The Petal 1 Visa® Credit Card Cardholder Agreement 

Important disclosures 
Rates, fees, and other important information about the Petal 1 VISA® Credit Card 
(“Card”) are set forth in these Important Disclosures. The customized version of these 
Important Disclosures (the “Customized Disclosures”) that we provide you prior to your 
first use of the Card or the related credit card account are part of the Petal 1 VISA® 
Credit Card Cardholder Agreement (“Agreement”). 

Effective as of October 1, 2020 

Interest Rates and Interest Charges 
Annual Percentage Rate (APR) for Purchases 
19.99% to 29.49% when you open your account, based on your creditworthiness. After 
that, your APR will vary with the market based on the Prime Rate. 
How to Avoid Paying Interest on Purchases 
Your due date is at least 25 days after the close of each billing cycle. We will not charge 
you any Interest on purchases if you pay your entire balance by the due date each 
month. 
For Credit Card Tips from the Consumer Financial Protection Bureau 
To learn more about factors to consider when applying for or using a credit card, visit 
the website of the Consumer Financial Protection Bureau at 
consumerfinance.gov/learnmore 
Fees 
Annual Fee 
None 
Transaction Fee 
Foreign Purchases 
None 
Penalty Fees 
- Late payment 
Up to $40 
- Returned payment 
$29 

How We Will Calculate Your Balance: We use a method called “average daily 
balance (including new purchases).” See the Agreement for more detail. 

Variable APR; Daily Periodic Rate: The APR on your Account will be determined each 
billing cycle by adding a margin to the Prime Rate (U.S.) as published in the Money 
Rates section of The Wall Street Journal (the “Index”) on the 25th day of the month or 
the following business day. If the Prime Rate changes, your new rate will take effect on 
your next billing period. The margin which will be added to the Prime Rate for purchases 
is 16.74% - 26.24%. As of September 15, 2020 the Prime Rate was 3.25%. 

Credit Limit: Your initial credit limit will be between $500-$5,000, based on your 
creditworthiness. 

Arbitration Clause; Notices: PLEASE REVIEW THE ARBITRATION CLAUSE AND 

 
 
 
NOTICES SET FORTH IN EXHIBITS A-C OF THE AGREEMENT. 

Petal 1 VISA® Credit Card 
Cardholder Agreement 

EXHIBIT A TO THE AGREEMENT IS AN ARBITRATION CLAUSE. UNLESS YOU ARE 
A “COVERED BORROWER” PROTECTED BY THE MILITARY LENDING ACT (THE 
“MLA”) OR UNLESS YOU PROMPTLY REJECT THE ARBITRATION CLAUSE, IT 
WILL HAVE A SUBSTANTIAL EFFECT ON YOUR RIGHTS IN THE EVENT OF A 
DISPUTE, INCLUDING YOUR RIGHT TO BRING OR PARTICIPATE IN A CLASS 
PROCEEDING. 

This Agreement governs the Petal 1 VISA® credit card account (“Account”) and related 
credit card (“Card”) provided by WebBank, a Utah-chartered, FDIC-insured bank 
located in Salt Lake City, Utah (the “Bank”). This Agreement includes the Important 
Disclosures we provided to you after approving you for the Account (the “Customized 
Disclosures”), the Arbitration Clause attached as Exhibit A, the Billing Error Rights 
Notice attached as Exhibit B, the State Notices attached as Exhibit C, your credit card 
application, and, as applicable, the Privacy Policy, and Risk-Based Pricing Disclosure. 
In this Agreement, the words “we,” “us,” and “our” mean the Bank, its successors and 
assigns, and, for purposes of the Arbitration Clause, the Related Parties identified in the 
Arbitration Clause. The words “you,” “your”, “yours” and “Cardholder” mean the person 
who applied for, received and accepted the Account from the Bank. 

1. Accepting this Agreement. This Agreement becomes effective and legally binding 
when you activate your Card by following the instructions on the Activation page of 
www.petalcard.com or a Petal mobile application (“Petal Website”). You and we agree 
to comply with, and be bound by, this entire Agreement. You should retain and carefully 
review this entire Agreement, and sign your Card before using it. By completing your 
application for the Account (and unless you promptly reject the arbitration clause or are 
a “covered borrower” protected by the Military Lending Act), you agree to the Arbitration 
Clause even if you do not use the Account or the Card. 

2. Purchases. You may use your Account to purchase or lease goods or services 
(each, a “purchase”) by presenting your Card or providing to participating merchants 
and establishments that honor the Card your Card number and additional information by 
any other means (for example, over the phone, online or through a mobile app). We will 
not be liable to you (or anyone else) if any merchant or other person cannot or will not 
process a purchase permitted under this Agreement. Unless prohibited by applicable 
law, we may from time to time limit the type, number and dollar amount of any 
purchase, even if you have sufficient available credit to complete the purchase, and 
may terminate or suspend your use of the Card or the Account, with or without notice to 
you before or at the time we take such action. Cash advances and balance transfers are 
not available under this Agreement. 

3. Prohibited Uses of Account. You agree that you will only use the Account for 

 
 
 
 
 
 
personal, family and household purposes and will not use the Account for any unlawful 
purpose or for the purpose of paying us on this or any other form of credit account you 
may have with us. If you use your Card for any such purpose, we may declare you to be 
in default under this Agreement and we may block such transactions and/or terminate 
your Account, but you still will be liable to us for all charges relating to such transactions 
and all other transactions on your Account at the time it is closed. Further, you agree 
that you will not allow any other person to use the Card or Account without our consent. 
However, your breach of any of these promises will not affect or limit your liability to us 
with respect to your purchases. If you authorize or allow any person to use your 
Account, such authorization will be deemed to extend to all purchases by such person, 
even if not intended by you, and will continue until you have taken all steps necessary to 
prevent any further use of the Account by such person, even if you have advised us that 
such person is no longer authorized to use the Account. 

4. Promise to Pay  You promise to pay us for all amounts charged to the Account, 
including all purchases, interest, and charges charged to your Account.  You are 
obligated to repay us for all transactions made using your Card by people you 
have authorized to use the Card even if their use of the Card exceeds the 
authorization which you gave them. 

