The following sets out the terms and conditions of the BMO Guaranteed Investment Certificate referred to on the application (the “Investment”). “Application” means the BMO form(s) you signed or verbally or electronically consented to (where applicable), authorizing an account opening, change, or transaction with BMO. The Investment is issued by the issuer indicated on the application (the “Issuer”). “Bank” refers to Bank of Montreal. For non-registered accounts, “Accountholder” means the accountholder(s) named on the application. For registered accounts, “Plan” means the registered retirement savings plan, locked-in retirement savings plan, locked-in retirement account, or tax-free savings account under which the Investments are held and “Accountholder” means the accountholder named under the Plan. For non-registered accounts, an Investment with a monthly interest payment option requires a minimum initial investment of $5,000. All other Investments (both registered accounts and non-registered accounts) require a minimum initial investment of $1,000.
Payment at Maturity. The Issuer promises to pay to the Accountholder on the maturity date of the Investment (the “Maturity Date”) the principal amount of the Investment in Canadian dollars. The Issuer also promises to pay interest upon the principal amount in Canadian dollars at the annual interest rate, as indicated on the application form, from the issue date of the Investment (“Issue Date”) to the maturity date of the Investment. The principal amount and interest shall be paid as provided for in the application form.
If interest on the Investment is compounded, “Proceeds” shall mean the principal amount of the Investment together with interest thereon, and in all other cases “Proceeds” shall mean only the principal amount of the Investment.
Payments. Payment requests can only be made in accordance with these terms and conditions. A payment request regarding any Investment is subject to processing time for the payment. For example, payments scheduled for a non-business day (i.e., Saturday, Sunday or a holiday) may be processed on the first business day before or after the originally scheduled payment date. All Investments are payable in Canadian dollars.
Guarantee. Upon issue, the Investment is a valid obligation of the Issuer and, even if the Issuer is not the Bank, the principal amount and interest on it are unconditionally guaranteed by the Bank.
Ownership Status. For non-registered accounts only, the Issuer is not required to confirm the interest of the Accountholder, to provide taxation advice or recommendations, or to request proof of the execution of any trust put in place for the Investment. If the Investments are purchased on behalf of a minor but the Investments are not registered as ‘in trust’, or as gifts for others where the purchaser identified on the application differs from the Accountholder, proof of ownership satisfactory to the Issuer will be required and the Accountholder will also be required to sign to effect any transactions in respect of the Investment after purchase.
Transfer/Assignment. For non-registered accounts only, the Investment may be transferred provided that (i) the Issuer’s form of transfer is completed and (ii) the transfer is noted on the register kept by the Issuer. No transfer will be registered during the 30 days before the Maturity Date or any interest payment date. The Investment is assignable to the Bank only.
Redeemability. The Investment is not redeemable before the Maturity Date.
Maturity Instructions. For non-registered accounts only, maturity instructions have been provided to the Bank as indicated on the application form. For registered accounts, the Investment will automatically reinvest on the Maturity Date.
For both registered accounts and non-registered accounts, the Accountholder may only change the maturity instructions by providing notice to the Bank in writing within 21 days before the Maturity Date.
Reinvestment. At the Maturity Date, the Proceeds will automatically be reinvested in a BMO Guaranteed Investment Certificate issued by the Issuer, having the same term and interest payment option as the Investment, at the then current annual interest rate applicable to the new investment:
Statements. For registered accounts only, an account statement will be provided annually. Account statements are not provided for non-registered accounts.
Amendments. The Issuer may from time to time in its discretion amend these terms and conditions upon notice to the Accountholder.
To learn more about how we collect, use, disclose and safeguard your Personal Information, your choices, and the rights you have, please see our Privacy Code (available at bmo.com/privacy, or from any of our branches).
What is Personal Information?
Your Personal Information is information about you that you provided to us or information we collected from other sources such as credit reporting agencies, and includes your name, address, age, financial data, Social Insurance Number, employment information, and other information that could be used to identify you.
Why do we need your Personal Information?
We collect and use your Personal Information to:
If we use your Personal Information for a different purpose, we will identify that purpose.
BMO Financial Group consists of Bank of Montreal and its affiliates. Your Personal Information, including information about your authorized representatives and beneficiaries, is shared within BMO Financial Group, to the extent permitted by law, to:
Sharing: You may choose not to allow us to share account-specific information within BMO Financial Group, but you understand we will share your Personal Information where two or more BMO Financial Group affiliates provide you with jointly offered products or services.
Direct marketing: You may choose not to allow us to use your contact information for direct marketing, such as mail, telemarketing or email informing you about products and services we think may be of interest and value to you.
Please see “Contact Us” in our Privacy Code for more details on how to opt out.
