When members of our Facebook group ask for advice on what card to get next, we usually respond with “what is your 5/24?” We also ask whether you are eligible for business cards. The number one reason we ask about and recommend business cards is to help members earn the most number of points possible. Business cards are an excellent way to earn points from sign-up bonuses without affecting your 5/24 status. However, not all business cards count towards 5/24. So below we walk you through the ones that do and do not.
How Business Cards Are Reported to Credit Bureaus
Chase's 5/24 rule is tied to your personal credit. If a card shows up on your credit report, it will count towards 5/24. This of course includes any personal credit cards that you open in your own name. But business cards are reported differently depending on the issuing bank.
Most banks do not report business cards on your credit report. These include Chase, American Express, Citi, and Barclays. Keep in mind: just because these issuers don't report business cards to your personal credit report, they may still do a hard pull on your credit when you apply for a business card. Of course, hard pulls don't count towards 5/24, but it's still something worth noting.
What Business Cards DO Take Up a 5/24 Slot?
Three banks DO report business cards to your personal report: TD Bank, Discover, and Capital One. With Capital One, it only reports the Capital One Spark Miles Business and the Capital One Spark Miles Select Business cards to your personal credit. This means that opening either of these Capital One business cards, or a TD Bank or Discover business card, will count against your 5/24.
Thankfully, none of the business cards that count towards 5/24 are cards most people should prioritize. Chase, Amex, Citi, and Barclays all offer business cards that generally are much better than those offered by TD Bank, Discover, or Capital One. So if you're trying to stay under 5/24, you'll be in the clear with Chase, Amex, Citi, and Barclays.
Credit card application rules and how banks implement them can change constantly. The same goes for how card issuers decide to report business cards to your personal credit. Therefore, it's important to stay abreast of recent data points and recent developments. And of course, we'll always share new information in the Travel on Point(s) Facebook group.
Do you have questions about business cards and 5/24? Come ask in our Facebook group!