5. Credit Limit; Available Credit.  
(a) We have disclosed your initial credit limit in your approval email. We will disclose 
your then-current credit limit and available credit on each monthly statement we send 
you. We may increase or decrease your credit limit at any time, on our own initiative or 
at your request (if we accept such requests). We may also close your Account or 
suspend your ability to use the Account at any time. We will provide any notice required 
by applicable law if we take any adverse action on your Account. 

(b) At any time, your available credit equals the excess (if any) of your credit limit over 
your outstanding Account balance (including principal, fees and interest charges).  You 
agree not to attempt any purchase that exceeds your available credit. For purposes of 
determining your available credit, we do not give effect to any payment prior to the time 
we determine that the payment has been made with sufficient funds. Depending on your 
payment method, this may take up to 20 days.  We are not required to approve any 
purchase if the amount of the purchase exceeds your available credit but we may 
authorize and pay any such purchase in our absolute discretion. Whenever the 
outstanding balance of the Account exceeds your credit limit, you agree to pay us the 
difference on demand unless and to the extent that we have reduced your credit limit 
below your pre-existing balance prior to the reduction. 

6. Monthly Statements. We will send you a monthly statement shortly after the end of 
each monthly billing cycle with any activity, fee or interest charge or an ending debit or 
credit balance in excess of $1.00. However, we are not obligated to send you a monthly 
statement if we deem your Account to be uncollectible or applicable law does not 
require us to send you a monthly statement for other reasons. Your monthly statements 
will show, among other matters, the outstanding balance at the start and end of the 

 
 
 
 
billing cycle (that is, the “previous balance” and “new balance,” respectively); purchases; 
payments, credits and adjustments; interest charges and fees; your credit limit and 
available credit; and the minimum payment due and payment due date. 

7. Interest Charges. 

(a) General. We use the “average daily balance (including new purchases)” method to 
calculate your interest charges. This means that, each billing cycle, we determine your 
interest charges by multiplying the average daily balance (which is shown on your 
monthly statements as the “balance subject to interest rate”) times the daily periodic 
rate and then by multiplying this amount by the number of days in the billing cycle. 

(b) Grace Period on Purchases. 

(i) If your Account balance is $0 at the beginning of a billing cycle or you pay the entire 
Account balance as of the beginning of a billing cycle by the payment due date that falls 
in such billing cycle, you get a “grace period” and will not be charged any interest 
charges for such billing cycle. 

(ii) If you do not get a grace period for a billing cycle but you got a grace period for the 
immediately preceding billing cycle, we will not charge interest charges on purchases 
that were outstanding during such preceding billing cycle to the extent such purchases 
are paid by the payment due date that falls in the current billing cycle. 

(iii) If you get a grace period on purchases for a billing cycle on account of a payment 
that is dishonored or reversed in the next billing cycle or a credit that is reversed in the 
next billing cycle due to the resolution of a billing dispute, we will charge you in the next 
billing cycle the interest charges you avoided in the prior billing cycle due to the 
dishonored or reversed payment or credit. 

(c) Interest Rates. 

(i) The daily periodic rate equals the APR divided by 365, truncated at the 11th decimal 
place. 

(ii) The APR each billing cycle equals the sum of the Margin shown on your Customized 
Disclosures and the WSJ Prime Rate, determined as of the second business day (not 
weekends or federal holidays) of the same month in which your billing cycle closes (the 
“Determination Date”).  Accordingly, the APR (and daily periodic rate) may vary. The 
“WSJ Prime Rate” is the highest U.S. Prime Rate as published in the “Money Rates” 
section of The Wall Street Journal on the Determination Date (or if The Wall Street 
Journal does not publish such rate on such day, the latest prior day it does publish such 
rate). (If The Wall Street Journal stops publishing the U.S. Prime Rate in its “Money 
Rates” section, then we may substitute another index and margin, in our sole discretion, 
subject to applicable law.) Notwithstanding the foregoing, the APR and daily periodic 
rate will never exceed the maximum rates permitted by applicable law. 

 
 
 
 
 
 
 
 
 
(iii) Unless you qualify for a grace period (see subsection (b)), if and when the APR 
increases, more interest charges will accrue. This will result in higher and/or more 
payments if you pay the minimum payment due each month. Unless you qualify for a 
grace period, if and when the APR decreases, less interest charges will accrue. This will 
result in lower and/or fewer payments if you pay the minimum payment due each 
month. 

(d) Balances Subject to Interest Rate. 

(i) The average daily balance (also known as the balance subject to interest rate) equals 
the sum of the closing daily Account balances for each day of the billing cycle, divided 
by the number of days in the billing cycle. 

(ii) If you get a grace period for a billing cycle (see subsection (b)(i)), the Account 
balance is treated as $0 for each day in the billing cycle (and the average daily balance 
is $0). Otherwise, the closing balance for each day in the billing cycle is computed as 
follows: 

(A) For each day (including the first day of the billing cycle), we start with the prior day’s 
closing balance, if any. 

(B) For the first day of the Billing cycle, if you received a grace period for the 
immediately preceding billing cycle, we deduct all payments and credits applied to 
purchases and posted by the payment due date that falls within the current billing cycle. 

(C) For each day in the billing cycle (including the first day of the billing cycle), we add 
any new purchases posted to your Account, we add the interest charges from the prior 
day (the prior day’s closing balance times the daily periodic rate), add any fees charged 
that day, and subtract any payments or credits. However, we do not subtract a second 
time any payments or credits that have already been subtracted in step (B) above. (This 
method results in the daily compounding of interest charges.) 

(D) We treat any negative daily balance as $0. 

(e) Interest Accrual Periods. We charge interest charges over the following periods: 

(i) If you get a grace period for the billing cycle in which the purchase is posted to the 
Account (the “Purchase Cycle”) and for the next billing cycle (the “Next Cycle”), we 
charge no interest charges at all. 

(ii) If you get a grace period for the Purchase Cycle but not for the Next Cycle, we 
charge interest charges from the first day of the Next Cycle through the earlier of: (1) 
the day the purchase is repaid in full; or (2) the day before the beginning of the first 
billing cycle that comes after the Next Cycle and for which you get a grace period (the 
“Interest End Date”). 

 
 
 
 
 
 
 
 
 
 
 
(iii) If you do not get a grace period for the Purchase Cycle, we charge interest charges 
from the day the purchase is posted to the Account through the Interest End Date. 

8. Fees. Subject to applicable law, including the federal Truth in Lending Act and 
Regulation Z, you agree to pay the following fees: 

(a) Penalty fees. 

