What is the 5/24 rule? Many card issuers have criteria for who can qualify for new accounts, but Chase is perhaps the most strict. Chase's 5/24 rule means that you can't be approved for most Chase cards if you've opened five or more personal credit cards (from any card issuer) within the past 24 months.
The best spot to look in order to determine your 5/24 count is your credit report. Your credit report will show the credit card accounts you've opened and when you opened them. From there it's just about doing a bit of math. Count 24 months back from the day you're checking your report.
I recommend waiting until the beginning of the following month after you fall under the 5/24 limit before applying for a card. In other words, if your fifth most recent card application was on January 15, 2020, then 24 months from then would be January 15, 2022.
The Chase 5/24 rule is a restriction on who can apply for Chase credit cards. 5/24 is an mnemonic code for "five credit card inquiries in the past 24 months." If you have more than five inquiries, you will likely be denied a Chase credit card.
The 5/24 rule only applies to getting approved for cards issued by Chase, but your 5/24 count includes credit cards from all banks.
Understanding the 5/24 rule:
The most important rule to consider in collecting points is the “5/24 rule.” The rule is simple: If you get 5 personal credit cards in any 24-month period, you're automatically prohibited from getting a 6th Chase or Capital One card.
The Chase 5/24 rule will not apply to these lines of credit. It only applies to personal credit cards that you are approved for (with the exception of retail store credit cards that are not part of a larger payment network).
By and large, lines of credit are not intended to be used to fund one-time purchases such as houses or cars—which is what mortgages and auto loans are for, respectively—though lines of credit can be used to acquire items for which a bank might not normally underwrite a loan.
In general, six or more hard inquiries are often seen as too many. Based on the data, this number corresponds to being eight times more likely than average to declare bankruptcy. This heightened credit risk can damage a person's credit options and lower one's credit score.
What is the 5/24 rule? Many card issuers have criteria for who can qualify for new accounts, but Chase is perhaps the most strict. Chase's 5/24 rule means that you can't be approved for most Chase cards if you've opened five or more personal credit cards (from any card issuer) within the past 24 months.
The 15/3 credit card payment rule is a strategy that involves making two payments each month to your credit card company. You make one payment 15 days before your statement is due and another payment three days before the due date.
It's generally recommended that you have two to three credit card accounts at a time, in addition to other types of credit. Remember that your total available credit and your debt to credit ratio can impact your credit scores. If you have more than three credit cards, it may be hard to keep track of monthly payments.
The longer you've had credit, the better it is for your credit score. Your score is based on the average age of all your accounts, so closing the one that's been open the longest could lower your score the most. Closing a new account will have less of an impact.
What is the Chase 1/30 rule? The 1/30 rule is short for "1 card every 30 days," meaning your chances of being approved for a Chase business card are slim to none if you've applied for any card in the last 30 days.
The normal "rule" is to use a ratio between the base and the distance to the subject of 1/30 (also expressed as 1:30). If you know the camera-subject distance you can calculate the base. For example, if the distance is 6 feet (72 inches) the base should be 2.4 inches.
In addition to the “One Sapphire Rule,” you can only receive an intro bonus to a Chase Sapphire card once every 48 months (4 years). For example, if you receive an intro bonus for the Chase Sapphire Preferred in Jan 2018, you would have to wait until Jan 2022 to receive another Chase Sapphire bonus.
Technically, there's no limit to how many credit cards you can have. If you want to break the Guinness world record for the biggest assortment of valid cards, you'll need to collect a whopping 1,498. But the perfect number of cards for you will depend on your personal financial needs.
Credit card churning is the process of opening cards for the sole purpose of earning welcome bonuses or other benefits. Usually, it involves closing cards after the bonus posts to your account and before the next annual fee is charged.
Applying for a new credit card can indeed hurt your credit score. According to FICO, a hard inquiry — when a card issuer pulls your credit after you apply — can lower your score by five points or fewer. However, the impact is temporary.
While you'll have the most issues if your overall utilization is high across all of your accounts, even having a single card with a high utilization ratio can hurt your credit score.
While the exact impact may vary from case to case, generally speaking, you can expect your score to drop by about five points each time you apply for a new credit card.
The Amex Platinum Card is only worth the annual fee if you'll use enough benefits to recoup the fee. You could easily offset the fee with the statement credits alone, but this card also offers the chance to earn boosted rewards on travel purchases, too.
Additionally any personal credit card from any other bank will count toward your Chase 5/24 count. This includes most store cards, too. If it's a Visa, MasterCard, American Express, etc., it will count against the Chase rule. If it can only be used inside the store, the card won't count against you.
It's a good idea to check your credit score before going car shopping to make sure there are no mistakes on the report. Resist early requests from the salesman to run your credit. Only allow the dealership to get your credit application when you are sure you want to buy a car.