The infamous Chase 5/24 rule is one of the most important rules to know about when it comes to applying for new credit cards. But what exactly is the Chase 5/24 rule and which cards are subject to this rule?
This article will explain everything you need to know about the Chase 5/24 rule including all of its many exceptions and how certain things are affected like business credit cards and authorized user accounts.
I’ll show you a few ways how to get around the rule and also give you some strategy pointers on how to go about dealing with 5/24.
Table of Contents
What is the Chase 5/24 rule?
The Chase 5/24 rule means that if you have opened up five or more credit accounts (i.e, credit cards) in the past 24 months you will be denied for all Chase cards.
This includes accounts opened up across all banks so you count all of your Chase cards opened up plus all of the accounts opened up with other credit card issuers, such as American Express, Citi, Barclays, etc.
When was the Chase 5/24 rule implemented?
The Chase 5/24 rule was originally put into place in June of 2015.
I have a special memory of the Chase 5/24 rule because it was when I was first getting really deep into credit cards, and I remember wondering why so many people were talking about this obscure rule.
The rule was not welcomed but it really shook things up in May of 2016 when it was extended to many co-branded credit cards, such as the Southwest, British Airways, and United cards. And then things really got shaken up in 2018 when the rule was extended to all credit cards issued by Chase!
Does Chase officially recognize the 5/24 rule?
Chase does not officially recognize the 5/24 rule but they “leaked” it out in their terms for a short while in 2016.
Their terms once stated:
“You will not be approved for this card if you have opened 5 or more bank cards in the past 24 months.”
But the language was removed from the page very shortly after it appeared.
I don’t think anyone doubts that it’s an official Chase policy, though. The data points are simply too convincing.
Why does the 5/24 rule matter?
The Chase 5/24 rule is a big deal because Chase has some of the best credit cards available and they are subject to the 5/24 restriction.
So if you go out and open up five or more cards in a short amount of time, you won’t be able to get approved for some of the top travel rewards credit cards for quite some time. That’s a major bummer for many people.
You’ll also get hit with an unnecessary hard inquiry on your credit report if you apply and are above 5/24 so knowing about it is a good way of preserving your credit score.
What Chase cards are subject to the Chase 5/24 rule?
Every Chase card is now affected by the rule and here is a list of popular cards you can expect to be impacted by the rule.
- AARP Credit Card From Chase
- Aer Lingus Visa Signature Credit Card
- Amazon Prime Rewards Visa Signature Card
- Chase Sapphire Reserve
- Chase Sapphire Preferred
- Chase Freedom
- Chase Freedom Unlimited
- Chase Slate
- Chase Ink Business Preferred
- Chase Ink Business Cash
- Chase Ink Business Unlimited
- Marriott Bonvoy Bold
- Marriott Bonvoy Boundless
- Marriott Bonvoy Premier Plus Business Credit Card
- Southwest Rapid Rewards Plus Credit Card
- Southwest Rapid Rewards Premier Credit Card
- Southwest Rapid Rewards Performance Business Credit Card
- Southwest Rapid Rewards Premier Business Credit Card
- Southwest Priority Card
- United MileagePlus Club Card
- United MileagePlus Club Business Card
- United MileagePlus Explorer Card
- United MileagePlus Explorer Business Card
- Starbucks Rewards Visa Card
- British Airways Visa Signature Card
- Disney Premier Visa Card
- Disney Visa Card
- The Hyatt Credit Card
- The World of Hyatt card
- Iberia Visa Signature Credit Card
- IHG Rewards Club Premier Credit Card
- IHG Rewards Club Traveler Credit Card
“Count towards” vs “being subject to”
There is a lot of confusion about what it means for cards to count towards the 5/24 rule vs being subject to the Chase 5/24 rule.
If a card counts toward the 5/24 rule that means that you will include that card when counting all of your opened accounts and determining your 5/24 status.
If a card is subject to the 5/24 rule that means that in order to be approved for that credit card, you’ll need to have under 5 cards opened in the past 24 months.
This is a key distinction and many people get confused by it so make sure that you got it down.
What counts towards 5/24? (FAQ)
Do credit cards count towards 5/24?
Credit cards are the primary accounts that count towards your 5/24 status and Chase counts credit cards from all banks. This means that your credit cards from other banks like American Express, Citibank, etc. will count towards your 5/24 status.