(i) Each time we do not receive the minimum payment due in full within 3 days of the 
payment due date, we will charge you a late fee of $29.00 if we have not charged (or 
waived) a late fee within the six immediately preceding billing cycles.  However, we will 
charge a late fee of $40.00 if we have already charged (or waived) a late fee within the 
six immediately preceding billing cycles. We will never charge a late fee exceeding the 
minimum payment due that is late. 

(ii) Each time a payment on your Account is returned or reversed for any reason or we 
must return any check or instrument you send us because it is not signed or is 
otherwise incomplete, we will charge you a returned payment fee of $29.00. However, 
we will not charge a returned payment fee if we are charging a late fee with respect to 
the same minimum payment due and will never charge a returned payment fee 
exceeding the related minimum payment due. 

(b) Additional fees. We may charge fees for special services you request in accordance 
with applicable law. 

9. Limits on Interest, Fees and Charges. It is not our intent to charge or collect any 
interest, fee or charge in excess of the amount permitted by applicable law. If any 
interest, fee or charge is finally determined to be in excess of the amount permitted by 
applicable law, we will credit the excess amount against the outstanding balance in your 
Account or refund it to you. 

10. Payments. 

(a) Each month, you must pay at least the minimum payment due shown on your 
monthly statement by the “cut-off time” on the payment due date shown on your monthly 
statement. The payment due date will be at least 25 days after the date of the monthly 
statement and will typically be on the same day of each calendar month. However, if the 
payment due date falls on a day we do not receive mail (a “non-business day”), we will 
not treat your payment as late for any purpose if we receive it by the cut-off time on the 
next day we receive mail (a “business day”). The “cut-off time” is 8:00 p.m. Eastern 
Time for payments made online through the Petal Website or over the phone or 5:00 
p.m. Eastern Time if you mail-in a payment by check or money order. 

(b) If the new balance shown on your monthly statement for a billing cycle (the 
“Statement Cycle”) is less than $25.00, the minimum payment due in the next billing 

 
 
 
 
 
 
 
 
 
 
cycle (the “Payment Cycle”) equals such new balance. Otherwise, the minimum 
payment due equals the sum of: (i) $25.00 or 2% of such new balance (excluding any 
interest charges, late fees, and any amount past due), whichever is greater;  and (ii) 
interest charges for the Statement Cycle; (iii) any late fees; and (iv) any amount past 
due at the end of the Statement Cycle. 

(c) You agree to make all payments in U.S. dollars in accordance with our instructions 
online on the Petal Website, by phone or by a check or money order drawn on a 
financial institution located in the U.S. All payments by check or money order must be 
mailed or delivered to us at the payment address shown on the front of your monthly 
statement. Any payments received after the cut-off time on a business day or received 
on a non-business day will be credited on the next business day. However, credit to 
your Account may be delayed for up to five days if we accept a check or money order 
that is not: (i) received by mail or messenger service at the payment address on your 
monthly statement; or (ii) accompanied by the top portion of your monthly statement. 
Delayed crediting may cause you to incur additional fees and interest charges, subject 
to applicable law. 

(d) Subject to applicable law, we may apply payments and other credits to your Account 
in any manner we choose in our sole discretion.  We will usually apply the Minimum 
Payment first to interest charges and then to balances. Although your Minimum 
Payment will be applied in any order at our discretion, payments in excess of the 
Minimum Payment will be applied to balances with the highest APR first and then to 
lower rate balances in descending order of APR. This means that balances with higher 
APRs are reduced before balances with lower APRs for any amount of your payment 
that is in excess of your Minimum Payment due. 

(e) All credits for payments to your Card are subject to final payment by the institution 
on which the payment item was drawn. Depending upon the type of payment you make, 
your available credit may not be restored for up to 20 days after we receive a payment. 

(f) You agree not to send us payments marked “paid in full,” “without recourse” or with 
similar language. If you send such a payment, we may accept it without losing any of 
our rights under this Agreement, including our right to collect the full amount owed by 
you. All written communications concerning disputed amounts, including any check or 
other payment instrument that indicates that the payment constitutes “payment in full” of 
the amount owed or that is tendered with other conditions or limitations or as full 
satisfaction of a disputed amount, must be mailed or delivered to the Notice Address (as 
defined in Section 18), Attn: Disputed Payments. 

11. Prepayment. At any time, you may pay all or any part of your outstanding 
Account balance, without penalty. Payment of more than the minimum payment due 
in one billing cycle will not relieve you of the obligation to pay the entire minimum 
payment due in subsequent billing cycles. 

12. Termination. Subject to applicable law, we may suspend, revoke or cancel your 

 
 
 
 
 
 
Account privileges, your right to use the Card or deny any transaction, in our sole 
discretion at any time, with or without cause and with or without giving you notice.  Any 
termination of credit privileges, whether initiated by us or by you, will not affect any of 
our rights or your obligations under this Agreement, including your obligation to repay 
any amounts you owe us according to the terms of this Agreement. On our demand or 
upon termination of credit privileges, you agree to surrender to us or destroy the Card. If 
you attempt to use the Card after the termination of credit privileges (whether or not we 
have provided notice of such termination), the Card may be retained by a merchant, 
ATM or financial institution where you attempt to use the Card. 

13. Default. Subject to applicable law, we may declare you to be in default under this 
Agreement if: (a) you fail to pay any minimum payment due on or before the payment 
due date; (b) you attempt to or do exceed your credit limit; (c) you make a payment that 
is dishonored or reversed; (d) you die or are declared legally or mentally incompetent; 
(e) a petition is filed or other proceeding is commenced by or against you under the 
Federal Bankruptcy Code or any other federal or state insolvency laws; (f) you become 
insolvent or unable to pay your debts; (g) you provide us with any false or misleading 
information; (h) you breach any of your other obligations under this Agreement; (i) you 
are in default of any other credit agreement you have with us or with Petal (as defined in 
Section 16); or (j) we have any reason to believe you are unwilling or unable to pay your 
debts. 

Idaho, Iowa, Kansas, Maine and South Carolina Residents Only: We may declare 
you to be in default if you fail to make a payment as required by this Agreement (or 
within 10 days of the time required by this Agreement, for Iowa residents) or if the 
prospect of your payment or performance is significantly impaired (for Iowa residents, if, 
following an event of default, the prospect of your payment is materially impaired).  We 
have the burden of establishing the impairment of such prospect of payment or 
performance. 

