The move coincides with an announcement that Petal has also agreed to a multi-year extension of its existing term loan facilities and closed a new term loan facility for up to $20 million of incremental commitments with Trinity Capital.
In addition, Petal has raised more than $20 million in new equity financing from its existing investors, building on the $35 million in funding the organisation announced in May.
Jason Rosen, Petal’s CEO and Co-Founder said: “It will soon be possible for any U.S. consumer to use their banking history to qualify for new and better financial services.
“That’s great for consumers, and an opportunity for Petal to make credit accessible to millions of people who have been overlooked and underserved for too long. We’re thankful to Victory Park Capital, Trinity and our existing investors, whose support will be crucial to our growth in this next chapter.”
These new sources of capital provide Petal with substantial fuel to expand the Petal credit card program, which provides access to high-quality Visa® credit cards (issued by WebBank) to consumers who are new-to-credit, without requiring established credit scores to qualify.
To date, nearly 400,000 consumers have been approved for Petal credit cards, including more than 100,000 new cards approved in 2022.
Jason Brown, Partner at Victory Park Capital, a global alternative investment firm specialising in private credit. Said: “VPC is a strong supporter of Petal’s mission to make responsible, modern financial services available to everyone.
“We look forward to partnering with the Petal team as they work to expand the credit card program and serve even more underbanked consumers.”
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