What is a good debt to income ratio?

Answer On One Hand: A Low DTI Is GoodThe debt to income ratio is calculated by dividing the total monthly debt payments of a borrower into his total monthly income. The lower a borrower's debt to income (... Read More »

Top Q&A For: What is a good debt to income ratio

What is debt to income ratio?

A debt-to-income ratio measure how much money you owe compared to how much money you make. Most debt-to-income ratios use your pretax monthly income.TypesThe two most common debt-to-income ratios a... Read More »

What is the debt-to-income ratio for mortgages?

The debt-to-income ratio for mortgages is a method that lenders use to determine how much mortgage a consumer can afford. The standard ratio lenders use is 28/36. The first number represents the fr... Read More »

How is debt to income ratio calculated?

Debt-to-income ratio compares how much a person owes on credit cards and loans to how much that person earns. Lenders use debt-to-income ratio to determine how much you should be allowed to borrow.... Read More »

Cash Debt-to-Income Ratio?

When a consumer applies for a loan, such as a home loan, a bank will consider that individual's cash debt-to-income ratio, also known more simply as the debt-to-income ratio. The Federal Housing Ad... Read More »