Half (51%) of Cardholders Indicate that they Will Spend Less on Credit Cards over the Next Six Months. One Quarter (24%) Say `Much Less'

Toronto, ON - It appears that when it comes to credit cards, many Canadians are cutting back. According to a new study conducted by Ipsos Reid, the impact of the economic recession is causing many Canadians to reconsider how they use their credit cards.

Roughly one half of cardholders report that as a result of the economic downturn, they are already spending less on their credit cards (49%), are more likely to pay off their credit card bills in full each month (48%), and are using cash and debit more often for everyday purchases (47%).

It appears likely that the trend in reducing credit card spending will continue into the foreseeable future, with half (51%) of card users indicating they will spend `less' on credit cards over the next six months, and one quarter (24%) indicating that the amount they spend on their cards will be `much less'.

• Perhaps not surprisingly, those with the highest credit card debt balances plan to cut back the most. Nearly three-quarters (73%) of those who have a current credit card balance of $5,000 or more say they plan to spend less on their credit cards over the next six months - 44% say `much less'.

Many Canadians are personally feeling the impact of the recession, with four in ten (40%) saying it has had a `negative impact' on their financial situation over the past six months. Others who do not report a direct impact are nonetheless more cautious with their spending, as 71% `agree' that they are `reducing spending and paying more attention to money'.

These are the findings of an Ipsos Reid poll conducted as part of Ipsos' suite of credit card studies - Dynamics of the Canadian Card Market. The poll was conducted from March 13 to March 31, 2009. This online survey of 2,005 Canadian adults who have at least one credit card was conducted via the Ipsos Opinions Panel, a national online panel. Results with weighting from the Ipsos Opinions online panel provide results that are intended to approximate a probability sample. Statistical margins of error are not applicable to online polls, however, an unweighted probability sample of this size, with a 100% response rate, would have an estimated margin of error of +/- 2.2 percentage points, 19 times out of 20, had the entire adult population of credit card holders in Canada been polled.

For more information on this news release, please contact:
Sean Simpson
Research Manager
Ipsos Reid
Public Affairs
(416) 572-4474
[email protected]

About Ipsos Reid
Ipsos Reid is Canada's market intelligence leader, the country's leading provider of public opinion research, and research partner for loyalty and forecasting and modelling insights. With operations in eight cities, Ipsos Reid employs more than 600 research professionals and support staff in Canada. The company has the biggest network of telephone call centres in the country, as well as the largest pre-recruited household and online panels. Ipsos Reid's marketing research and public affairs practices offer the premier suite of research vehicles in Canada, all of which provide clients with actionable and relevant information. Staffed with seasoned research consultants with extensive industry-specific backgrounds, Ipsos Reid offers syndicated information or custom solutions across key sectors of the Canadian economy, including consumer packaged goods, financial services, automotive, retail, and technology & telecommunications. Ipsos Reid is an Ipsos company, a leading global survey-based market research group.

To learn more, please visit www.ipsos.ca.

About Ipsos
Ipsos is a leading global survey-based market research company, owned and managed by research professionals. Ipsos helps interpret, simulate, and anticipate the needs and responses of consumers, customers, and citizens around the world.

Member companies assess market potential and interpret market trends. They develop and build brands. They help clients build long-term relationships with their customers. They test advertising and study audience responses to various media. They measure public opinion around the globe.

Ipsos member companies offer expertise in advertising, customer loyalty, marketing, media, and public affairs research, as well as forecasting, modeling, and consulting. Ipsos has a full line of custom, syndicated, omnibus, panel, and online research products and services, guided by industry experts and bolstered by advanced analytics and methodologies. The company was founded in 1975 and has been publicly traded since 1999.

In 2008, Ipsos generated global revenues of e979.3 million ($1.34 billion U.S.).

Visit www.ipsos.com to learn more about Ipsos offerings and capabilities.

Ipsos, listed on the Eurolist of Euronext - Comp B, is part of SBF 120 and the Mid-100 Index, adheres to the Next Prime segment and is eligible to the Deferred Settlement System. Isin FR0000073298, Reuters ISOS.PA, Bloomberg IPS:FP