Debt-to-Income Ratio Calculator
Calculate your DTI to understand how lenders view your borrowing capacity.
Check Your Financial Health
Enter your income and debts to see your DTI ratio and loan eligibility
Understanding Debt-to-Income Ratio
What is DTI?
Debt-to-income ratio compares your monthly debt payments to your gross monthly income. Lenders use DTI to evaluate your ability to manage monthly payments and repay borrowed money. A lower DTI indicates better financial health.
DTI Thresholds
- 36% or less: Ideal - you're managing debt well
- 37-42%: Acceptable - room for improvement
- 43-49%: High - may struggle to get approved
- 50%+: Very high - serious financial stress
What Counts as Debt?
- Mortgage or rent payments
- Auto loans
- Student loans
- Credit card minimum payments
- Personal loans
- Child support/alimony
Improving Your DTI
- Pay down existing debts
- Avoid taking on new debt
- Increase your income
- Refinance to lower payments
- Pay off small debts completely