COSTA MESA, CALIFORNIA () – Experian®, the leading global information services company, released its insights today on average monthly payments* of the top 25 metropolitan areas.  The study found that nationally, consumers are paying $903 per month on their bills, which could include a combination of credit cards, auto loans and leases, and mortgages—a decrease of two percent in the last three years.

The study also reveals that Washington D.C., Seattle and Baltimore top the list with the highest average monthly payments with Washington D.C. coming in at 42 percent higher than the national average.  Cities with the lowest payments include Cleveland, Tampa and Pittsburgh

Results ranked by highest to lowest by average monthly payment amounts are detailed below:

Metropolitan area Average monthly payment Difference from national average 1. Washington, D.C. $1285 42% 2. Seattle $1135 26% 3. Baltimore $1133 25% 4. Boston $1105 22% 5. Denver $1104 22% 6. San Francisco $1098 22% 7. San Diego $1076 19% 8. Sacramento $1045 16% 9. Los Angeles $1024 13% 10. Chicago $1017 13% 11. Philadelphia $1011 12% Minneapolis $1011 12% 12. New York $989 10% 13. Atlanta $986 9% 14. Dallas $970 7% 15. Phoenix $957 6% 16. Portland $948 5% 17. Cincinnati $920 2% 18. Houston $889 -2% 19. Columbus $888 -2% 20. St. Louis $886 -2% 21. Miami $867 -4% 22. Detroit $832 -8% 23. Cleveland $812 -10% 24. Tampa $791 -12% 25. Pittsburgh $763 -16%

“The trend we’re seeing is that consumers have lower payments, indicating both proactive deleveraging by consumers and tighter limits from lenders and certainly consumers are making fewer major purchases such as homes and cars than they were a few years ago,” said Michele Raneri, senior director of analytics, Experian. “There are many ways to manage and develop a positive credit score and good payment habits. Paying bills on time is generally the single most important contributor.”

Below are some tips to take into consideration when making a major purchase:

  • Get your credit report. Before approving your request for a home loan, mortgage lenders review your credit report. If you review your credit report in advance, you’ll see yourself from a lender’s perspective.
  • Be prepared. When lenders review your credit report, they evaluate how much you already owe, how much unused credit you have available, how prompt you are in paying your debts and whether you’ve recently applied for new credit.
  • Count your savings. To buy a house, you generally need a down payment in the range of 5 percent to 20 percent of your new home’s purchase price, depending on your credit risk. You also need money for closing costs and be sure to set aside extra funds for emergencies. If you spend everything on your down payment, you’re statistically more likely to lose your new home to foreclosure sometime in the future.
  • Make your payments. How much you borrow, how much you owe and when you pay become a part of your credit history. When you apply for new credit purchases, other lenders will review this history. Late payments can stay on your credit report for up to seven years, can keep you from buying another house or can make it more expensive to buy a car. A good credit history proves that you manage your finances well. It lets you enjoy using credit at your convenience and at a lower cost.

Methodology

The data was pulled and analyzed by Experian Decision Sciences using a statistically relevant sampling of Experian’s File One(SM) consumer credit database. Credit files analyzed had all personal identification information removed. They then were filtered through Premier Attributes(SM), the credit industry’s most robust, accurate and comprehensive set of credit attributes that provides consumer data at the most granular level, facilitating enhanced modeling opportunities. Experian’s credit study data score averages are based on VantageScore®.

About Experian

Experian is the leading global information services company, providing data and analytical tools to clients in more than 90 countries. The company helps businesses to manage credit risk, prevent fraud, target marketing offers and automate decision making. Experian also helps individuals to check their credit report and credit score and protect against identity theft.

Experian plc is listed on the London Stock Exchange (EXPN) and is a constituent of the FTSE 100 index. Total revenue for the year ended March 31, 2010, was $3.9 billion. Experian employs approximately 15,000 people in 40 countries and has its corporate headquarters in Dublin, Ireland, with operational headquarters in Nottingham, UK; Costa Mesa, California; and Sao Paulo, Brazil.

Contact: Kristine Snyder Experian Public Relations 1 714 830 5192

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