Wisconsin Residents: We may declare you to be in default (a) if you permit to be 
outstanding an amount exceeding one full payment which has remained unpaid for 
more than 10 days after its scheduled due date or deferred due date, or if you fail to pay 
the first payment or last payment within 40 days of its scheduled due date or deferred 
due date or (b) if you fail to observe any other provision of this Agreement, the breach of 
which materially impairs your ability to pay the amounts due under the Agreement. 

14. Remedies. In the event of your default under this Agreement, we may, subject to 
applicable law (including any applicable notice requirement): (a) declare all or any 
portion of your outstanding Account balance to be immediately due and payable; (b) 
instead allow you to repay your Account balance by paying the minimum payment due 
each billing cycle, without waiving any rights under subsection (a); and/or (c) commence 
a collection action against you and charge you for any court costs and/or any 
reasonable attorneys’ fees and costs we are charged in connection with such action by 
any attorney who is not our salaried employee. After a default, interest charges will 
continue to accrue until your total Account balance, including accrued interest charges, 

 
 
 
 
is paid in full, subject to applicable law. 

15. Delay in Enforcement. We may at any time and in our sole discretion delay or 
waive enforcing any of our rights or remedies under this Agreement or under applicable 
law without losing any of those or any other rights or remedies. Even if we do not 
enforce our rights or remedies at any one time, we may enforce them at a later date. 
For example, we may accept late payments or payments that are marked “payment in 
full” or with other restrictive endorsements without losing any of our rights under this 
Agreement. 

16. Servicer. Petal Card, Inc. (“Petal”), along with its partners and service providers, is 
the servicer of your Account and Card. In that capacity, Petal may act on our behalf, 
perform our obligations or enforce our rights under this Agreement. 

17. Communications and Call Recording. You authorize WebBank and Petal Card 
Inc. (one of WebBank’s service providers) and each of WebBank’s and/or Petal’s joint 
or independent affiliates, agents, assigns, and service providers (collectively, the 
“Messaging Parties”) to use automatic telephone dialing systems, artificial or 
prerecorded voice message systems, text messaging systems and automated email 
systems, or any system capable of storing and dialing telephone numbers to deliver 
messages relating to this Agreement, your Account, or your relationship with the 
Messaging Parties more generally (including but not limited to: messages about , 
upcoming Payment Due Dates, missed payments and returned payments) to any 
telephone number(s) you provide to the Messaging Parties. You also agree that these 
messages may deliver prerecorded and/or artificial voice messages. You understand 
that telephone messages may be played by a machine automatically when the 
telephone is answered, whether answered by you or someone else, and that these 
messages may also be recorded by your answering machine.  You also authorize the 
Messaging Parties to deliver messages to you via mail or email at any addresses you 
supply to them or that they obtain through any legal means. 

You understand that anyone with access to your mail, telephone or email account may 
listen to or read the messages the Messaging Parties leave or send you, and you agree 
that the Messaging Parties will have no liability for anyone accessing such messages. 
You further understand that, when you receive a telephone call, text message or email, 
you may incur a charge from the company that provides you with telecommunications, 
wireless and/or internet services, and you agree that the Messaging Parties will have no 
liability for such charges except to the extent required by applicable law. You expressly 
authorize the Messaging Parties to monitor and record your calls with the Messaging 
Parties. If any telephone number you have provided to the Messaging Parties changes, 
or if you cease to be the owner, subscriber, or primary user of any such telephone 
number, you agree to immediately give notice to the Messaging Party who delivered the 
messages of such facts so that the Messaging Party can update its records. 

This authorization is part of our bargain concerning this Agreement, and we do not 
intend it to be revocable. However, to the extent you have the right to revoke your 

 
 
 
 
 
consent to communications by autodialed calls and text messages to your mobile 
number under applicable law, you may exercise this right by contacting the applicable 
Messaging Party directly or by sending a request by email to support@petalcard.com 
with the subject line “END COMMUNICATIONS.” You may opt-out of receiving most of 
these messages at any time by sending us a request to support@petalcard.com or by 
responding “STOP” to any text message. To stop emails only, you can follow the opt-out 
instructions included at the bottom of the Messaging Parties’ emails. 

18. Notices and Change in Information. All notices to us must be sent to Petal Card, 
Inc., MSC – 166931, P.O. Box 105168, Atlanta, GA 30348-5168, or such other address 
we subsequently provide you (the “Notice Address”), Attn: Notices (or as otherwise set 
forth in this Agreement). To the extent permitted by applicable law, any notice you send 
us will become effective after we have received it and had a reasonable opportunity to 
act on such notice. Any written or electronic correspondence we send to you will 
become effective when we send it to you at your mail address (or your email address if 
you have authorized electronic communications), in each case as it appears on our 
records. All bankruptcy notices and related correspondence to us may be sent to Petal 
Card, Inc., MSC – 166931, Attn: Bankruptcy Notice, P.O. Box 105168, Atlanta, GA 
30348-5168. You must notify us of any changes to your name, mailing or email address, 
or cell phone number within 15 days of such change. You must notify us of changes to 
your mailing, email address or cell phone number by updating such information on the 
Petal Website. You must notify of us changes to your name by writing to the Notice 
Address, Attn: Name Change. 

19. Access to Financial Data. While the Account is open, you must provide us and our 
service providers access to financial data in all material financial accounts held in your 
name (e.g., bank accounts, credit card accounts, etc.) by inputting your login credentials 
and linking such accounts on the Petal Website. Access to your financial data does not 
give us the right to initiate a preauthorized transfer; we must obtain such authorization 
separately, and you are not required to provide us such authorization as a condition of 
opening or using this Card. You promise to keep login credentials up-to-date and to 
update the linked bank accounts on the Petal Website as login credentials change or 
new accounts are opened. We promise to use the information in such financial accounts 
in compliance with our Privacy Policy and all applicable laws. 

20. Credit Reporting. You authorize us to obtain information from you and to make 
whatever inquiries we consider necessary and appropriate (including requesting 
consumer reports from consumer reporting agencies and data from your bank, wealth 
manager or other financial services provider) in considering your Application and for any 
lawful purpose, including any updates, renewals or extensions of credit, reviewing or 
collecting your Account or determining your eligibility for future credit or other offers that 
we believe may be of interest to you. Upon your request to us, we will inform you of the 
name and address of any consumer reporting agency that provides us a consumer 
report relating to you. We may also furnish information concerning you and your 
Account to other creditors, other financial institutions and credit bureaus. Late 
payments, missed payments, returned payments or other defaults on your 

 
 
 
Account may be reflected in your credit report. 

