Credit Card Sign-up Restrictions Unveiled: What You Need to Know
Most credit card companies have sign-up restrictions. Becoming familiar with the rules is a good idea. Chase, American Express, Citi Cards, Barclays, Capital One, and Bank of America all have different rules that they do not make readily available without some digging. We have simplified this information below.*Pro-Tip: These rules change frequently; please search for up-to-date info online before each application.
Chase has some of the most rewarding points and miles but also has some of the toughest restrictions when opening accounts. Here are some of the current rules:
-
-
The 5/24 rule. Chase will not approve you for any card they offer once you have opened more than 5 credit cards from any credit card company within 24 months. This rule generally doesn’t count the business cards you open toward your 5/24. We dig into this on our business page.
-
Chase will only approve you for two personal cards every 30 days and one business card. *Pro Tip: To avoid drawing attention to your account, limit it to one personal or business card every 60 days.
-
Chase has a 24 or 48-month rule regarding sign-up bonuses. This means you can only receive a sign-up bonus once every 24 or 48 months, depending on the “family” the card lives in, i.e., Chase Sapphire, Southwest, Marriott, etc. This rule is readily available on Chase.com under terms and conditions.
-
Chase limits the total credit line given to each individual. Many factors determine this amount, like your credit score and income. Also note, they will typically allow you to move your available credit around to new cards.
-
American Express has plenty of great earnings cards but also some odd rules.
-
-
American Express limits each individual to one sign-up bonus per card per lifetime. *Pro-Tip: data points show that a lifetime is considered seven years after closing the card.
-
You are only allowed to open two cards every 90 days. *Pro-Tip: To avoid drawing attention to your account, limit it to one personal or business card every 60 days.
-
You are only allowed five credit cards open at one time. This rule doesn’t include charge cards.
-
-
A charge card must be paid in full monthly. No balance can be carried to the next month. Charge cards have no spending limits. An example of this is the American Express Platinum Card.
-
A credit card has a limit, and the balance can be carried over from month to month (but it shouldn’t be!).
-
-
-
Citi Cards also has some great cards available. Their rules are similar to those above.
-
-
You’re allowed one card every 8 days and two cards every 65 days. *Pro Tip: Do not draw attention to your account; limit it to one personal or business card every 60 days.
-
Like Chase, Citi has a rule on sign-up bonuses you can earn within 24. The only exception is the AAdvantage card which limits your sign-up bonus to once every 48 months.
-
Card families also play a role in sign-up bonuses for Citi. These rules change often, so check the terms and conditions of the specific card you're looking at opening first.
-
Barclays application rules are hit or miss, but some that you should be aware of are:
-
-
They have a 6/24 rule that is very similar to Chase's 5/24 rule. Please see above for details.
-
Barclays will consider your spending on other cards within their ecosystem. So make sure if you have a Barclays card, you use it at least a couple of times per month. Otherwise, they will deny you for inconsistent use.
-
Barclays limits you to one sign-up bonus per year per card. To get the sign-up bonus again on a card you have had in the past, make sure that account has been closed for at least seven months.
-
Capital One doesn’t have specific rules like some of its competitors. They offer great starter cards like the Capital One Venture X but have some guidelines to follow.
-
-
They will only allow one card approval per six months.
-
They only allow two cards open at any given time.
-
Typically, Capital One has proven easier to get into at the beginning of your pursuit of points. They are looking for individuals who are newer to credit cards, so be sure to fit at least one of their Venture cards into your starting lineup.
Bank of America’s rules are similar to other banks like Chase. Here are the ones to take note of.
-
-
They have a 3/24 rule; please see Chase rules above for details.
-
They only allow one sign-up bonus every 24 months per card.
-
I suggest only opening one card every six months to avoid drawing attention to your account. Two cards per year and three cards every two years. Make sure to leave plenty of time between applications.
-
