As the pain of Christmas overspending hits home, Monday will see so many Brits rush to transfer their credit card balances, that money experts have dubbed it T-Day.

Free online comparison experts, money.co.uk, report a 40% surge in credit card balance transfer enquiries on the second Monday of every January, which this year happens to be January 13th.

T-Day (or Transfer Day) sees a huge spike in applications for new 0% interest credit cards, allowing Brits to transfer their existing balances and take advantage of easier repayments offered by balance transfer cards.

Salman Haqqi, personal finance expert at money.co.uk, said: "0% balance transfer credit cards are a great way to avoid paying interest on debts, as long as you can afford the monthly repayments.

"While using 0% interest balance transfer cards can provide invaluable breathing space for those seeking to clear their debt, they do require careful management. Even though introductory offers are so generous, consumers must resist the temptation to use their card to make purchases as most will charge a high rate of interest on any new debt."

In 2019, 61.9 million UK residents had credit cards with an average purchase via credit card of 54.09. Last year, the total credit card debt in the UK was 72.6 billion, which equates to 2,649 credit card debt per household or 1,386 per adult - a 1.8 billion increase from 2018.

Total credit card spending has been on a steady upward climb in the UK since 1993. October 2018 saw the biggest month on record with 18.45 billion spent. As well as this general increasing trend, each year follows a distinct pattern, having a sharp increase in credit card spending in the months leading up to Christmas, followed by a steep drop around February.

UK shoppers spend an average of 452 each on credit cards at Christmas, almost 8.5bn nationwide over the festive period.

While 0% balance transfer credit cards are a great way to cut down on interest payments, they do come with a variety of terms and conditions that money.co.uk's Salman Haqqi cautions people to be aware of.

He said: "People will also need to transfer their balances within a short time frame, typically within the first 60-90 days, in order to qualify for the 0% term. Failing to do so means that the higher interest rate kicks in immediately, cancelling out the whole purpose of taking out a 0% card in the first place.

"It also pays to double check the length of the interest free period, as you can be caught out by an unexpected hike in interest rates and the corresponding rise in your repayments.

"Setting up a direct debit to ensure that the minimum payment is met each month is sensible as if you miss a repayment, you could forfeit your 0% offer and see the interest rate jump up to 20%. Another useful trick is to set yourself a reminder for when the interest free period ends, giving you plenty of time to pay off your debt or transfer it to a different card before the interest is hiked.

"When searching for a new credit card, it is important to remember that each application will impact your credit report, whether you are accepted or not. To help prevent this, many comparison websites and banks now have an eligibility checking tool, which will tell you how likely you are to get a particular credit card, and allow you to make a more informed choice before applying for any new card.

"Most importantly make sure you have a plan to pay off your debts. Making and sticking to a budget and using comparison tools is the simplest way to take control of your money. It'll save you from paying more for your debts than necessary and or get into any debt difficulties."

To understand how a Balance Transfer credit card can work for you visit here.