21. Inaccurate Information. You have the right to dispute the accuracy of information 
we have reported to a credit bureau. If you think any information about your Account 
that we have reported is incorrect, please write us at the Notice Address, Attn: Credit 
Reporting. Include your name, address, Account Number, phone number and a brief 
description of the issue. If available, please include a copy of the credit report in 
question. You may also contact us at the email or phone number on your statement. We 
will research your issue and will let you know if we agree or disagree with you. If we 
agree with you, we will contact the consumer reporting agency we reported to and 
request a correction. 

22. Identity Theft. If you believe that you have been the victim of identity theft in 
connection with your Account or in connection with any other loan or extension of credit 
made by us, you can request an Identity Theft Form by calling toll free 1-855-697-3825 
or writing to Petal at the Notice Address, Attn: Identity Theft. You should send us a 
police report and written statement in the form we provide you alleging that you are the 
victim of identity theft for a specific debt. Once we receive your documentation, we will 
cease debt collection activity until we have reviewed the materials, determined that the 
debt is still collectible, complied with all obligations described in the Billing Rights Notice 
below and sent you a written notice describing the basis for our determination. 

23. Military Lending Act. Federal law provides important protections to members of the 
Armed Forces and their dependents (“Covered Borrowers”) relating to extensions of 
consumer credit. In general, the cost of consumer credit to a Covered Borrower may not 
exceed an APR of 36%. This rate must include, as applicable to the credit transaction or 
account, the costs associated with credit insurance premiums, fees for ancillary 
products sold in connection with the credit transaction, any application fee charged 
(other than certain application fees for specified credit transactions or accounts) and 
any participation fee charged (other than certain bona fide and participation fees for a 
credit card account). To hear disclosures related to the Military Lending Act, please call 
this toll-free number: 1-800-213-5794. 

24. Lost or Stolen Cards. If your Card is lost or stolen or if you think someone may be 
using your Card or Account without your permission, you must notify us promptly by 
calling 1-855-697-3825. You will not be liable for any unauthorized use that occurs after 
you notify us.  You may, however, be liable for unauthorized use that occurs before 
receipt of your notice by us. 

25. Governing Law. Except as provided in the Arbitration Agreement below, this 
Agreement and your Account are governed by federal law and, to the extent state law 
applies, the laws of the State of Utah without regard to its conflicts of law principles. 

26. Severability. Subject to the Arbitration Agreement: (a) if any part of this Agreement 
conflicts with applicable law, that law will control, and this Agreement will be considered 
changed to the extent necessary to comply with that law; and (b) if any part of this 

 
 
 
 
 
 
Agreement is determined by a court of competent jurisdiction to be invalid, the 
remainder of this Agreement will remain in effect. 

27. Bankruptcy. You promise that you are not a debtor under any proceeding in 
bankruptcy, have not consulted a bankruptcy attorney in the past six months and have 
no current intention of filing a petition for relief under the United States Bankruptcy 
Code. All bankruptcy notices and related correspondence to us must be sent to Petal at 
the Notice Address, Attn: Bankruptcy Notice.   

28. Notice and Cure. Prior to initiating a lawsuit or arbitration regarding a legal dispute 
or claim relating in any way to this Agreement, the Account or the Card (as more fully 
defined in the Arbitration Clause, a “Claim”), the party asserting the Claim (the 
“Claimant”) must give the other party (the “Defending Party”) written notice of the Claim 
(a “Claim Notice”) in accordance with the notice provisions of this Agreement 
(see Section 18). Any Claim Notice you send must be addressed to the Notice Address, 
Attn: Legal Claim, and must provide your Account Number and phone number. Any 
Claim Notice must explain the nature of the Claim and the relief that is demanded. The 
Claimant must reasonably cooperate in providing any information about the Claim that 
the Defending Party reasonably requests and must give the Defending Party a 
reasonable opportunity, not less than 30 days, to resolve the Claim on an individual 
basis. 

 29. Waiver of Right to Class Actions. NO CLASS ACTIONS. YOU AGREE AND 
ACKNOWLEDGE THAT PURSUANT TO UTAH CODE ANN. § 70C-4-105 YOU ARE 
WAIVING YOUR RIGHT TO INITIATE OR PARTICIPATE IN A CLASS ACTION 
RELATED TO THIS AGREEMENT. 

30. Waiver of Right to Trial by Jury. YOU AND WE ACKNOWLEDGE THAT THE 
RIGHT TO TRIAL BY JURY IS A CONSTITUTIONAL RIGHT BUT MAY BE WAIVED 
IN CERTAIN CIRCUMSTANCES. TO THE EXTENT PERMITTED BY LAW. YOU AND 
WE KNOWINGLY AND VOLUNTARILY WAIVE ANY RIGHT TO TRIAL BY JURY IN 
THE EVENT OF LITIGATION ARISING OUT OF OR RELATED TO THIS 
AGREEMENT. THIS JURY TRIAL WAIVER SHALL NOT AFFECT OR BE 
INTERPRETED AS MODIFYING IN ANY FASHION THE ARBITRATION CLAUSE, 
WHICH CONTAINS ITS OWN SEPARATE JURY TRIAL WAIVER. 

31. Entire Agreement. You acknowledge that this Agreement constitutes the entire 
agreement between you and us with respect to the Account and the Card. This 
Agreement supersedes and may not be contradicted by evidence of any prior or 
contemporaneous written or oral communication or understanding between you and us 
concerning the Account or the Card. If we offer or provide rewards in connection with 
the Account, the disclosures relating to such rewards are separate and not part of this 
Agreement. 

32. Customer Privacy. Our privacy policy is provided separately in accordance with 
applicable law and can be viewed online at https://www.petalcard.com/privacy-policy. 

 
 
 
 
 
 
33. Assignment. We may at any time and without notice to you, sell, pledge or transfer 
this Agreement or any Account balances to any party at any time. If we do so, then the 
purchaser, pledgee or transferee will succeed to all our applicable rights and 
responsibilities. You may not assign or transfer this Agreement or any of your rights and 
obligations under this Agreement.  Any such assignment or transfer by you will be void. 

