Fee-free credit card balance transfers are set to make a comeback, providing good news for students who are among the people transferring £6.6 billion from one card to another over the next six months.
Research by Sainsbury's bank recently revealed that 4.3 million people are planning to transfer money between credit cards.
Donald MacLeod, head of cards at Sainsbury's, said: "It's not surprising that zero per cent balance transfers are popular, our research shows that there are an estimated five million people with outstanding balances who are not only incurring interest but also admit that it may take them longer than one month to clear their spend."
He added that when choosing a balance transfer card, it is worth considering any purchases you may make and "ensure that they are also covered by a zero per cent period".
Free balance transfers appeared to have died out last year but several credit card providers are bringing them back. However they are only available to those who have a spotless credit history.
In related news, Defaqto recently announced that for people who pay off their balance quickly should look at credit card deals with reward-based points schemes.
To find out more about balance transfers and the best balance transfer credit card deals, please see our dedicated section - explaining both the benefits and what to look out for.
Find the best student credit card deals - including comparison tables and independent reviews. Updated with the latest credit card offers.
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