Chase to Limit Credit Card Approvals (5/24) on Co-Branded Cards

Chase will soon apply their famed 5/24 rule to co-branded credit cards as well. The rule says that those with five new credit cards within the past 24-months will not be approved for a new credit card application.

Currently, only Chase’s own line of cards has the 5/24 rule, including the Freedom card, Sapphire card, and Slate card. We previously reported that sources say the 5/24 rule will soon apply to Chase business cards as well.

This trusted source now tells us that in a separate move, Chase will apply the 5/24 rule to co-branded cards as well, including cards like Southwest, United, Hyatt, and the rest of Chase’s co-branded card line-up. This will apply both to personal co-branded cards and to business co-brands.

The new rule is likely to start in April. We can expect a timeline which will look something like this:

  • Currently, once past 5/24, you can not get Freedom, Sapphire, or Slate. You can get all other cards.
  • At some point in March, the INK cards will be restricted as well. We can still get personal and business co-branded cards.
  • At some point in April, all Chase credit cards will be included in the rule, and those past 5/24 won’t be approved for anything.

This timeline reflects the upcoming change as it’s being said now. There is a possibility that it will take slightly longer for the rules to come into practice.

The era of churning Chase credit cards will soon come to an end. Get whatever you can now.

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Tim
Tim (@guest_254580)
May 2, 2016 13:06

Exceeded 5/24 rule. I applied for Hyatt on 3/30, approved 4/25. Applied for United 4/10, denied 4/22. Cited “too many requests for credit or opened accounts with us.” I had lowered my credit limit on my existing cards and was given new credit on Hyatt that was similar to the amount lowered. It’s possible I hit the credit limit cap and not 5/24 on co-brands.

Cindi
Cindi (@guest_249950)
April 22, 2016 20:30

My husband got his Chase Ink Plus but the Chase United Business was declined. First I called United and took him off as authorized user on my card. Then together we called the reconsideration line and said he needed his own United card because I kicked him off mine. I said “I know you’re limiting the number of cards people get” and the agent said, “No, that’s not the problem. There were just 2 applications very close together.” I said you just gave him a huge limit on the Chase Ink, how about you move some of that over to the United? He re-asked all the questions about the business income. Then he opened it.

So I’ve had luck three times now by saying “can you move credit limit from another card”. I’m going to wait a few months so they can see we’re using them by paying them off, and didn’t just run up hundreds of thousands of dollars of debt, and then try to do that again to get Freedom Unlimited cards. That is the one we want for general spend.

Cynthia Anderson
Cynthia Anderson (@guest_352356)
February 12, 2017 15:27

Update: Tried several times now to appeal and get one of us a Chase Sapphire Reserve (close something else, move credit around, explain some hits were AU), but no luck. Husband doesn’t even have 5 cards in 24 months if you don’t count business cards, so they must count those. It’s too bad you can have a lot of spend with Chase and they still penalize you. We are not churners by any stretch, but we moved (which changed airlines we can use), and also started traveling internationally so wanted to build up airline points whereas we had been using more cash back. I’d like to stay within the Chase eco-system, but instead might have to get the $450 AmEx Travel card.

Jake
Jake (@guest_248258)
April 20, 2016 00:39

Has Chase begun to apply the 5/24 rule to co-branded cards?

I applied and was approved for 5 cards (including 3 Chase cards) in the past five months, but would like to apply for the Southwest card before the rule is applied — if it hasn’t already been applied.

Thank you in advance.

Peter
Peter (@guest_248146)
April 19, 2016 19:33

I love Chase!

Chase is #1 in my eyes!

dan
dan (@guest_248161)
April 19, 2016 19:57

sound like additional relationship in investment, banking & loan does help; mine is just CCs

Peter
Peter (@guest_248167)
April 19, 2016 20:07

Yesterday, Chase sent me a coupon for $300 to open a business checking account. Maintenance fee is $20/month. The fee is waived if I maintain $50,000 in new money in my business checking account. Unfortunately, I don’t have $50,000 just hanging around.

Ken
Ken (@guest_248170)
April 19, 2016 20:13

Today I received a mailer to open a business account to receive a $500 bonus. Same $50k to avoid $20 monthly fee. While I do have that, it is not with Chase, so I don’t know how they are targeting different amounts.

And FWIW, $50,000 in a 1% interest account will earn ~$41/month, so in any case it’s better to just pay the $20 monthly fee for 6 months and then close the account.

Peter
Peter (@guest_248177)
April 19, 2016 20:35

Your income is probably a lot higher than mine. I have an average income. But, darn Chase giving you a higher bonus. I still love them anyways!

Ken
Ken (@guest_248229)
April 19, 2016 23:18

Our household income is under 75k, probably closer to 60k for 2015.

Peter
Peter (@guest_248171)
April 19, 2016 20:25

Dan,

I also maintenance all my credit cards. I believe by doing so is what helps me obtain more credit cards from creditors. It is a lot of work for me to manage and maintenance all theses accounts but I have fun doing it.

dan
dan (@guest_248211)
April 19, 2016 22:01

Manage both mine & wife’s. Feel that it’s a full time job at times

Peter
Peter (@guest_248063)
April 19, 2016 16:44

I applied for Marriott on the 20th of March. I got approved after I called in and verified my information. I applied today for the Chase Freedom Unlimited but I didn’t get an alert from Credit Karma or ProtectMyID of any new inquiry. Is Chase going to use my credit report that was pulled on the 20th of March when I applied for the Marriott since it has been less than 30 days?