34. Change of Terms. Subject to applicable law, we may at any time change, add to or 
delete terms and conditions of this Agreement, including interest rates and this Change 
of Terms provision. Such changes may be based on our anti-fraud policies and 
procedures, your level of compliance with this Agreement, your credit score, other 
information contained in your credit report, prevailing economic conditions and/or any 
other factors. We will give you notice of any change, addition or deletion as required by 
applicable law. As of the effective date, the changed terms, at our option, will apply to 
new purchases and the outstanding balances of your Account, to the extent permitted 
by applicable law. 

35. Special Offers and Payment Plans. At our discretion, we may make special offers 
to you at any time. Such offers may apply to all purchases or balances on your Account, 
or only to some purchases or balances. We will provide to you the terms of any special 
offer and tell you how they differ from this Agreement. Except as provided in any special 
offer, the rest of this Agreement will still apply to your Account. These offers may 
include payment plans and skip payment offers. We may make special offers to certain 
cardholders and not others based on eligibility criteria established in our sole discretion. 
The availability of such an offer to certain cardholders shall not require that the offer be 
made available to all cardholders. 

36. Recurring Purchases. You may authorize a merchant to initiate purchases on a 
recurring basis to your Account. Upon the issuance by us of a new Card with a new 
Account number or expiration date, you may need to provide the merchant with such 
updated information in order to continue the recurring transactions. However, you 
authorize us to provide updated information to the merchant at our discretion. You must 
contact the merchant if you want to cancel automatic billing. 

37. Check Conversion Notification; Electronic Check Re-Presentment If you provide 
a check as payment, you authorize us either to use information from your check to 
make a one-time electronic fund transfer from your bank account or to process the 
payment as a check transaction. When we use information from your check to make an 
electronic funds transfer, funds may be withdrawn from your bank account as soon as 
the same day we receive your payment, and you will not receive your check back from 
your financial institution. In the event a check is returned unpaid for insufficient or 
uncollected funds, we may re-present the check electronically. 

38.  Foreign Currency Transactions.  If you make a transaction using your Account in 
a foreign currency (including, for example, online purchases from a merchant located 
outside of the U.S.), the credit card association will convert any transaction in foreign 

 
 
 
 
 
 
currency into U.S. dollars using an exchange rate for the applicable central processing 
date that is (1) selected by the association from the range of rates available in 
wholesale currency markets, which rate may vary from the rate the association 
receives, or (2) the government mandated rate. The conversion rate you get may differ 
from the rate on the transaction date or the posting date, and from the rate that the 
credit card association gets. A merchant or other third party may convert a transaction 
into U.S. dollars or another currency, using a rate they select, before sending it to the 
credit card association. 

39. Headings. The section headings of this Agreement are inserted only for 
convenience and are in no way to be construed as substantive parts of this 
Agreement. 

ARBITRATION CLAUSE—EXHIBIT A 

We have put this Arbitration Clause (“Clause”) in question and answer form to make it 
easier to understand. However, this Clause is part of this Agreement and is legally 
binding. For purposes of this Clause, our Notice Address is: Petal Card, Inc., Attn: Petal 
Legal Department, MSC – 166931, P.O. Box 105168, Atlanta, GA 30348-5168. 

Background and Scope. 

Question 

What is arbitration? 

Short Answer 

An alternative to a court case 

Futher Detail 

In arbitration, a third party arbitrator (“TPA”) resolves “Claims” (as defined below) in a 
hearing. It is less formal than a court case. 

Question 

Is it different from court and jury trials? 

 
 
 
 
Short Answer 

Yes 

Futher Detail 

The hearing is private. There is no jury. It is usually less formal, faster and less 
expensive than a lawsuit. Pre-hearing fact finding (called “discovery”) is limited. Appeals 
are limited. Courts rarely overturn arbitration awards. 

Question 

Can you opt-out of this Clause? 

Short Answer 

Yes, within 30 days 

Futher Detail 

If you do not want this Clause to apply, you must send us a signed notice within 30 
calendar days after you agree to this Agreement. You must send the notice in writing 
(and not electronically) to our Notice Address, Attn. Arbitration Opt-Out Notice. Provide 
your name, address and date. State that you “opt out” of the arbitration clause. 

Question 

Can you opt-out of this Clause? 

Short Answer 

The parties' agreement to arbitrate Claims 

Futher Detail 

Unless you are a member of the Armed Forces or a dependent of such a member, 
protected by the MLA (a “Covered Borrower”) or unless you opt out, you and we agree 
that any party may elect to arbitrate or require arbitration of any "Claim" as defined 
below. 

Question 

Who does the Clause cover? 

Short Answer 

You, us, Petal and certain "Related Parties" 

Futher Detail 

This Clause governs you, us and our “Related Parties": (1) Petal; (2) our and Petal’s 
parents, subsidiaries, affiliates, assigns and successors; (3) employees, directors, 
officers, shareholders, members and representatives of ours or such other entities; and 
(4) any person or company that is involved in a Claim you pursue at the same time you 
pursue a related Claim against the Bank or Petal. However, this Clause does not 
apply if you are a Covered Borrower. 

Question 

What Claims does the Clause cover? 

Short Answer 

All Claims (except certain Claims about this Clause) 

Futher Detail 

This Clause governs all “Claims” that would usually be decided in court and are 
between the Bank or any Related Party and you. In this Clause, the word “Claims” has 
the broadest reasonable meaning. It includes contract and tort (including intentional tort) 
claims and claims under constitutions, statutes, ordinances, rules and regulations. It 
includes all claims even indirectly related to the Card or Account, your application for 
the Account, this Agreement or our relationship with you. It includes claims related to 
collections, privacy and customer information. It includes claims related to the validity in 
general of this Agreement. However, it does not include Claims about the validity, 
coverage or scope of this Clause or any part of this Clause. All such Claims are 
for a court and not the TPA to decide. 

Question 

Who handles the arbitration? 

Short Answer 

Usually AAA or JAMS 

Futher Detail 

Arbitrations are conducted under this Clause and the rules of the arbitration company in 
effect at the time the arbitration is commenced. However, arbitration rules that conflict 
with this Clause do not apply. The arbitration company will be either: 

-- The American Arbitration Association ("AAA"), 1633 Broadway, 10th Floor, New York, 
NY 10019, www.adr.org. 

