The idea of wholesaling is to find a deal on a property that needs some fix-up and then sell it to someone who rehabs properties. There are two ways to do it, if you don’t have the resources to close then you are “assigning” your contract before closing. The other way that is common is to close on the property and sell it to a rehabber (sometimes while offering financing to them).
Credit doesn’t come into play at all if you are assigning it. You simply write a contract with the owner who is not going to be checking your credit.
The risks are minimal because if you don’t find a buyer you should have ways out of your contract or at the very least give up your earnest money. In fact, I even put that expectation up front when I write the contract. I tell them I’m working to find a buyer and if I can’t you keep my earnest money as the sole remedy for default.
Wholesaling is good way to start investing because the risks are lower.
I think the biggest hurdle in getting started is actually signing your name on a contract. As long as you give yourself an out, you’re good. Typical “outs” are the contract subject to “partner’s approval” and your partner would be who you’re trying to flip to.