I will call Chase on Friday for the status of my application.

Currently, I have 61 open credit card accounts. I have opened 120+ credit card accounts within the past 2 years.

I hope my good business relationship with Chase supersedes the 5/24 rule.

I will give an update on my application for the Chase Freedom Unlimited on Friday.

Ken
Ken (@guest_248065)
April 19, 2016 16:48

You have 61 open credit cards… Are half of them AU cards? Can’t say I’m buying this.

Peter
Peter (@guest_248091)
April 19, 2016 17:38

No! None of the 61 are AU cards. The reason being because my experience with American Express. I was an AU on 2 of my wife’s American Express cards. I applied for various American Express cards and kept on getting declined due to sufficient amount of credit. I removed myself as an AU on both of her American Express cards. Then I applied for the Starwood Preferred Guest card and got approved instantly. I remove myself as an AU on all of my wife’s credit cards because of that experience.

Also with all of my major prime creditors, I don’t want high credit limits or ask for credit limit increases. I find having high credit limits with a particular prime creditor is a hindrance to obtain more credit cards from that prime creditor. But subprime creditors is a whole different game.

But Chase keeps on giving me credit limit increases without me asking.

Currently, I have these Chase credit cards listed in the order I opened them.

Freedom, Amazon, AARP, Sapphire, Ink Cash, Ink Plus and Marriott.

Ken
Ken (@guest_248098)
April 19, 2016 17:40

So 61 cards and none of them are AU cards? You do realize how hard that is to believe, right?

Peter
Peter (@guest_248107)
April 19, 2016 17:59

It might be 62 on Friday 😉

dan
dan (@guest_248129)
April 19, 2016 18:58

what’s your secret or saying to chase to get them still approved your appl while already having over 60? while my fico score is about 800 & already have 2 biz & 4 personal CCs open with chase, they recently denied my appl for the united & marriott b/c of 2 many open CCs or inquiries

Peter
Peter (@guest_248155)
April 19, 2016 19:52

I spoke to them on 3 different card applications.

Chase called me when I applied for the Sapphire.
They wanted to know that it was actually me that opened all the recent Chase accounts.

I called them when I applied for Ink Plus.
I just had to verified my business information.

I called them recently about the Marriott.
All I had to do was to verified my identity.

I have good business relationship with Chase:

Banking, Investments, Auto and Credit Cards

Peter
Peter (@guest_248160)
April 19, 2016 19:56

But I might be pushing it with the Chase Freedom Unlimited.
I will give an update on Friday!

Peter
Peter (@guest_248470)
April 20, 2016 09:59

I just checked! Chase pulled credit reports from all 3 major credit bureaus.

Ken
Ken (@guest_248474)
April 20, 2016 10:19

I’m not surprised. They probably saw your 60+ cards and did a double take and had to confirm with other bureaus.

Peter
Peter (@guest_248477)
April 20, 2016 10:27

I just called to check application status. It is under review and pending. At least my application was not declined instantly. I believe this is a good sign. I will call back Friday to talk to a representative instead of the automated system.

Peter
Peter (@guest_248521)
April 20, 2016 11:57

I decided to speak to a representative today. I got declined for too many recently opened accounts.

Ken
Ken (@guest_247200)
April 17, 2016 18:52

@Paul – From any bank, so if your credit report shows a card Chase will count it. They even count authorized user cards, but you can have them not count those if they decline you.

Paul
Paul (@guest_247197)
April 17, 2016 18:45

Please give more detail on the 5/24 rule. Is it only 5 credit cards with chase or 5 credit cards from any bank?

Cindi
Cindi (@guest_245058)
April 12, 2016 02:02

I hadn’t heard anything in a while so called Chase today. They questioned me about my income and a bunch of other stuff, then asked how much credit limit I needed and if I would mind moving it from another card. I took $10k limit from my United card and put it on the Marriott card.

Steven
Steven (@guest_244904)
April 11, 2016 14:53

Declined for business RR and United cards – too many accounts open (8) in past 8 months. 5/24?
I have a great credit score, the recon rep was specific about the 8 in 8 being the problem. He even appreciated my very good rationale for opening these two cards.

Opie
Opie (@guest_245264)
April 12, 2016 20:56

Was that eight Chase cards in eight months or eight cards all banks?

Steven
Steven (@guest_245415)
April 13, 2016 13:30

5 Chase, 3 other

Opie
Opie (@guest_245452)
April 13, 2016 16:19

Try HUCA?

TyBacon
TyBacon (@guest_241944)
April 4, 2016 21:51

Approved instantly for CSP and Freedom same day with 2 new AMEX on all three reports for over 3 months and 5 other new cards (2 Citi, 1 Barclay, 2 JPM) on all three reports for over 6 months. Maybe an exception?