What does this tool do?
Debt-to-income compares all recurring debt payments with gross monthly income. It is a quick affordability screen, not a credit score, and acceptable thresholds vary by lender and loan type.
The Formula
DTI (%) = Total monthly debt payments ÷ Gross monthly income × 100Frequently Asked Questions
What DTI do lenders accept?
Many look for 36% or less for total debt, with some programmes allowing 43% or higher. Rules differ by country and lender.
Should I use gross or net income?
Lenders typically use gross income. Using take-home pay produces a higher, more conservative ratio.