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Is the Petal 1 ‘No Annual Fee’ Visa Credit Card worth it?

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If you’re looking for a credit card that will approve you when others won’t, you may be wondering if the Petal® 1 “No Annual Fee” Visa® Credit Card is worth it.

The answer to this question is that, yes, this credit-building card may be exactly what you need. It all depends on what your exact goals are, the credit limit you’re hoping to get right away and how you plan to use your new credit card for the long haul.

Before you sign up for the Petal 1 “No Annual Fee” Visa Credit Card, it can help to visualize how you might use it while also thinking long and hard about its pros and cons. This guide aims to help you do exactly that, so read on to find out when the Petal 1 “No Annual Fee” Visa Credit Card is and isn’t worth it.

When is the Petal 1 Visa Card worth it?

The Petal 1 Visa Credit Card is issued by WebBank, and it lets consumers get approved using alternate credit data. This means you may be able to get approved with a bad credit score, provided WebBank likes what it sees of your banking history.

Since the Petal 1 Visa doesn’t charge an annual fee, it’s a good option for credit-building as well as building positive credit habits. This card doesn’t charge foreign transaction fees either, so it can be a solid choice for international travel as well.

While your initial credit limit may be as low as $300, the Petal 1 “No Annual Fee” Visa Credit Card also gives you the chance to earn a higher credit limit over time. With a program called Leap, you may see your credit limit increase after you make at least six months of qualifying on-time payments.

When is the Petal 1 Visa Card not worth it?

The Petal 1 Visa is definitely attractive as a credit-building card, but there are a few downsides to be aware of. The first is its high APR of 21.49 percent to 30.99 percent, which will come into play if you fail to pay your credit card bill in full each statement period.

If you plan to sign up for this card, your best bet is only using it for purchases you can afford to pay off right away and doing so before you’re hit with exorbitant interest charges on everything you buy.

Another downside of the Petal 1 Visa Credit Card is the fact you won’t earn rewards on everything you purchase. This card does let you earn 2 percent to 10 percent cash back on select purchases with participating merchants via the Petal Perks program, but other credit cards for bad credit let you earn cash back on everything you buy.

An example is the no-annual-fee Discover it® Secured Credit Card, which offers 2 percent cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter (then 1 percent back), plus 1 percent back on all other purchases.

Finally, consider how this card might work if you do get the minimum credit limit of $300 right off the bat. This credit limit may be enough to make small purchases throughout the month, but it’s not even close to what you’ll need if you’re hoping to use your card for something bigger with the goal of paying your balance down over time.

Should you get the Petal 1 Visa Card?

The Petal 1 Visa is far from the best credit card on the market today, but it’s attainable if you have made mistakes with your credit in the past. You won’t pay an annual fee either, so you can begin building credit through responsible use without paying for the privilege.

With these details in mind, you should consider this card if you need to build credit fast, and you want to do so without having to pay an annual fee or putting down collateral in order to get a secured credit card. The Petal 1 Visa even lets you get preapproved without a hard inquiry on your credit report, so you can gauge your approval odds before you decide.

The bottom line

If you’re on the fence about this credit-building card, be sure to read our Petal 1 “No Annual Fee” Visa Credit Card review. Also, take the time to compare it to other credit cards for bad credit, as well as credit cards for no credit if your credit history is limited. If you’re in college, you might also consider a student credit card for your everyday spending needs.

In the meantime, take steps to start building your credit score through other means. You can do so by making your monthly loan payments on time (if you have any), paying down any unsecured debt you have and using apps like Experian Boost to increase your credit score for free.

With some upfront work on your credit and the Petal 1 Visa in your arsenal of tools, you can be on your way to good or excellent credit in no time.

Written by
Holly D. Johnson
Author, Award-Winning Writer
Holly Johnson writes expert content on personal finance, credit cards, loyalty and insurance topics. In addition to writing for Bankrate and CreditCards.com, Johnson does ongoing work for clients that include CNN, Forbes Advisor, LendingTree, Time Magazine and more.
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Part of  Introduction to the Petal 1 Card