Chase’s 5/24 Rule: What You Need To Know
JA
Summary:
The 5/24 rule is a guideline that JPMorgan Chase uses when deciding whether or not to approve you for a credit card. Simply put, it stipulates that Chase may deny your application if you’ve opened more than five credit cards with any issuer in the past 24 months. While Chase has never officially or publicly announced this 5/24 policy, it’s still a well-established rule that you should be aware of before applying for a Chase credit card.
If you’re an avid credit card user or a long-time customer of Chase, you’ve probably heard of the infamous Chase 5/24 rule. It’s not technically an official policy, but it’s a well-known roadblock many credit card seekers have faced. Essentially, the rule limits the number of credit card accounts you can open within a two-year period. Notably, while most financial institutions have certain requirements you must meet to be approved for a credit card, Chase is particularly strict.
Here’s everything you need to know about the 5/24 rule, including strategies to maximize your chances of getting approved for a Chase credit card.
Compare Credit Cards
Compare the rates, fees, and rewards of leading credit cards.
What is the Chase 5/24 rule, and how does it work?
The Chase 5/24 rule is a credit card application policy that the financial institution implemented to limit the number of credit cards you can apply for within a 24-month period. According to this rule, if you’ve opened five or more credit cards from any issuer during the previous two years, Chase will automatically reject your application for certain Chase credit cards.
Note that when you apply for a Chase credit card, they’ll count the card you’re applying for as one of the five approvals. This means that, technically, you can only have four credit card approvals from other card issuers within the past two years before applying for a new Chase credit card.
How to determine if you’ve hit the 5/24 limit
So how do you know if you’ve already reached the limit of five credit card approvals — especially if you don’t usually keep track of your credit card applications?
Here’s an easy way to figure it out: Check your credit report and add up all the credit card accounts you’ve opened in the past 24 months. Even if an account is currently closed, you still need to include it if it was opened within the past two years.
If the total number of accounts opened is four or fewer, you still have at least one slot available, so you should have no problem getting approved for another Chase card (assuming you satisfy the other application requirements). Likewise, you’ll most likely be denied a new Chase card if that number is five or more.
Pro Tip
Under the Fair Credit Reporting Act, you’re entitled to one free copy of your credit reports from the three major credit bureaus — Experian, Equifax, and TransUnion — each year. You can request a free copy of your credit reports online by visiting annualcreditreport.com.
Which financial institutions use the 5/24 rule?
As of 2023, Chase is the only financial institution that’s known to enforce the 5/24 rule. Basically, when you hear about a rule against opening over five credit card accounts in the past 24 months, it means you won’t be approved specifically for a new Chase card. While this may be a bummer, the good news is that Chase isn’t your only option, as there are plenty of other credit cards that offer great benefits.
Which cards are subject to Chase’s 5/24 rule?
Though the Chase 5/24 rule has never been officially announced or documented, the general consensus is that it applies to virtually all Chase cards worth applying for. Based on crowdsourced data, the following are the Chase cards subject to the 5/24 rule as of 2023:
| Chase credit cards subject to the 5/24 rule | ||
|---|---|---|
| Chase Freedom Flex | Southwest Rapid Rewards Performance Business Credit Card | World of Hyatt Credit Card |
| Chase Freedom Unlimited | United Club Infinite Card | World of Hyatt Business Credit Card |
| Ink Business Cash Credit Card | United Business Card | Iberia Visa Signature Card |
| Ink Business Preferred Credit Card | United Quest Card | IHG Rewards Premier Credit Card |
| Ink Business Unlimited Credit Card | United Explorer Card | IHG Rewards Traveler Credit Card |
| Chase Sapphire Preferred Card | United Gateway Card | IHG Rewards Premier Business Credit Card |
| Chase Sapphire Reserve | Aer Lingus Visa Signature Card | Marriott Bonvoy Boundless Credit Card |
| Southwest Rapid Rewards Plus Credit Card | British Airways Visa Signature Card | Marriott Bonvoy Bold Credit Card |
Note that this is by no means a comprehensive list. If you can’t find your card on this list, that doesn’t automatically mean it isn’t subject to the 5/24 rule. Whenever you plan to get a new Chase credit card, assume that the 5/24 rule will apply.
What accounts won’t add to your 5/24 limit?
