Petal, a US-based startup that aims to make credit more accessible, has announced a partnership with WebBank to issue the Petal Visa credit card.
The Petal Visa credit card offers credit to groups that have been underserved by traditional financial services providers. The solution is a no-fee credit card paired with a mobile app that makes it easy for users to build credit, track spending and manage money, even if they have never had credit before or a credit score. Moreover, Petal comes with low interest rates (14.24%- 25.24% APR variable based on the Prime Rate as of March 21, 2018) and high a credit limit up to USD 10,000.
In September 2017, Petal began beta-testing the card, and opened up a waitlist where interested consumers could sign up to receive an early invitation to apply. Since then, more than 60,000 people have joined the waitlist at petalcard.com.
Petal uses a new type of comprehensive credit analysis – Cashflow Underwriting – that provides an up-to-date picture of financial health. It measures additional components of each individual’s creditworthiness beyond information in a credit score, like how much they make, save and spend over time, and the bills they pay each month.