-- JAMS, 620 Eighth Avenue, 34th Floor, New York, NY 10018, www.jamsadr.com. 

-- Any other company picked by agreement of the parties. 

If all the above options are unavailable, a court will pick the arbitration company. No 
arbitration brought on a class basis may be administered without our consent by 
any arbitration company that would permit class arbitration under this 
Clause. The TPA will be selected under the arbitration company's rules. However, the 
arbitrator must be a lawyer with at least ten years of experience or a retired judge 
unless you and we otherwise agree. 

Question 

Can Claims be brought in court? 

Short Answer 

Sometimes 

Futher Detail 

You or we may bring a lawsuit if the other party does not demand arbitration. We will not 
demand arbitration of any lawsuit you bring as an individual action in small-claims court. 
However, we may demand arbitration of any appeal of a small-claims decision or any 
small-claims action brought on a class basis. 

 
 
 
 
Question 

Are you giving up any rights? 

Short Answer 

Yes 

Futher Detail 

For Claims subject to this Clause, you give up your right to: 

1. Have juries decide Claims. 
2. Have courts, other than small-claims courts, decide Claims. 
3. Serve as a private attorney general or in a representative capacity. 
4. Join a Claim you have with a Claim by other consumers. 
5. Bring or be a class member in a class action or class arbitration. 

We also give up the right to a jury trial and to have courts decide Claims you wish 
to arbitrate. 

Question 

Can you or another consumer start class arbitration? 

Short Answer 

No 

Futher Detail 

The TPA is not allowed to handle any Claim on a class or representative basis. All 
Claims subject to this Clause must be decided in an individual arbitration or an 
individual small-claims action. This Clause will be void if a court rules that the TPA can 
decide a Claim on a class basis and the court's ruling is not reversed on appeal. 

Question 

What happens if part of this Clause cannot be enforced? 

 
 
Short Answer 

It depends. 

Futher Detail 

If any portion of this Clause cannot be enforced, the rest of this Clause will continue to 
apply, except that: 

(A)  If a court rules that the TPA can decide a Claim on a class or other representative 
basis and the court's ruling is not reversed on appeal, only this sentence will apply and 
the remainder of this Clause will be void.  AND 

(B)  If a party brings a Claim seeking public injunctive relief and a court determines that 
the restrictions in this Clause prohibiting the TPA from awarding relief on behalf of third 
parties are unenforceable with respect to such Claim (and that determination becomes 
final after all appeals have been exhausted), the Claim for public injunctive relief will be 
determined in court and any individual Claims seeking monetary relief will be 
arbitrated.  In such a case the parties agree to request that the court stay the Claim for 
public injunctive relief until the arbitration award pertaining to individual relief has been 
entered in court. 

In no event will a Claim for class relief or public injunctive relief be arbitrated. 

Question 

What law applies? 

Short Answer 

The Federal Arbitration Act (“FAA”) 

Futher Detail 

This agreement involves interstate commerce. Thus, the FAA governs this Clause. The 
TPA must apply substantive law consistent with the FAA. The TPA must honor statutes 
of limitation and privilege rights. Punitive damages are governed by the constitutional 
standards that apply in judicial proceedings. 

Question 

 
 
 
Will anything you do make this Clause ineffective? 

Short Answer 

No 

Futher Detail 

This Clause stays in force even if: (1) this Agreement ends; or (2) we transfer or assign 
our rights under this Agreement. 

BILLING-ERROR RIGHTS NOTICE—EXHIBIT B 

What To Do If You Think You Find A Mistake On Your Statement 

If you think there is an error on your statement, write to us at: 

WebBank, c/o Petal Card, Inc., MSC – 166931, P.O. Box 105168, Atlanta, GA 30348-
5168, Attn: Billing Dispute. 

You also may send us an email to support@petalcard.com with the subject line 
“DISPUTE”. 

In your letter, give us the following information: 

• Account information: Your name and account number. 
• Dollar amount: The dollar amount of the suspected error. 
• Description of Problem: If you think there is an error on your bill, describe what you 
believe is wrong and why you believe it is a mistake. 

You must contact us within 60 days after the error appeared on your statement. 

You must notify us of any potential errors in writing or electronically. You may call us, 
but if you do we are not required to investigate any potential errors and you may have to 
pay the amount in question. 

While we investigate whether or not there has been an error, the following are true: 

• We cannot try to collect the amount in question, or report you as delinquent on that 
amount. 

• The charge in question may remain on your statement, and we may continue to 
charge you interest on that amount. But, if we determine that we made a mistake, you 
will not have to pay the amount in question or any interest or other fees related to that 
amount. 

 
 
 
 
 
 
 
 
 
 
 
• While you do not have to pay the amount in question, you are responsible for the 
remainder of your balance. 

• We can apply any unpaid amount against your credit limit. 

Your Rights If You Are Dissatisfied With Your Credit Card Purchases 

If you are dissatisfied with the goods or services that you have purchased with your 
credit card, and you have tried in good faith to correct the problem with the merchant, 
you may have the right not to pay the remaining amount due on the purchase. 

To use this right, all of the following must be true: 

1. The purchase must have been made in your home state or within 100 miles of your 
current mailing address, and the purchase price must have been more than $50. (Note: 
Neither of these is necessary if your purchase was based on an advertisement we 
mailed to you, or if we own the company that sold you the goods or services.) 

2. You must have used your credit card for the purchase. To the extent we offer them, 
purchases made with cash advances from an ATM or with a check that accesses your 
credit card account do not qualify. 

3. You must not yet have fully paid for the purchase.If all of the criteria above are met 
and you are still dissatisfied with the purchase, contact us in writing or electronically at: 

WebBank, c/o Petal Card, Inc., MSC – 166931, P.O. Box 105168, Atlanta, GA 30348-
5168, Attn: Billing Dispute. 

You also may send us an email to support@petalcard.com with the subject line 
“DISPUTE”. 

While we investigate, the same rules apply to the disputed amount as discussed above. 
After we finish our investigation, we will tell you our decision. At that point, if we think 
you owe an amount and you do not pay we may report you as delinquent. 

