Credit Card Churning Guide
The complete guide to credit card churning — learn how to churn cards for sign-up bonuses, build a churning strategy, understand issuer rules, and know when to cancel. Whether you call it card churning or CC churning, this guide covers everything you need to start earning thousands in rewards.
What is Credit Card Churning?
Credit card churning is the practice of opening new credit cards primarily to earn their sign-up bonuses (also called welcome offers). After meeting the minimum spending requirement and receiving the bonus, you may keep, downgrade, or close the card before the annual fee hits.
For example, the Chase Sapphire Preferred regularly offers 60,000-75,000 Ultimate Rewards points after spending $4,000 in the first 3 months. Those points are worth $750-$1,000+ for travel — far exceeding the $95 annual fee. Multiply this across several cards per year, and the rewards add up quickly.
How Churning Works (Step by Step)
Find the best current sign-up bonuses. Check issuer rules to ensure you're eligible. Consider whether you can organically meet the spending requirement.
Apply online. You'll get a hard inquiry on your credit report. Most decisions are instant, but some may require verification or reconsideration.
Spend the required amount within the timeframe (usually 3 months). Use the card for everyday purchases you would make anyway — groceries, gas, bills, subscriptions.
After meeting the spend requirement, the bonus posts to your account within 1-2 statement cycles. Redeem for travel, cash back, or transfer to airline/hotel partners.
Before the annual fee hits (usually at the 1-year mark), decide whether to keep the card, downgrade to a no-fee version, or close it. Then repeat with a new card.
Important Issuer Rules
Chase: 5/24 Rule
Chase will deny most applications if you've opened 5 or more personal credit cards (from any issuer) in the past 24 months. This is the most important rule in churning.Learn more →
Amex: Lifetime Language
American Express restricts sign-up bonuses to once per lifetime per card product. If you've ever had a specific Amex card, you typically can't earn the bonus again. This is increasingly enforced.
Citi: 48-Month Rule
Citi restricts bonuses if you've received a bonus on the same card family within the last 48 months. You can still apply but won't receive the welcome bonus.
Capital One: Velocity Limits
Capital One limits most consumers to 2 Capital One cards. They may also deny applications if you have too many recent inquiries or new accounts across all issuers.
Risks and Considerations
Credit Score Impact
Each application adds a hard inquiry (-5 to -10 points) and lowers your average account age. This is temporary and recovers within months if you have an established credit history. Not recommended if you're applying for a mortgage soon.
Annual Fees
Many premium cards have annual fees of $95-$695. Make sure the bonus value exceeds the fee, and set reminders to downgrade or cancel before renewal.
Overspending
Never spend more than you can afford to meet a minimum spend requirement. Carrying a balance at 20%+ APR will quickly erase any bonus value. Only charge purchases you were already planning to make.
Organization
Tracking multiple cards, spending requirements, fee dates, and bonuses requires organization. Use a spreadsheet to track open dates, fee dates, and bonus status.
Credit Card Churning Strategy
A solid churning strategy maximizes bonuses while avoiding issuer shutdowns. Here's the approach most experienced churners follow:
1. Prioritize Chase First
Because of the 5/24 rule, get all the Chase cards you want before opening cards from other issuers. Chase has some of the best bonuses ( Sapphire, Ink, United, Hyatt) and the most restrictive rules.
2. Use Business Cards Strategically
Business cards from most issuers don't report to personal credit bureaus and don't count toward 5/24. This lets you earn more bonuses while staying under Chase's limit. You can apply with any legitimate business activity — freelancing, selling items online, or consulting.
3. Space Out Applications
Wait 2-3 months between applications to the same issuer. Applying too frequently can trigger velocity limits or account reviews. A good pace is 1-2 new cards per month across different issuers.
4. Have a Minimum Spend Plan
Before applying, know exactly how you'll meet the spending requirement. Use the card for rent (if your landlord accepts it), insurance premiums, quarterly taxes, or prepay expenses. Never manufacture spend by buying things you don't need.
Chase Sapphire Churning
The Chase Sapphire Preferred and Sapphire Reserve are the most popular churning targets. Key rules to know: the 48-month bonus cooldown, the one-Sapphire-at-a-time restriction, and why the Preferred is usually better for churning ($95 fee vs $550).
48-month rule, downgrade paths, Preferred vs Reserve, and optimal timing.
When to Cancel or Downgrade
Cancel or downgrade before your second annual fee posts (month 11-12). Always call for a retention offer first — issuers often offer bonus points or statement credits to keep you. Prefer downgrading to canceling to preserve your credit history.
Exact timing, retention offer scripts, downgrade paths by issuer, and cancellation checklist.
Getting Started: First 3 Cards
If you're new to churning, start with these cards (in order). Focus on Chase first because of the 5/24 rule.
Chase Sapphire Preferred
Best first travel card. 60,000-75,000 points bonus worth $750-$1,000+. $95 annual fee. Points transfer to United, Hyatt, Southwest, and more. Start with this while under 5/24.
Chase Ink Business Preferred
Best business card bonus. 100,000 Ultimate Rewards points worth $1,250+. Doesn't count toward 5/24. You can apply with a side business, sole proprietorship, or freelance income.
Chase Freedom Unlimited
No annual fee, great everyday card. $200-$300 bonus. Earns 1.5% on everything, and points combine with Sapphire Preferred for transfer partner access. Keep this card long-term.
Deep Dive Guides
Ranked list of the best cards for churning by bonus value and strategy tier.
How to get all 3 Ink business cards for 100K+ points in bonuses.
Complete reference of every issuer's application rules and velocity limits.
Everything about the most important rule in churning.
$0-fee cards ranked by sign-up bonus. Keep forever with no cost.
Strategies to hit spending requirements without overspending.
Frequently Asked Questions
What is credit card churning?
Credit card churning is the practice of repeatedly opening credit cards to earn sign-up bonuses, then closing or downgrading the cards after receiving the bonus. Done strategically, churners can earn thousands of dollars in travel rewards or cash back each year.
Is credit card churning legal?
Yes, credit card churning is completely legal. You are simply taking advantage of promotional sign-up offers that credit card issuers advertise. However, issuers can and do impose rules to limit the practice, such as Chase's 5/24 rule.
Does churning hurt your credit score?
Churning can temporarily lower your credit score due to hard inquiries and reduced average account age. However, for most people with established credit histories, the impact is small (5-10 points per application) and recovers within a few months.
How much can you earn from credit card churning?
An active churner can earn $3,000 to $10,000+ per year in travel rewards or cash back. The exact amount depends on your spending, how many cards you open, and which bonuses are available.
When should I cancel a credit card after churning?
Cancel or downgrade before your second annual fee posts, typically around month 11-12. Call to ask for a retention offer first — issuers often offer bonus points or statement credits to keep you. If the retention offer isn't worth it, downgrade to a no-fee card to preserve your credit history.
What is the best credit card churning strategy?
Start with Chase cards while under 5/24, prioritizing business cards (which don't count toward 5/24). Then move to Amex, Citi, and Capital One. Space applications 3+ months apart per issuer. Focus on cards with the highest bonus-to-spend ratio and always have a plan to meet minimum spend organically.