Buoyant Holiday Spending Expected to Boost December Retail Sales
BMO Mosaik MasterCard offers helpful tips to make your holiday shopping, not naughty, but nice

TORONTO, December 12, 2007 – “Retailers can expect cash registers to ring out loudly in December, as high consumer confidence, low interest rates, retail price cuts from the strong dollar, and coming tax reductions are expected to buoy brisk spending into the key holiday shopping period,” said Doug Porter, Deputy Chief Economist, BMO Capital Markets.

“With employment gains still strong, solid income growth should contribute to broad-based gains across all retail spending categories in December,’ he said.
At the same time, Nancy Marescotti, Director, BMO Mosaik MasterCard, advises the best shopping strategy is to set a realistic budget and stick to it to avoid waking up to a post-holiday shopping hangover.

Ms. Marescotti offers the following Do’s and Don’ts for this holiday season:

Don’t pay more than you have to – Overpaying is overspending. Comparison shop and look for store sales to ensure you’re getting the best price.

Do use a credit card that rewards you for your purchases – Even if you pay full price, you can maximize the value of your purchases by using a credit card that offers rewards for every dollar you spend. Some cards offer attractive ‘cash back’ options while others let you redeem your rewards for travel or merchandise. BMO’s Mosaik MasterCard offers the best of both, with CashBack reward options or AIR MILES Rewards which can be redeemed from a comprehensive choice of more than 800 redemption items from movie passes, CDs and DVDs, electronic merchandise, sports and recreation, travel and more. Any of these could make a great gift for family or friends.

Don’t get scrooged when you shop online – Shopping online can save you time and money but stick to the reputable sites and beware of sites you don’t know. Pay close attention to shipping dates and build in extra delivery time so you won’t be disappointed. For added protection, consider purchasing your gifts with a credit card that offers some form of insurance, which will cover you if gifts you buy get lost, stolen, or broken.

MasterCard SecureCode from BMO Bank of Montreal, lets you shop online safely at SecureCode-enabled merchants. When you provide your SecureCode during your online transaction, BMO will authenticate and confirm that you are the individual making the purchase.

Do stick with just one credit card – Keep it simple. You’ll find it easier to track your expenses on a single bill at the end of the month if you put all of your holiday purchases on just one credit card. And if you’re a Loyalty Rewards Collector, consolidating all of your purchases on a single card will help you reach your rewards goals faster and redeem sooner.

Don’t let interest charges pile up – January bills can bring February blahs. Don’t let interest charges on your credit card balances eat up your holiday savings.

Do pay the piper – Ideally, you should always pay your balance in full by the due date to avoid interest charges altogether. If you expect to carry a balance however, minimize your overall costs by making purchases with a low-interest credit card or by transferring your balances to a low-interest line of credit.

Don’t wait to report a lost or stolen card – Protect yourself by keeping a copy of your credit card number and the contact information for your credit card issuer so that you can quickly report a lost or stolen card.

- 30 -

For Media Enquiries Contact:

Ralph Marranca, ralph.marranca@bmo.com, (416) 867-3996
Lucie Gosselin, Montreal, lucie.gosselin@bmo.com, (514) 877-8224
Laurie Grant, Vancouver, laurie.grant@bmo.com, (604) 665-7596