Can you apply for multiple credit cards at once?

Depending on your financial situation and spending habits, having more than one credit card can offer choice and convenience. But applying for multiple cards at the same time or in a short time could negatively impact your credit scores.

Learn about the possible benefits and downsides of applying for more than one credit card at once.

What you’ll learn:

• A credit card application triggers a hard credit inquiry, which can temporarily lower your credit scores.

• Multiple hard inquiries over a short time could increase the negative impact.

• The Consumer Financial Protection Bureau (CFPB) recommends applying only for credit you need.

• You can see if you’re pre-approved for Capital One credit cards before applying, with no impact to your credit.

The key part of this question is, “at the same time.” When you’re trying to build credit or earn rewards, applying for multiple credit cards at once might seem like a reasonable idea. But it could have a negative effect on your credit scores as well as other consequences. 

Here are some potential risks when applying for multiple cards in a short period of time.

Each credit card application you make can result in a separate hard inquiry. And hard inquiries can affect your credit scores.

According to FICO®, a major credit scoring company, a hard inquiry can temporarily lower a person’s credit scores by a few points. And multiple hard inquiries over a short time could have more of an impact on your credit.

When lenders see multiple hard inquiries on your credit report within a short time frame, they may see you as a credit risk. This could mean paying higher interest rates for credit in the future or having your applications for credit denied altogether.

As the CFPB explains, “If you apply for a lot of credit over a short period of time, it may appear to lenders that you are dealing with financial setbacks.” That’s why the agency recommends applying only for the credit you need.

That can depend on your financial situation. There could be benefits to having multiple credit card accounts. But there are potential risks if you don’t manage your accounts responsibly by doing things like paying your balance on time every month.

When you have multiple cards, you have more credit available to you. And having more available credit can help improve your credit utilization ratio. That’s a credit-scoring factor that compares how much credit you’re using versus how much you have available. The CFPB recommends keeping your utilization at or below 30% of your total available credit.

Having multiple cards could also give you access to the variety of rewards that come with different types of credit cards. And some credit cards may come with a sign-up bonus.

Having multiple credit cards can mean a potential for increased debt. If you’re going to apply for multiple cards, it’s important to plan for making on-time payments. That’s because payment history can have a big impact on your credit scores.

Plus, there’s the work of keeping up with multiple cards. That could be a challenge, since they may have different interest rates, fees, payment due dates and more.

Rather than applying for multiple credit cards at the same time, one strategy is to wait between applications. Companies like Experian® and Bankrate recommend waiting about six months.

You could also consider your goals for each new card and whether there are other ways to achieve them. Maybe through a credit limit increase or an upgrade to an existing card?

If you do decide to apply for another card, it might also help to first compare interest rates, annual fees and rewards programs. And checking whether you’re pre-approved for a card can let you know that you’re eligible before you apply. Plus, pre-approval won’t impact your credit scores.

Still have questions? Here are answers to frequently asked questions about applying for multiple credit cards.

There’s generally no rule against applying for more than one card at the same time. But doing so may have a temporary effect on your credit scores and creditworthiness. 

When you decide the time is right to apply for a new card, you could compare credit cards from Capital One.

New to credit or looking for your next credit card?

• Check for pre-approval offers with no risk to your credit score.

• Earn unlimited 1.5% cash back on every purchase, every day with a cash back credit card.

• Explore Capital One’s credit cards for building credit with responsible use.