Petal, a New York, NY, and Richmond, VA-based credit card company, closed a more than $125m committed debt facility.
This new facility included:
- $100 million from Silicon Valley Bank (SVB), and
- $26.6 million from Trinity Capital.
This asset-backed facility complements an existing $300m facility with global investment bank Jefferies. In total, Petal has now closed more than $440m in debt and raised more than $100m in equity financing.
The company intends to use the funds to expand and support the Petal credit card program.
Petal is a credit card company whose program now includes two Visa cards:
- Petal 1, introduced in October, designed to help consumers who already have a credit history and want to improve their credit responsibly and affordably.
- Petal 2, which helps people build credit by providing access to a no-fee credit card with cash back and higher limits that people can qualify for even if they’ve never used credit before.
The company leverages a Cash Score —an alternative measure of creditworthiness based on income, savings, and spending history— to make credit more accessible, particularly to people who are new to credit and encourages them to avoid debt, and spend responsibly.
Petal credit cards are issued by WebBank, Member FDIC.
To date, more than 100,000 people have been approved for the two cards.