As most people who pursue credit card rewards know, Chase came up with a new rule last year intended to limit access to their best rewards cards.
Called the "5/24 rule," this makes it difficult for consumers to qualify for certain Chase credit cards if they've opened more than five new credit cards within the last 24 months.
Chase didn't announce this officially, but it's been an unspoken guideline that's been confirmed over time.
So, while you can technically earn the signup bonus on Chase credit cards every 24 months, you may not even qualify for the Chase card you want if you've had more than five new cards-including Chase authorized user cards-within the last two years.
This is a bummer for a few reasons. First, it makes it more difficult to go after Chase signup bonuses over and over again like you could in the past. Second, it forces you to think long and hard about whether or not you should cancel your favorite Chase cards since you might not be able to qualify for them again.
However, there are a few silver linings to this rule.
It may be possible to sidestep this guideline in certain situations if you have a pre-approved offer for specific Chase cards. Most of the time, however, you have to go after these offers in-branch. And even then, approvals are iffy.
[READMORE]READ MORE: Awesome Rewards Cards Perks You Should Know About[/READMORE]
The other silver lining is that, while the 5/24 rule applies to Chase-branded credit cards, it doesn't apply to all of them. Here are the cards that the 5/24 rule is believed to apply to as of this year:
-Chase Freedom
-Chase Freedom Unlimited
-Chase Sapphire Reserve
-Chase Sapphire Preferred
-Ink Business Plus Credit Card
-Chase Ink Cash
-Chase Slate
-Chase Personal and Business Southwest Credit Cards
-Chase Personal and Business United MileagePlus Credit Cards
-Marriott Premier Credit Card
That seems like a lot of cards, but there are still plenty that appear to fall outside the 5/24 rule. They include:
-Hyatt Credit Card
-IHG Rewards Credit Card
-British Airways Visa Signature Card
-Ritz Carlton Credit Card
-Amazon Credit Card
-Marriott Premier Business Credit Card
-Disney Rewards Credit Card
Keep in mind that you may not qualify for one of these cards no matter how many credit cards you've had in the past 24 months. When you apply for a new card, Chase will place a hard inquiry on your credit report to determine your creditworthiness. If they see something they don't like, you could be out of luck.
Because of the Chase 5/24 rule, you will need to be more strategic about the cards you sign up for and keep for the long haul. If you have a Chase card you love already, make sure you weigh the pros and cons before you cancel.
[READMORE]READ MORE: Don't Forget About the Chase Sapphire Preferred[/READMORE]
Also, make sure you consider signing up for your favorite Chase cards first if you're just getting into the hobby. If you wait too long and rack up too many cards in the process, it could be too late.
For the latest travel news, updates and deals, subscribe to the daily TravelPulse newsletter.
Topics From This Article to Explore
