£1.1bn transferred between credit cards every month

Sainsbury's Finance estimates that some 716,600 people will try and transfer around £1.1 billion a month between credit cards, but it warns that of the 80 or so cards providing 0% APR on balance transfers, around a third offer a period of just six months or less. The average interest free period on balance transfers is around nine and a half months, but there are better deals available such as the 0% for 12 months available with the Sainsbury's Credit Card.

New research from Sainsbury's Finance reveals that the average balance transfer is around £1,555, but one in ten of those intending to transfer plan to switch over £4,000.

Donald MacLeod, Head of Cards, Sainsbury's said: " There is a significant market for cards offering balance transfers as our research indicates that 40% of card holders think it will take longer than one month to clear their current balance.

"Although there are a number of credit cards offering introductory 0% on balance transfers, there is a considerable difference in their duration so people need to choose carefully. Also, when choosing a card for a balance transfer, it is also worth considering what else it offers. For example, we offer 0% for a whole year on Sainsbury's purchases as well as earning Nectar points equivalent to 2% cash-back.

Some 15% of people in the South West intend to transfer balances, which is the highest percentage for any part of Britain, compared with 5% in Wales and Scotland, which is the lowest.

As well as having an attractive balance transfer offer, the Sainsbury's Card also provides Nectar points equivalent to 2% cash-back on Sainsbury's purchases. This means that someone spending £100 a week at Sainsbury's would receive Nectar points worth £104 at the end of the year for these purchases alone. Nectar points can also be accumulated on non-Sainsbury's related purchases. To find out more about the Sainsbury's credit card, visit sainsburys.co.uk or pick up a leaflet in store.