Generally, all personal credit cards, including retail store cards, count toward the 5/24 limit. That said, while the Chase 5/24 rule applies to personal credit cards, it isn’t affected by certain other types of accounts. The following accounts don’t count toward your 5/24 limit:
- Most business credit cards (including Chase business cards)
- Mortgages, personal loans, auto loans, and student loans
- Credit cards for which you applied but weren’t approved
Tips for navigating the Chase 5/24 rule
The Chase 5/24 rule can make diversifying your credit card catalog a bit tricky. Here are a few tips to help you navigate this rule like a pro:
- Apply for Chase cards before other cards. Chase has some of the strictest application requirements of any credit card issuer. If you’re interested in cards from a variety of financial institutions — like Capital One, Citi, and Amex — consider applying for Chase’s cards early on to avoid headaches down the line.
- Apply for Chase business cards before personal cards. Since Chase business cards don’t appear on your personal credit report the same way personal credit cards do, they typically won’t count toward your 5/24 limit. Because of this, you may want to prioritize applying for a Chase business card to avoid exceeding the five-card limit.
- Look out for targeted offers. Jonathan Merry, founder of the personal finance site Moneyzine, says, “Occasionally, Chase sends targeted credit card offers to specific individuals, even if they exceed the 5/24 limit. So keep an eye on your mailbox or email for any special offers from Chase. These targeted offers might allow you to bypass the 5/24 restriction and access your desired credit card.”
FAQ
Is there a way around Chase’s 5/24 rule?
Unfortunately, there are no definite workarounds for the Chase 5/24 rule. If you’ve already opened two Amex cards and three Citi cards within the past two years, there’s not much you can do besides waiting for one of your accounts to exceed 24 months old.
However, some cardholders have shared in online forums that they were able to bypass the 5/24 rule through targeted “Just for you” offers. To see if these offers are available, log into your Chase account, navigate to the left-hand menu bar, and check out the “Just for you” section under “Explore products.”
How do you avoid Chase’s 5/24 rule?
The simplest and most straightforward way to “avoid” the Chase 5/24 rule is to comply with it — that is, keep a close eye on the number of credit card accounts you’ve opened in the past two years and make sure it doesn’t exceed five.
Do product changes on existing cards count toward the 5/24 rule?
No, product changes won’t count toward your 5/24 limit. When you upgrade or downgrade your card to a different version within the same family of cards, it doesn’t change the total number of cards you have. And because the card number doesn’t change, it won’t count as a new card approval and take up a slot in your 5/24 limit. This means, for example, that you don’t have to worry about downgrading from a Sapphire Preferred to a Freedom Flex card.
What is the Chase Sapphire 48-month rule?
The Chase Sapphire 48-month rule means you’ll have to wait at least 48 months after earning the sign-up bonus on a Chase Sapphire card before earning it again on a new one. This is a relatively new rule compared to the Chase 5/24 rule.
Can you get a card from another bank if you’re at or over the 5/24 limit?
Yes, you can. Since the 5/24 rule only applies to Chase credit card applications, approvals for credit cards issued by other financial institutions are not affected by your card approval count. Keep in mind, of course, that other credit card issuers may have their own requirements you need to meet.
Does being an authorized user count toward the 5/24 limit?
Yes, being an authorized user on someone else’s credit card also counts toward your 5/24 limit because this information appears on your personal credit report.
Key Takeaways
- The Chase 5/24 rule limits the number of credit cards you can apply for to five cards within a 24-month period.
- If you’ve opened five or more credit cards from any issuer within the past two years, Chase will likely reject your application for a new personal credit card.
- You can figure out if you’ve hit the 5/24 limit by checking your credit report and adding up all the credit card accounts you’ve opened in the past 24 months.
- Personal credit cards typically count toward your 5/24 limit, while most business credit cards, mortgages, auto loans, student loans, and rejected credit card applications do not.
- There are no proven ways to bypass the Chase 5/24 rule, but some cardholders claim that they were able to avoid it through targeted “Just for you” offers.
If you’ve already reached the limit of five cards in 24 months and aren’t eligible for any new Chase credit cards, consider applying for cards from other credit card companies with less stringent requirements. However, remember that unless it’s absolutely necessary, you should avoid applying for too many credit cards within a short time frame, as that could lower your average account age and hurt your credit score.
If you’re financially ready for a new credit card, you’ll want to do your due diligence by taking the time to comparison-shop. Be sure to consider factors such as fees, APRs, and rewards before deciding on a credit card. Need help finding the right credit card? Read SuperMoney’s guide on how to compare credit card offers, then check out our top picks for the best personal credit cards!
Share this post: