For Immediate Release

July 25, 2007

Recent RESP changes makes saving easier for parents

Parents can now benefit from the Registered Education Savings Plan (RESP) changes in the Federal Government's Budget 2007.

The annual $4,000 RESP contribution limit has been removed. So, parents can now contribute any amount at any time, up to the lifetime contribution limit of $50,000-increased from $42,000.

This change allows parents to take advantage of the RESP's tax-deferred, compounded growth. Even small increases early in the RESP can result in additional thousands of dollars towards their children's college or university education.

Also, the maximum annual RESP contribution qualifying for the Canada Education Savings Grant (CESG) increases from $2,000 to $2,500. This increase can add another $100 in eligible grant to a total of $500 per year-up to a $7,200 lifetime grant maximum.

Parents who have not maximized their RESP contribution, now have extra unused grant room where they can 'catch-up' their CESG-increased from $800 to $1,000 a year.

"These changes to the RESP limits and CESG will hopefully encourage more parents to start saving for their children's college and university education," says Chairman and CEO Sam Bouji, Global Educational Marketing Corporation.

Currently, less than half of Canadian parents are saving for their children's post-secondary education and taking advantage of the $9,200 in government grants.

Other changes to the RESP program include what education RESPs can fund.

"Many people don't have the time to attend college or university full-time," says Bouji. "Any change that improves the accessibility of higher education is a step in the right direction."

Part-time students will be able to receive up to $2,500 in Education Assistance Payments for each 13-week semester of study and at least 12 hours a month class time.

The cost for tuition and other expenses related to the post-secondary studies (such as books, supplies and accommodations) continue to rise. By the time a child born this year is ready to go to university, the cost is estimated to reach well over $100,000 for an average four-year Bachelor of Arts Degree (according to the federal government's "CanLearn" website www.canlearn.ca, using the Education Cost Calculator).

Media inquiries, please contact:

Maja Begovic or Rudy Bartolome
Marketing and Communications
Global family of companies
Tel: (416) 741-7377 ext. 3501
Fax: (416) 741-8987
Email: media@globalfinancial.ca