The Chase 5/24 Rule is the Bank of Morgan’s most infamous and restrictive credit card application rule. While it sounds limiting for many prospective cardholders, the Chase 5/24 Rule is not something you should always be afraid of. This post explains why I stopped caring about the Chase 5/24 Rule.

Moreover, the Chase 5/24 Rule limits the amount of Chase credit cards a cardholder can be approved for. It states that a cardholder may not be approved for a new Chase credit card if they were approved for at least five new credit cards within the last 24 months. The five-card total includes all Chase cards, all other personal credit cards, and certain business credit cards.


I Already Have the Chase Quartet

Part of playing your cards right is knowing which credit cards to apply for first. I chose Chase because of the 5/24 Rule and because their transfer partners worked best for my travel needs. Plus, their cards offer useful bonus categories for me.

I currently have the Chase Sapphire Preferred, Freedom Unlimited, Freedom, and Chase Ink Business Cash. These four cards see about 90% of my spend unless I am taking advantage of a promotion from another card. All four of them are keepers because they are useful for my spending needs. Plus, I have not seen any offers from Chase lately that will nicely complement my quartet. Therefore, I do not need to care about the Chase 5/24 Rule.


I Do Not Apply for Credit Cards Frivolously

Unlike a plethora of other travel bloggers, I do not apply for credit cards frivolously. Some other travel bloggers have upwards of 20 credit cards because they take advantage of the earning structures, status, and perks that come with them. I do not have a need for those perks and the annual fees that come with them. And this is especially true because of the current pandemic.

Furthermore, my most recent credit application was for my Chase Freedom back in March 2019. And I am currently at 1/24. This is because applying for a new credit card is a decision that I must honestly think about before acting. Such deliberation often makes me resist applying

The bottom line is that I am content with the seven credit cards I have.


Other Issuers Have Great Offers Too

Chase is not the only valuable credit card issuer, especially for those who have a plethora of their cards. American Express, Citi, Discover, and Bank of America are examples of other issuers who have some great credit cards.

In turn, other issuers have great offers too. American Express is Chase’s primary competitor for points and miles credit cards. Their Membership Rewards (MR) points-earning cards are just as good as Chase’s Ultimate Rewards (UR) points-earning cards for travelers. Therefore, worrying about the Chase 5/24 Rule too much can make you forget about other issuers’ cards.

An example of this is the Chase Sapphire Reserve and the American Express Platinum Card. Both cards have different earning structures, perks, and sign-up bonuses. But they have similar annual fees. A prospective cardholder who is worried about the Chase 5/24 Rule might apply for the Sapphire Reserve over the Platinum Card. But they might find that the Sapphire Reserve is not right for them. Or they might find that they wanted to earn MR points and missed out on a valuable sign-up bonus because they forgot about the Platinum Card.


Opportunity Cost

Indeed, the example above is a great segue into opportunity costs. Investopedia (H/T) defines an opportunity cost as “the benefits an individual, investor or business misses out on when choosing one alternative over another”.

In the example above, the cardholder who chose the Sapphire Reserve over the Platinum Card would be missing out on a larger sign-up bonus, a different set of perks, and a different earning structure. And the cause of missing out on the Platinum Card’s offerings is the Chase 5/24 Rule.

Not caring about the Chase 5/24 Rule provides less stress and anxiety. Furthermore, it lets cardholders expand their horizons and care about other offers. Benjy Harmon from Miles to Memories (H/T) recently provided an excellent example of such freedom. He compared the amount of points he would have received from Chase and other issuers combined over a one-year period. And the combined non-Chase offers were much bigger.


Final Draw

The Chase 5/24 Rule is the most infamous credit card application rules in the industry. But it does not have to restrict you, especially if you are above 5/24. There are plenty of other offers out there that can let you travel at little to no cost.

Moreover, this post presents my situation and why I stopped caring about the Chase 5/24 Rule. But your mileage may vary. Your credit situation will likely be different than mine. And that means you might not care about the Chase 5/24 Rule for different reasons. Or it might mean that you should care about it more.

Nonetheless, not caring about the Chase 5/24 Rule does not mean I am not a Chase fan. Chase is an amazing credit card issuer with some of the most lucrative cards in the industry. I will continue to use my Chase Quartet because of the combined earning structures and perks that I am receiving. But I am also content with knowing that other issuers will provide me tantalizing offers as well.