To strengthen its credit cards business, Canada-based
Bank of Montreal ( BMO Quick Quote BMO - Free Report) expanded its line-up of Mastercard credit cards for Canadian businesses with the rollout of the BMO World Elite Business Mastercard and BMO AIR MILES World Elite Business Mastercard.
Via the BMO online banking, the new credit cards permit business owners to separate their business purchases from personal expenses. The cards also garner features and benefits designed to meet the needs unique to each business, such as points accelerators and up to 22 additional cards for employees so that they can buy on the firm’s behalf to help earn points quicker. Both cards are designed with accelerators on specific categories that recompense customers for their business-related spending.
The BMO World Elite Business Mastercard imparts cardholders with the opportunity to earn four BMO Rewards points for every $1 spent on gas, office supplies, and cell phone and internet bill payments (up to a maximum expenditure of $50,000). Moreover, 1.5 BMO Rewards points will also be won for every $1 they spend on all other card purchases.
This apart, Bank of Montreal’s BMO AIR MILES World Elite Business Mastercard offers the highest AIR MILES earn rate by providing cardholders a chance to earn 4x the Reward Miles on their card usage at the participating AIR MILES partners outlets.
By integrating business costs on a dedicated card, businesses can work better on the important arenas while capitalizing on an array of varied benefits, tailored to meet the requirements of their businesses.
Mike Bonner, the head of Canadian Business Banking, BMO Financial Group, remarked, "Small businesses are the backbone of the Canadian economy, and so at BMO we are making sure that we are taking care of the entrepreneurs running those businesses. We are proud to be the bank helping business owners make real financial progress in their businesses and in their personal lives with a suite of offerings that allow us to help them in every part of their financial life."
The unveiling of these cards will likely drive Bank of Montreal’s credit card fee and card service charges, thereby propelling a rise in its fee income in the quarters ahead. Also, it will help BMO bolster its position in the competitive credit card business.
Shares of this presently Zacks Rank #2 (Buy) Bank of Montreal have gained 52.1% on the NYSE over the past year compared with the
industry's growth of 17.5%. Image Source: Zacks Investment Research
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. the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here Other Stocks to Consider
Some other stocks worth considering in the banking space are
Grupo Financiero Galicia ( GGAL Quick Quote GGAL - Free Report) , BanColombia ( CIB Quick Quote CIB - Free Report) and Canadian Imperial Bank of Commerce ( CM Quick Quote CM - Free Report) . At present, Grupo Financiero Galicia and BanColombia sport a Zacks Rank #1, while Canadian Imperial Bank of Commerce carries a Zacks Rank of 2.
Over the past year, shares of GGAL and CIB have gained 6.6% and 0.6% respectively, whereas shares of CM have increased 39.4%, on the NYSE.
The Zacks Consensus Estimate for Grupo Financiero Galicia’s current-year earnings has been revised 6.4% upward while the same for BanColombia has moved 9.4% north over the past 30 days,. Current-year earnings estimates for Canadian Imperial Bank of Commerce have moved marginally up over the same time frame.