PH. +234-904-144-4888

how long should you wait in between credit cards

Post date |

It’s generally best to wait six months between credit card applications. That will prevent hard inquiries from making a significant negative impact on your credit score.

Its a good idea to wait at least six months between credit card applications to protect your credit score and avoid exceeding certain card issuers restrictions. Several applications submitted within a short time frame could damage your credit score for a period of time.

The ideal amount of time to wait depends on your circumstances. But if youre rebuilding credit or planning to shop for a mortgage, aim to put as much time as possible between credit card applications. If youre applying for a new card because your last application was denied, thats likely a signal to improve your credit before applying again.

How Long Should You Wait In Between Credit Card Applications?

Getting approved for a new credit card can be exciting The welcome bonus, potential rewards, and additional perks are enticing. However, credit card issuers have rules in place to limit how often you can be approved for their cards Applying for multiple cards in a short period can also negatively impact your credit. So how long should you wait in between credit card applications?

The ideal wait time depends on several factors, including your credit profile, financial goals, and the rules of the issuer you want to apply with. While there is no definitive answer, a good general guideline is to wait at least 6 months between applications. Let’s discuss why waiting is important and how to determine the best timeframe for your situation.

Why You Shouldn’t Apply for Multiple Credit Cards at Once

There are a few key reasons why you don’t want to submit several credit card applications in quick succession:

It can lower your credit scores – When you apply for a new credit card, the issuer will perform a hard inquiry on your credit report. Multiple inquiries in a short period can cause a small, temporary drop in your credit scores. Too many applications may also raise red flags about your creditworthiness.

  • When you apply for a new credit card, the issuer will perform a hard inquiry on your credit report. Multiple inquiries in a short period can cause a small, temporary drop in your credit scores. Too many applications may also raise red flags about your creditworthiness. You may exceed issuers’ application limits – Many card issuers have rules against approving customers for too many cards in a certain timeframe. For example, Chase typically won’t approve you if you’ve opened more than 5 cards across all banks in the last 24 months.

  • Many card issuers have rules against approving customers for too many cards in a certain timeframe. For example, Chase typically won’t approve you if you’ve opened more than 5 cards across all banks in the last 24 months. You risk getting denied – If you already have several new accounts on your credit report, issuers may deny you for a new card due to the hard inquiries and additional debt burden. Recent denied applications will further damage your scores.

  • If you already have several new accounts on your credit report, issuers may deny you for a new card due to the hard inquiries and additional debt burden. Recent denied applications will further damage your scores. It can complicate large purchases – If you apply for multiple cards right before a large purchase, like a mortgage, it may negatively impact your interest rates or approval odds.

As a general rule, you should try to limit credit card applications to no more than 2-3 per year. Doing so will help protect your credit scores and approval odds. Of course, the ideal timeframe still depends on your specific situation.

Factors That Determine How Long to Wait Between Applications

Here are some key factors to consider when deciding how long to wait between credit card applications:

Your credit scores – If you have excellent credit (scores of 740 or higher), you have more leeway to apply more frequently than someone rebuilding damaged credit. Issuers view high scores as less risky.

  • If you have excellent credit (scores of 740 or higher), you have more leeway to apply more frequently than someone rebuilding damaged credit. Issuers view high scores as less risky. Your income and credit limits – Issuers will look at your income compared to current balances and credit limits to gauge if you can handle more debt. Higher income and lower utilization signal you can manage more credit.

  • Issuers will look at your income compared to current balances and credit limits to gauge if you can handle more debt. Higher income and lower utilization signal you can manage more credit. Types of cards you want – Applying for multiple rewards cards in a short period can appear more risky compared to low-limit retail cards. Consider the optics of the cards you are applying for.

  • Applying for multiple rewards cards in a short period can appear more risky compared to low-limit retail cards. Consider the optics of the cards you are applying for. Your 5/24 status – The Chase 5/24 rule is an important threshold. Once you are over 5 new accounts in 24 months, Chase approvals get very difficult.

  • The Chase 5/24 rule is an important threshold. Once you are over 5 new accounts in 24 months, Chase approvals get very difficult. Large purchases coming up – If you may finance a large purchase soon, limit card applications at least 6 months beforehand to avoid complications.

Your credit profile and financial situation should guide your application timing. Use extra caution when rebuilding credit or managing your 5/24 status. Also consider any large purchases that may require credit checks in the near future.

Recommended Timeframes by Issuer

Some top issuers have published rules on how often you can be approved for their credit cards. Here are some of the most common issuer restrictions:

Chase – Chase has the infamous 5/24 rule, limiting approvals to customers who have opened 5 or more cards across all banks in the last 24 months. You can usually get approved for 2 Chase cards in 30 days.

  • Chase has the infamous 5/24 rule, limiting approvals to customers who have opened 5 or more cards across all banks in the last 24 months. You can usually get approved for 2 Chase cards in 30 days. American Express – Amex typically limits customers to 5 of their credit cards at once. You can usually get approved for 2 Amex credit cards within 90 days.

  • Amex typically limits customers to 5 of their credit cards at once. You can usually get approved for 2 Amex credit cards within 90 days. Citi – Citi’s guidelines allow 1 application every 8 days, or 2 applications within 65 days. For business cards, they recommend 1 application every 90-95 days.

  • Citi’s guidelines allow 1 application every 8 days, or 2 applications within 65 days. For business cards, they recommend 1 application every 90-95 days. Capital One – Capital One usually limits customers to 1 application every 6 months. This applies to both personal and business cards.