Do small business credit cards count towards 5/24?
Most business credit cards from major issuers will not count towards your 5/24 status, such as those from American Express and Citibank. However, business cards opened with banks like Capital One will report to your personal report.
Here are some of the issuers that are known for their business cards NOT counting towards your 5/24 status:
- American Express
- US Bank
- Wells Fargo
Here are some issuers that are known for their business cards counting towards your 5/24 status:
- Capital One
But you also need to remember that inquiries from your small business credit card applications will still show up on your credit report.
Sometimes Chase can deny you for too many recent inquiries so even though some business cards won’t report to your personal credit report, you should still space out your credit card applications.
Giving yourself 90 days between apps is generally a good way to start, although some like to provide an even larger buffer.
Do authorized user accounts count towards 5/24?
Yes, but as discussed below there are exceptions.
Do charge cards count towards 5/24?
Yes, charge cards count against your 5/24 status.
Do store cards count towards 5/24?
It can get a little tricky when it comes to store credit cards. If your store credit card is on the Visa or Mastercard payment network (if it has the logos on the card), then that card will likely count towards your 5/24 status.
On the other hand, if your card can only be used at a store then there’s a chance it might not count toward your 5/24 status.
Do pre-paid cards count towards 5/24?
No, pre-paid accounts like Serve do not count towards your 5/24 status.
Do home loans/mortgages count towards 5/24?
Generally, no, home loans should not count towards your 5/24 status because they are installment loans.
Do auto loans count towards 5/24?
Generally, no, auto loans should not count towards your 5/24 status because they are installment loans.
Do student loans count towards 5/24?
Generally, no, student loans should not count towards your 5/24 status because they are installment loans. I have heard reports of student loans counting but in my personal experience, my student loans did not count.
How to calculate your 5/24 status
Figuring out your 5/24 status is not very difficult at all. The easiest way to do it will be to sign up for WalletFlo when it is launched and it will be automatically calculated for you.
But until then, here’s how you can do it:
Step 1: Pull up your credit report
Chase will often pull from Experian and one other credit bureau but it’s often difficult to predict so it’s best to just review all of your credit reports.
Step 2: Add up accounts based on the above criteria
Considering the information above, review your account history and see when the opening dates were for your last five accounts that count towards 5/24.
Now find the fifth most recent account and that will be the key account to focus on.
Tip: Many credit reports will allow you to sort your accounts by date.
Step 3: Determine the exact date
Next, you need to determine the date that Chase will use to calculate your 5/24 status.
There are many reports out there of Chase calculating 5/24 eligibility differently. Here are the different methods that I have seen:
In some cases, your 5/24 status could be calculated based on the exact date that you opened the account. For example, if your account was opened on August 9, 2019, your 5/24 status would reset on August 9, 2021.
Beginning of anniversary month
In some cases, your 5/24 status could be calculated based on the beginning of the anniversary month that you opened the account. For example, if your account was opened on August 9, 2019, your 5/24 status would reset on August 1, 2021.
1st of the month after anniversary month
In some cases, your 5/24 status could be calculated based on the 1st of the month after the anniversary month that you opened the account. For example, if your account was opened on August 9, 2019, your 5/24 status would reset on September 1, 2021.
The timeframe for this calculation could depend on a couple of factors.
First, it is possible that depending on the credit bureau that Chase pulls, the calculation date could be the first of the month or the exact anniversary date. This could be because Experian reports your accounts as opening on the first day of the month in which they were opened.
Sometimes this could possibly come down to the agent’s discretion. In that case, you want to leave no doubt whatsoever about your compliance with this rule.
So to be on the safe side, I recommend to simply add 31 days from the day that you opened up your account. For example, if your account was opened on August 9, 2019, your 5/24 status would reset on September 9, 2021.
That seems to be the safest bet.
Exceptions to 5/24
There are a few exceptions to the Chase 5/24 rule.
Unfortunately, Chase has closed many of the loopholes and exceptions to the 5/24 rule over the past couple of years so there are not as many. Something else to consider is that these exceptions seem to be always changing. These things are very YMMV, so you don’t always know what to expect.
Authorized user accounts
If you have been added as an authorized user, that account will count towards your 5/24 status in many cases.
However, you can call into Chase reconsideration and explain to them that you are merely an authorized user and they will often disregard your authorized user status.
