / A

  • Annual subscription :

    $ 0

  • Regular APR:

    12.99% – 26.99% (Variable)

  • Recommended credit:

    (No credit history)

  • Apply now external link icon On the secure WebBank site
Capital One QuicksilverOne Cash Rewards Credit Card

Capital One QuicksilverOne Cash Rewards Credit Card

Editor’s Note: (3.0 / 5)
  • Introductory bonus:

    N / A

  • Annual subscription :

    $ 39

  • Regular APR:

    26.99% (variable)

  • Recommended credit:

    (No credit history)

  • Learn more external link icon On our partner’s secure site

Choose between the Visa Petal 1 card and the Visa Petal 2 card

If you can qualify, the Petal 2 Visa credit card is easily Petal’s best option. You will get rewards on all your expenses and bills while building your credit score. You may also be eligible for a higher credit limit and lower variable APR than you would get with Petal 1, depending on your creditworthiness.

That being said, the Petal 1 Visa credit card might be the only Petal card you are entitled to if your credit score or cash flow is low. Before submitting your application, you can see if you are prequalified for either card online and without a thorough investigation on your credit report. Even if you are not eligible for Petal 2, you may be eligible for Petal 1, which remains a solid option for building up credit.


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