  • Capital One usually limits customers to 1 application every 6 months. This applies to both personal and business cards. Wells Fargo – Wells Fargo restricts approvals to 1 new personal credit card every 6 months in most cases. Some other cards have 15 month eligibility periods.

These published restrictions give you an idea of how soon each issuer will allow another application. However, even if not explicitly stated, it is wise to wait at least 6 months between applications for most issuers. This helps avoid denial and minimizes credit score impact.

Special Situations Where You Should Wait Longer

In some cases, you may want to wait even longer than 6 months between card applications. Here are a few examples:

Rebuilding credit – Wait at least 6-12 months when rebuilding damaged credit before applying again. Give yourself time to establish positive behaviors.

  • Wait at least 6-12 months when rebuilding damaged credit before applying again. Give yourself time to establish positive behaviors. Applying for a mortgage – Lenders may review your credit report and want low inquiries when approving a mortgage. Wait at least 12 months before applying for credit cards.

  • Lenders may review your credit report and want low inquiries when approving a mortgage. Wait at least 12 months before applying for credit cards. Denied for your last application – If you recently got denied, take time to review your credit reports, improve your scores, lower debts, etc. Wait at least 6-12 months before trying again.

  • If you recently got denied, take time to review your credit reports, improve your scores, lower debts, etc. Wait at least 6-12 months before trying again. Managing your 5/24 status – Slow down card applications well before hitting 5/24 to retain Chase eligibility. You may need to wait 18+ months after your last card approval.

In these special situations, be very conservative about applying for more credit. Give yourself plenty of time to rebound from credit mistakes, reduce debts, and limit hard inquiries. Don’t jeopardize a mortgage approval in the name of a new card bonus.

Alternatives to Opening a New Card

Instead of applying for credit continuously, here are some alternatives to consider:

Ask for credit line increases – Rather than open new accounts, you can request higher limits on existing cards as your income and credit improve.

  • Rather than open new accounts, you can request higher limits on existing cards as your income and credit improve. Upgrade your current cards – Some issuers let you upgrade cards to more premium versions to earn better rewards and benefits.

  • Some issuers let you upgrade cards to more premium versions to earn better rewards and benefits. Cancel unused cards – Closing old cards you don’t use will allow you to open new ones more quickly by freeing up credit limits.

  • Closing old cards you don’t use will allow you to open new ones more quickly by freeing up credit limits. Take advantage of 0% APR offers – Consider balance transfer cards with intro 0% financing instead of rewards cards when you need temporary financing.

Rather than continually applying for new accounts, explore ways to maximize the value of your current credit cards. With a sound strategy, you can enjoy great benefits without the credit risk and application restrictions.

The Ideal Frequency for Most People

As a good general rule, most people should wait at least 6 months between credit card applications. Allowing 6 months gives your credit scores time to recover from the hard inquiries. It also keeps your total number of inquiries low, reducing banks’ perceived risk in approving you for more credit.

Of course, the ideal frequency still depends on your specific credit situation. Those with pristine scores and finances can often qualify for cards more frequently than others still building credit. The 6 month rule just allows for a safe buffer that applies in most common scenarios.

If you’re waiting for an exciting new card offer, explore whether you can upgrade one of your current cards instead. That way you can enjoy an improved rewards structure or benefits package without the need for another application. If upgrading isn’t an option, remain patient and focus on maximizing your existing cards. In most cases, 6 months goes by quickly, and the wait will be worthwhile.

The Bottom Line

Applying for too many credit cards at once can damage your credit, lead to denials, and cause you to miss out on lucrative welcome bonuses due to issuer restrictions. While there are exceptions, it’s generally wise to wait at least 6 months between applications. Give your credit time to strengthen and for inquiries to fall off your reports. With a prudent application strategy, you can enjoy the benefits of brand new cards while safeguarding your credit standing and eligibility for the best bonuses. Be selective, be patient, and keep the long view in mind.

how long should you wait in between credit cards

Compare top credit cards matched for you

See your current credit card offers based on your credit profile.

From cash back rewards to a low intro APR, compare your options.

Apply knowing you’re more likely to qualify with matched offers.

Why Multiple Credit Card Applications Pose a Credit Risk

A number of factors contribute to your credit score, and applying for a credit card impacts two of them: new credit and length of credit history. Heres how.

How Long to Wait Between Credit Card Applications

FAQ

How long should you wait before getting another credit card?

It’s also a good idea to wait at least 90 days between new credit card applications, and it’s even better if you can wait a full 6 months. Waiting between credit card applications helps protect your credit score from the negative effects of too many credit inquiries.

What is the 2 90 rule for credit cards?

Amex 2-in-90 rule

American Express restricts card approvals to no more than two within 90 days. This means that even if you follow the 1-in-5 rule above and get two cards more than five days apart, you still can only get those two cards within 90 days. So far, there are no exceptions to the Amex 2-in-90 rule.

What should be the gap between two credit cards?

Timing is crucial in personal finance, especially for credit card applications. Rapid applications can harm your credit score. It’s recommended to wait three to six months between applications to maintain a good credit profile and demonstrate financial responsibility to lenders.

What is the 2/3/4 rule for credit cards?

The 2/3/4 rule is a credit card application restriction specifically used by Bank of America. It limits the number of new credit cards you can be approved for within certain timeframes.

Leave a Comment