But note that this is usually only the case for one single authorized user account.
If you have multiple authorized user accounts then it is probably a better idea to just remove those authorized user accounts from your credit report. You can do that by requesting the primary user to remove you or by contacting the bank yourself.
You can also file disputes on your credit report but note that sometimes it can take a little bit of time for these cards to be removed.
Chase business cards
Chase usually does not count its own business credit cards when determining your 5/24 status. So if you open up a Chase Ink Business Preferred or Chase Ink Business Cash that won’t affect your status.
Chase business manager
For business cards, applying with a “business relationship manager” (BRM) might be able to allow you to get around the 5/24 rule.
You may have to send in a paper or fax application through the BRM but you might also be able to apply for an even higher offer. These account managers are generally reserved for those bringing in substantial revenue via their business but not always. If you run a business, then it probably would not hurt to inquire with your bank about applying with a paper or fax application.
You can get pre-approved in branch for certain cards and circumvent 5/24. (Sometimes these in-branch pre-approvals even result in higher targeted offers, too.)
You can check for pre-approvals for the following credit cards:
- Chase Freedom
- Chase Freedom Unlimited
- Chase Sapphire Preferred
- United Explorer
- United Club
- Chase Ink Business Preferred
- Chase Ink Business Cash
- United Explorer
“Selected Offers for You”
“Selected Offers for You” are special offers you can find when you log into Chase that sometimes allow you to get around the 5/24 rule.
You can check your “Selected Offers for You” when logging into your Chase account for offers that might allow you to get around 5/24.
Sometimes there is a little green checkmark you can find that indicates a special offer. If you are looking at your business cards, the special offer might have a black star.
Other special offers
It is possible that you could come across other types of special offers like the ones we recently found in the United app.
In the past personal invitations and mailers from Chase with application codes allowed some people to get around 5/24. However, there are data points now of people getting denied based on too many accounts even with these invitations.
So I would proceed with caution if relying on this method.
It’s possible to randomly get around 5/24.
Nobody knows how or why this happens but some people apparently just get very lucky and they are not denied even though are above 5/24.
Exceptions that no longer work
There are a few exceptions that used to allow you to circumvent 5/24 but not any longer.
Chase Private Client
Chase Private Client used to allow you to get around the 5/24 rule but that’s no longer the case now.
What if I’m at 4/24?
Some people find out that they are 4/24 and decide that they want to try to double-dip and apply for two Chase cards at the same with the hopes that 5/24 won’t instantly kick in. This worked in the past but has caused issues for a lot of applicants recently so I don’t recommend it unless you really know what you’re doing.
Are there other Chase application rules?
The Chase 5/24 rules is unfortunately not the only rule that you need to be aware of when applying.
The other major rule is the Chase 2/30 rule.
This is a rule that prohibits you from being approved for more than two credit cards within a rolling 30 day period. Some people have gotten around this rule in the past but I would never recommend applying for three Chase cards at once or even within a 30 day window.
Chase has become increasingly aggressive with shutting down and flagging accounts where customers have applied for many of their cards, so it’s best to play it conservatively.
Also note, that many people are not allowed more than one card in a 30 day period. This is especially true for business credit cards.
Chase states that cards are available to you only if you do not have the card you are applying for.
So for example if you already hold the Sapphire Preferred, you’d have to cancel that card before applying for it again.
The Chase 24 month rule
Chase will only allow you to receive a sign-up bonus for a given product every 24 months.
They state in their terms and conditions:
“This product is available to you if you do not have this card and have not received a new cardmember bonus for this card in the past 24 months”
Limiting sign-up bonuses
Chase has also been on a crusade to limit sign-up bonuses for cards within the same family.
The Southwest credit cards are a good example. It is no longer possible to receive the sign-up bonus for two personal Southwest credit cards at the same time. Now you must wait 24 months although you can still get one from the business version at the same time as the personal card.
There is also special rule that won’t allow you to receive two Sapphire bonuses within 48 months.
That rule states:
This product is available to you if you do not have any Sapphire card and have not received a new cardmember bonus for any Sapphire card in the past 48 months. If you are an existing Sapphire customer and would like this product, please call the number on the back of your card to see if you are eligible for a product change. You will not receive the new cardmember bonus if you change products.
Does 5/24 affect Chase reconsideration?
