Overview

Petal provides a fintech-based credit card service that helps people with limited or no credit history build their credit scores. It uses not only traditional credit scores but also bank data, spending, and saving behavior to assess creditworthiness, enabling people who might be declined by traditional issuers to get card access. The product includes three types of no-annual-fee Petal cards that offer 2% to 10% cash back at select merchants, plus the Leap program which can increase a credit line after six months of on-time payments. Cardholders manage their accounts through a mobile app that shows credit score, real-time transactions, and enables easy payments. Petal earns revenue mainly from interest on carried balances and merchant fees. Unlike many competitors, Petal emphasizes financial inclusion by using alternative data and a user-friendly experience, aiming to help customers build credit responsibly and grow their financial health over time.