TORONTO, ONTARIO — (Marketwire) — 11/16/11 — To mark Financial Literacy Month, which was launched by Finance Minister Jim Flaherty, BMO Bank of Montreal is releasing a series of financial tips throughout November. As part of Making Money Make Sense and BMO SmartSteps, the tips are designed to help individuals and families save and manage their day to day finances more effectively.
BMO-s Tip of the Day: Pay an extra five per cent on your mortgage every year to reduce interest costs.
“Adding an extra payment of five per cent of your mortgage annually will help you become debt-free sooner,” said Katie Archdekin, head of Mortgage Products, BMO Bank of Montreal. “By paying an extra lump sum every year you-ll pay your mortgage down faster, saving you interest costs over the long term.”
BMO Financial Literacy Month Tips
: Pay more than the minimum payment on a credit card balance.
: Choose a shorter amortization for your mortgage.
: Contribute to a child-s Registered Education Savings Plan (RESP) as early as possible.
: Invest in a Tax-Free Savings Account (TFSA) to maximize your savings.
: Switch to weekly mortgage payments to save interest and become debt-free faster.
: Take advantage of credit card travel insurance to lower costs.
: Start early and contribute often to your investment account, rather than waiting to invest.
: Use a line of credit to consolidate high-interest debt and save on interest costs.
: Canadians can give the gift of securities and benefit at tax time.
Students, pay off your credit card balances and take advantage of student discounts to save money.
For more on financial literacy, BMO encourages Canadians to visit and .
Contacts:
Matthew Duffin, Toronto
416-867-3996
Sarah Bensadoun, Montreal
514-877-1101
Laurie Grant, Vancouver
604-665-7596