STATE NOTICES—EXHIBIT C 

Residents of All States:NOTICE TO THE APPLICANT - 1. DO NOT SIGN THIS 
CREDIT AGREEMENT BEFORE YOU READ IT OR IF IT CONTAINS BLANK 
SPACES. 2. YOU ARE ENTITLED TO A COMPLETELY FILLED IN COPY OF THIS 
CREDIT AGREEMENT AND AN EXACT COPY OF THE PAPER YOU SIGN. 3. YOU 
MAY AT ANY TIME PAY MORE THAN THE MINIMUM PAYMENT, OR YOUR ENTIRE 
BALANCE IN FULL WITHOUT INCURRING ANY ADDITIONAL CHARGE FOR 
PREPAYMENT. 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cardmembers: Your signature (including any digital or electronic signature), address 
and the date on the application, or other evidence of indebtedness, or your acceptance 
of these Terms and Conditions through an electronic transmission to us represents your 
signature, address and the date on these Terms and Conditions, which are incorporated 
herein by reference. 

Residents of All States, including California, New York, Rhode Island, Utah and 
Vermont: You give us and our agents, successors, and assigns permission to access 
your credit report in connection with any transaction, or extension of credit, and on an 
ongoing basis, for the purpose of reviewing this Account, taking collection action on this 
Account, or for any other legitimate purposes associated with this Account. Upon your 
request, you will be informed of whether or not a consumer credit report was ordered, 
and if it was, you will be given the name and address of the consumer reporting agency 
that furnished the report. As required by law, you are hereby notified that a negative 
credit report reflecting on your credit record may be submitted to a credit reporting 
agency if you fail to fulfill the terms of your credit obligations. 

Residents of All States, including Iowa, Maine, Missouri, Nebraska, Oregon, 
Texas, Utah and Washington: ORAL AGREEMENTS OR COMMITMENTS TO LOAN 
MONEY, EXTEND CREDIT OR TO FORBEAR FROM ENFORCING REPAYMENT OF 
A DEBT, INCLUDING PROMISES TO EXTEND OR RENEW SUCH DEBT, ARE NOT 
ENFORCEABLE. TO PROTECT YOU (BORROWER) AND US (CREDITOR) FROM 
MISUNDERSTANDING OR DISAPPOINTMENT, ANY AGREEMENTS WE REACH 
COVERING SUCH MATTERS ARE CONTAINED IN THIS WRITING, WHICH IS THE 
COMPLETE AND EXCLUSIVE STATEMENT OF THE AGREEMENT BETWEEN US, 
EXCEPT AS WE MAY LATER AGREE IN WRITING TO MODIFY IT. 

California Residents: Married applicants may apply for separate accounts. 

Delaware, Maryland and Oregon Residents: Service charges not in excess of those 
permitted by law will be charged on the outstanding balances from month to month. You 
may pay more than the minimum payment due, up to your entire outstanding balance, 
at any time. 

Idaho Residents:  We will not seek to collect attorneys’ fees in situations where the 
principal balance is $1000.00 or less. 

Illinois Residents: (a) No applicant may be denied a credit card on account of race, 
color, religion, national origin, ancestry, age, sex, marital status, physical or mental 
handicap unrelated to the ability to pay or unfavorable discharge from military service; 
(b) the applicant may request the reason for rejection of his or her application for a 
credit card; (c) no person need reapply for a credit card solely because of a change in 
marital status unless the change in marital status caused a deterioration in the person’s 
financial position; and (d) a person may hold a credit card in any name permitted by law 
that he or she regularly uses and is generally known by, so long as no fraud is intended 

 
 
 
 
 
 
 
thereby. 

Maryland Residents: You have the right under Section 12-510 of the Commercial Law 
Code to receive an answer to a written inquiry concerning the status of your Account. 
Finance charges will be imposed in amounts or at rates not in excess of those permitted 
by law. 

New Hampshire Residents: You shall be awarded reasonable attorney's fees if you 
prevail in any legal action you bring against us or we bring against you. If you 
successfully assert a partial defense, set-off or counterclaim against us in an action we 
bring against you, the court or arbitrator may withhold from us the entire amount or such 
portion of the attorney's fees as it considers equitable. You or your attorney may file a 
complaint with the New Hampshire Commissioner of Banking, State of New Hampshire 
Banking Department, 53 Regional Drive, Suite 200, Concord NH 03301. Instructions for 
filing complaints can be found on the Commissioner's website at 
www.nh.gov/banking/consumer-assistance/complaint.htm. 

New Jersey Residents: Because certain provisions of the Agreement are subject to 
applicable laws, they may be void, unenforceable or inapplicable in some jurisdictions. 
None of these provisions, however, is void, unenforceable or inapplicable to New Jersey 
residents. The section headings in this Agreement serve as a Table of Contents and not 
contract terms. 

New York Residents: New York residents may contact the New York State Department 
of Financial Services to obtain a comparative listing of credit card rates, fees and grace 
periods by calling 1-800-342-3736, or on the web at www.dfs.ny.gov. 

Ohio Residents: The Ohio laws against discrimination require that all creditors make 
credit equally available to all creditworthy customers, and that credit reporting agencies 
maintain separate credit histories on each individual upon request. The Ohio Civil 
Rights Commission administers compliance with this law. 

Washington Residents: In accordance with the Revised Code of Washington Statutes, 
Section 63.14.167, you are not responsible for payment of interest charges that result 
solely from a merchant's failure to transmit to us within seven working days a credit for 
goods or services accepted for return or forgiven if you have notified us of the 
merchant's delay in posting such credit, or our failure to post such credit to your account 
within three working days of our receipt of the credit. 

Married Wisconsin Residents: If you are married: (i) you confirm that this Account is 
being incurred in the interest of your marriage or family; (ii) no provision of any marital 
property agreement, unilateral statement, or court decree under the Wisconsin Marital 
Property Act will adversely affect a creditor's interest unless, before the time credit is 
granted, the creditor is furnished a copy of that agreement or decree or is given 
complete information about the agreement or decree; (iii) you understand and agree 
that we will provide a copy of this Agreement to your spouse for his or her 

 
 
 
 
 
 
 
information.  If the Account for which you are applying is granted, you will notify us if you 
have a spouse by sending your name and your spouse's name and address to us 
at WebBank, c/o Petal Card, Inc., MSC – 166931, P.O. Box 105168, Atlanta, GA 
30348-5168. 

Married Wisconsin Residents: If you are applying for individual credit or joint credit 
with someone other than your spouse, and your spouse also lives in Wisconsin, 
combine your financial information with your spouse's financial information.