Chase reconsideration allows you to plead your case with bank reps with the hopes of convincing them to approve your credit card application.
If you are over 5/24 then, you probably still won’t be able to overturn a denial in a Chase reconsideration call (though it doesn’t hurt to try).
The exception is if you end up falling down to 4/24 after you apply for a credit card. If that’s the case, then you can call up Chase reconsideration and try to give it a shot. You can read more about Chase reconsideration tips here.
Do other banks have rules like 5/24?
More and more banks are clamping down on people who heavily pursue their credit cards and so some issuers have developed rules similar to the Chase 5/24 rule.
For example, Amex has a number of rules including the 2/90 rule which limits you to two Amex credit cards within a 90 day period.
You can read more about those here.
Bank of America
Bank of America has the 2/3/4 Rule which means that you can have:
- No more than 2 Bank of American cards in 2 months
- No more than 3 Bank of American cards i in 12 months
- No more than 4 Bank of American cards i in 24 months
It also has the “7/12 and 3/12” rule which states:
- Applicants with a BOA deposit account will not be approved if they have opened seven or more credit cards in the past 12 months.
- Applicants without a BOA deposit account will not be approved if they have opened three or more credit cards in the past 12 months
Citibank has some very specific rules for getting approved for their credit cards, including the 8/65 Rule which means that you cannot apply for more than one Citi credit card in 8 days and not more than two credit cards in 65 days.
Capital One has the 1/6 rule, which means that you can only apply for one credit card every 6 month. Any 2nd application within 6 month will be auto rejected and won’t lead in a hard pull.
Discover only allows you to hold a maximum of 2 credit cards (only 1 student card) and you cam only get 1 card every 12 months.
Other banks have rules to so always do your research before applying for credit cards.
Chase 5/24 Strategy
There are a few strategies you can incorporate to help you navigate the Chase 5/24 rule.
Go after 5/24 cards first
This is obvious but it’s worth mentioning.
You should put together a plan of what cards you value the most before you ever apply for a rewards card. I’m always amazed at people who apply for cards on such a whim with no plan (and sometimes no real desire) to earn rewards points.
If you develop a plan first, then you’ll be able to prioritize cards like the Southwest cards or the Sapphire cards and get them before you go over 5/24.
Use the 4/24 trick
Utilize the two application trick (discussed above) when you’re at 4/24.
Apply for small business credit cards
This is probably the best strategy to use. If you apply for small business credit cards like those from Amex, they will not report to your credit report.
This will allow you to continue to open up new accounts without ever affecting your 5/24 status.
At the same time, if you know that certain store cards won’t report to your credit report, you can also go that route.
Check on in-branch pre-approvals
As already mentioned, in-branch pre-approvals can allow you to get approved for certain Chase cards even when you are above 5/24.
I would periodically (every 2 to 3 months) pop in to a Chase branch and inquire about pre-approval offers if I were trying to get on board with Chase and I was over 5/24.
Utilize upgrades and product changes
Let’s say you really wanted the Sapphire Reserve.
If you’re already over 5/24 but you already hold a card like the Chase Sapphire Preferred then you can just upgrade to the Reserve without having to apply for a new credit card.
Chase won’t let you product change across brands though.
So for example if you have a Chase Southwest card you can’t product change that to a Chase Freedom or Chase Marriott card.
Amex takes a while to report cards
If for some reason you are in a crunch and you need to apply for Amex cards know that they usually take up two months to report to your credit report.
So it’s often possible to remain under 5/24 even after you’ve been approved for Amex cards for close to 60 days. That could provide you with the time needed to capitalize on special Amex offers (like the Amex Platinum 100K offer) if you needed to.
The Chase 5/24 rule makes life difficult when it comes to maximizing rewards with Chase for a lot of people.
But if you go in with a plan, it’s not actually that limiting and you can still obtain some of the best rewards cards if you play it smart.
It’s a good idea to get familiar with all of the exceptions and understand how the rule works with business credit cards and authorized users to ensure that you have a thorough understanding of the rule.
Daniel Gillaspia is the Founder of UponArriving.com and the credit card app, WalletFlo. He is a former attorney turned travel expert covering destinations along with TSA, airline, and hotel policies. Since 2014, his content has been featured in publications such as National Geographic, Smithsonian Magazine, and CNBC.