BMO Bank of Montreal Lowers Mortgage Rates

Special five-year fixed rate drops to 4.09 per cent

TORONTO , Jan. 28 /CNW/ - BMO Bank of Montreal announced today it is decreasing its residential mortgage rates, effective January 29, 2010 .

"With spring around the corner and as we head into one of the busiest periods for home buyers, it's important that our customers get the clarity they need to make the best financial decision," said Jane Yuen , Senior Manager for Mortgages, BMO Bank of Montreal . "Come into one of our branches or talk to a BMO mortgage specialist for the best advice and get pre-approved so you're ready."

"By supporting the housing market, lower mortgage rates are providing a solid counterweight to the strong Canadian dollar's adverse impact on the economy," said Sal Guatieri, Senior Economist, BMO Capital Markets.

The new rates are:

    
    Fixed Rates:                                 To:                  Change:
    6 month fixed convertible                  4.65%                     n/c
    6 month fixed open                         6.45%                     n/c
    1 year fixed open                          6.45%                  -0.10%
    1 year fixed closed                        3.00%                     n/c
    2 year fixed closed                        3.75%                     n/c
    3 year fixed closed                        4.15%                  -0.10%
    4 year fixed closed                        5.04%                  -0.10%
    5 year fixed closed                        5.39%                  -0.10%
    6 year fixed closed                        5.39%                  -0.10%
    7 year fixed closed                        6.60%                     n/c
    10 year fixed closed                       6.70%                     n/c
    18 year fixed open                         8.95%                     n/c

    Variable rates:                              To:                  Change:
    5 year closed                              2.25%                     n/c
    3 year open                                3.05%                     n/c

    (The interest on fixed-rate mortgages compounds semi-annually, not in
    advance.)

    Special Offers*                          To:                  Change:
    5 year(fixed/closed)                       4.09%                  -0.10%

    * This special discounted rate is not the posted rate of BMO Bank of
        Montreal. Rate is subject to change without notice. Offer may be
        withdrawn or extended without notice. Mortgage funds must be
        advanced within 90 days of the application.
    

Internet: www.bmo.com

For further information: For news media enquiries, please contact: Martha McInnis, Toronto, [phone], [email protected]; Sarah Bensadoun, Montreal, [phone], [email protected]