The 5/24 rule is a US issuer policy: an applicant who has opened five or more card accounts in the past 24 months is declined for certain cards.
The 5/24 rule is a US issuer policy: an applicant who has opened five or more card accounts in the past 24 months is declined for certain cards.
Also called: 5/24.
How it works#
The rule belongs to one US bank and has never been published; it was reconstructed from declined applications. Accounts at all issuers count, and in many cases authorized user cards do too. It has no bearing on the German market, yet it drives much of the English-language application debate and often reappears in translated advice as if it were universal.
Not to be confused with#
The 5/24 rule is not a credit assessment: it is one bank’s internal policy and applies even to applicants with a flawless payment history.
In German#
The German term is 5/24-Regel. German version of this term
Related terms#
- Once-per-lifetime rule: A once-per-lifetime rule is a condition stating that a given card’s welcome bonus can be earned only a single time per person.
- Credit inquiry: A credit inquiry is a lender’s check of a credit file; a hard inquiry is recorded and visible to others, while a soft inquiry is not.
- Welcome bonus: A welcome bonus is a one-off points credit for opening a new card and meeting a minimum spending requirement within a set period.
Articles that use this term#
TopicEvery article and term onCards and money.
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